ACM Shipping Share Discussion Threads

[sharegar778] 05/10/2010 12:10

The buying of the dry cargo business, sounds very good to me (RNS of 24/6/10)
It should increase revenue for 2011 by 15%-20%.
It is complimentary to what we do, and it involves sectors that have continued to be very strong (Mining, Industrial and Agriculture)
The new aquisition generates plenty of cash $5.4 Mil Aus gives $3.1 Mil Aus Profit for year to 30/6/10, this was before tax and directors bonuses.
It does not state the bonuses though, I guess they might be quite large.

But all in all, it looks like this is a great addition, and with a recovering market in ACMG's regions, I look forward to the current year update.

ACMG is not burdened with debt, even after this deal. Also a tasty dividend!

GLA
Sharegar.

[philo124] 04/10/2010 20:10

Holding Up.

[philo124] 06/9/2010 22:14

In Profit now; nice jump.

[ged5] 06/9/2010 16:20

It's good to come back and see a rise in these. More or less back to where I originally started.

[labatie] 02/9/2010 17:42

Nice rise today.

Was there a good statement at the AGM?

[philo124] 27/8/2010 10:52

Looks a goog entry point and it's AIM.

[topvest] 27/8/2010 10:23

bought a few today - looks a good company with strong prospects and on a 5-6% yield.

[philo124] 25/8/2010 11:22

See CKN RESULTS TODAY- VERY GOOD

[philo124] 19/8/2010 01:11

Lost touch here.

[labatie] 25/6/2010 06:50

This from Edison:

[ged5] 24/6/2010 08:48

Results are better than expected. Agree with current trading.

"Trading across the Group is increasingly robust as the market improves. ACM's global offices are performing well, and the Board looks forward to the integration of Endeavour to further broaden the Group's offering. Despite the challenging period that the sector has experienced, the Group is ideally positioned to capitalise on the upturn in the market. With global oil demand regaining strength, and tanker demand increasing, particularly in the Far East, the prospects for ACM remain strong."

[edcrane] 24/6/2010 08:39

results are history and expected .... current trading strong and as you say (for me this is THE biggest positive sign) the dividend is up 12%

[ged5] 24/6/2010 08:38

Agree. Although profit down and order book down, there are a lot of positive comments for the coming year. The dividend increasing by 12% is very good and the expansion into the dry cargo market sounds a good move.

A couple of snippets which point to better year.

"Tanker demand has made a remarkable comeback since global oil demand bottomed out in early 2009, thanks in large part to a significant jump in Chinese crude oil imports. Rapid Asian economic growth over the past year has driven a recovery in global oil demand that is now expected to average 86.4 million barrels per day (Source: IEA) - nearly 1.7% higher than last year. The recession encouraged an acceleration in the rate at which older vessels are removed from the active fleet and it has tempered the rate at which newbuildings deliver from the yards. Overall this has left tanker supply in a much healthier position going into 2011 than previously expected."

"ACM has built the right infrastructure for its global operations, and is in a strong position for the opportunities that are presenting themselves now, as well as for the future for the industry. The market is starting to recover in the tanker and dry cargo business, with big ships earning more than predicted, and in particular the sale and purchase business shows further signs of increased volumes. ACM is well positioned for this upturn, with its strong team with an established list of clients, and the Board will continue to seek opportunities for further growth geographically, both organically and acquisitively. Having maintained its market leading position during this challenging period, the Group is ready to capitalise on the improvements in the market."

[edcrane] 24/6/2010 08:10

Today's results point to a more positive outlook and acquisition looks very good

[philo124] 16/6/2010 08:50

Continue to hold in my aim IHT portfolio

[ambuchanan12] 15/6/2010 23:20

molatov - i think you have probably done the right thing - i am holding and accumalting only. it will get re rated and the price will surge. remember there will be people looking specifically for solid yield - in the last few years we have seen all the old favorites blow up or in the process of cutting the divi. i also see in the paper today one hedgie has gone short of national grid i cant remember why but big business big debt big problems down the road, this is a small biz no debt and no foreseeable problems. i am amazed it is sitting at this price frankly. the market maybe right at the moment but if you want more liquidity and yield look at clarksons and BMS. i hold the latter. good luck. ps i also hold the ETF SHIP - pretty dull but....

[molatovkid] 15/6/2010 15:56

I totally agree with you guys. I held a few of these about 6 months ago and got bored on the lack of price action and recognition.

The profile of this company needs raising....such a shame that the price never seems to significantly move up

[labatie] 10/6/2010 23:45

I'm a holder of Renew Holdings - RNWH - and Norcon - NCON - among others. I'm also keeping an eye on Abbey Protection - ABB - but no money at present.

See also National Grid today, which must surely be receiving some yield money which might otherwise go to BP. 7%+ yield, with 8% divi growth promised for next 2 yrs.

[ambuchanan12] 10/6/2010 10:52

labatie - which ones are you looking at? i have Braemar for divis as well. - if bp is truly rocked (I HOPE NOT) investors will be looking for yield elsewhere and SOME solid smaller, safe companies will get a lot more interest - i would expect rises in some of these of 10-20 pcnt in quick time imho

[labatie] 10/6/2010 08:01

I agree. It's ridiculously cheap

And there are so many other small caps with a high and safe yield.

[ambuchanan12] 09/6/2010 23:15

this is a truly nutty price - i would buy more but the liquidity on this stock is not ideal. great divi no gearing - everyone who reads this shoulkd buyt a few. no advice intended.

[labatie] 25/4/2010 09:16

I agree and have topped up.

So do Edison who've produced an update raising 2010 eps estimate to 26.9p.

"ACM's share price has drifted in recent weeks, reflecting a lack of interest across the sector. ACM is a cash generative, highly focused business, which has consistently delivered organic underlying growth in almost every year since its incorporation. The strategy for the next stage of growth is emerging, with more news planned during the course of 2010. The share price fails to recognise the potential

Ahead of expectations

Group trading in the year to March 2010 is ahead of management expectations. At
the time of the interim statement, it was clear that the terms of trade had deteriorated and a downturn in profits was inevitable. However, the number of spot fixtures has continued to rise and there was a better than budgeted throughput in the Sale & Purchase operation. We have adjusted our 2009/10 target accordingly.

Conditions remain challenging

While there are early signs of global recovery, especially in the Far East, it is too early to start lifting our medium-term targets. The core brokerage business shows every sign of again lifting the number of fixtures, but we cannot yet be confident that the momentum in Sale & Purchase can be sustained. Nevertheless, we remain optimistic of sustained underlying growth over the medium term.

Still generating cash

The group continues to generate cash. With little requirement for working capital and fixed assets, the majority of earnings are available for investment. Early payment of employee bonuses suggests that year end cash balances will be below earlier targets at around £4.5m.

Valuation: Sector misunderstood

The shipbroking sector appears undervalued, reflecting fears about the shipping
cycle, rather than the secure cash-generative nature of the businesses. ACM's main asset is largely its team, which continues to deliver strongly in a tough market. The stock trades at a discount to its peers, although we believe the quality of earnings justifies a premium rating."

[ambuchanan12] 23/4/2010 13:37

this is a cracking little company, high yld, no debt, management hold a lot of stock, rising freight prices etc etc have tucked away a few in my pensio. will be rerated soon imho