Advanced Medical Solutions Share Discussion Threads

[wetdream] 15/9/2019 07:58

According to ADVFN Financials, at 226p, AMS still has a PEG Factor of 1.82.
No wonder the share price took a bashing at >£3!

[dealit] 14/9/2019 12:52

Generally, a high P/E ratio means that investors are anticipating higher growth in the future.

The current average market P/E ratio is roughly 20 to 25 times earnings.

Companies that are losing money do not have a P/E ratio.

AMS fit the above categories, let us hope with good news flow we can start to climb North again

[potty punter] 13/9/2019 10:09

Not wishing to be pedantic but I see PE as 20.3

[winnings1] 13/9/2019 10:06

My main concern is Trump's shouts of 'America First'. Any US company making a similar product to AMS's product will soon or already have preference with the buyers/stockists of medicals for US hospitals, IMO.

[zipstuck] 13/9/2019 09:31

Still on an PE of circa 25/26.

[hydrus] 13/9/2019 08:37

The share price today has fallen by 14 times the interim dividend due. I really don't think the tiny dividend here will affect buying decisions......

[tgkg] 13/9/2019 08:33

More people start buying it, it's on oversold territory plus it looks like it was natural price correction which is happening every 6 months, as dividents coming up within 2 weeks it's last chance to buy cheap

[redartbmud] 12/9/2019 16:14

Agreed

There will not be any news for a while, and the analysts will be churning out their noes to clients. Bias is bound to be negative. The price will find a stable floor, at some point.
Sell out, or sit tight.

[wetdream] 12/9/2019 13:47

No rush to buy.
Major shareholders stay fast asleep..zzzzz

[tgkg] 12/9/2019 12:20

Looks like few players deliberately sell few shares to drop the price and just after they purchase it cheaper, simply visible. Someone is acquiring shares

[tgkg] 12/9/2019 12:03

They have a lot of cash at the moment so they are doing alright. They are fully prepared financially for any delay with products. Everyone noticed that sales dropped this year because of brexit issues. Government already spends more money on NHS, but the real spending didn't yet occur, it's only now being allocated to specific sectors of NHS so we just need to wait for it. Funding is given

[tgkg] 12/9/2019 12:03

They have a lot of cash at the moment so they are doing alright. They are fully prepared financially for any delay with products. Everyone noticed that sales dropped this year because of brexit issues. Government already spends more money on NHS, but the real spending didn't yet occur, it's only now being allocated to specific sectors of NHS so we just need to wait for it. Funding is given

[wetdream] 12/9/2019 08:42

Just shows, imho, that 'Board Expectations' and 'Market Expectations' can be quite different.
Clearly, the Board 'expected' Liquiband sales to plummet in the US, but failed to alert the Market. Hence the collapse in the share price

[redartbmud] 12/9/2019 07:55

Clearly they are issues that the company has to deal with.
One part, albeit a large section, is experiencing problems, but there is growth elsewhere. Management needs to get to grips, with the problems ASAP. The big question is whether they are temporary, or permanent.

Numis downgrades Advanced Medical after sales slip

Numis has downgraded Advanced Medical Solutions (AMS) after a drop off in sales of the wound care company’s Liquiband surgical wound adhesive.

Analyst Paul Cuddon downgraded his recommendation from ‘add’ to ‘hold’ with a target price of 290p on the stock after interims showed the company was behind on sales. The shares fell 18.2% to 230p yesterday,

‘Performance was impacted by significant declines in US sales of Liquiband, and although the broader portfolio grew 10% the weak performance of AMS’ leading brands raises concerns over the quality of the previous year’s 7% growth and the potential timing of a recovery,’ he said.

‘With the shares trading on 17 times enterprise value/earnings, we drop to “hold” awaiting more clarity on the trajectory of a potential recovery.’

[dealit] 12/9/2019 07:53

AMS IMHO were oversold yesterday. We as small investors are open to the MMs manipulating stock for various reasons. The Interims were not as good as we have come to expect from AMS, in saying that AMS still made a profit and maintained growth + increasing the dividend payment. All successful Companies have a diverse product range and have more than one market they rely on as do AMS.

[snape] 11/9/2019 21:59

Tho the above destocking due to Brexit sounded a one off and now they talk about losing sales to competitors which is evidently not. Saying that at some level they become a nice takeover for a US healthcare co particularly at current exchange rates?

[bjfanc] 11/9/2019 19:04

Everybody talks there own book.But to be fair to AMS, they did state in the June trading update that" More substantial growth has been restricted by a reduction in sales of US LiquiBand predominantly due to destocking as some customers have not replenished the high inventories built for Brexit. Additionally, like for like sales for the comparative period in H1 2018 were enhanced for AMS by competitor supply issues. This temporary shortfall has been offset by other parts of the Group showing strong growth."So percentage change was never going to be a pretty read.

[buywell3] 11/9/2019 18:48

buywell gets it right again

[redartbmud] 11/9/2019 17:25

Sometimes, one is inclined to make an error of judgement.

[wetdream] 11/9/2019 17:09

Credit to 'winnings1' with his view that the share price had got a bit 'frothy'....
Although his 'gradual drop to 260p' understated today's collapse somewhat!

[redartbmud] 11/9/2019 16:34

Yes, it doesn't look good, in the short term.
Looking forward to receiving the dividend.

[wetdream] 11/9/2019 16:33

and still sellers at 230p!!

[wetdream] 11/9/2019 12:19

redartbmud,

Credit goes to the poster.
For those long termers here, then this may be viewed as a blip, with better prospects in 2020. Although to stay invested in the hope of a takeover seems a bit grim - as that's been a hope for some time now.

Having been into AMS for just about a year, I'm annoyed that I saw them as a 'safe haven' from the anticipated turmoil in the markets, so resisted the chance to sell at 330+ 🙄

Perhaps the US will prove to be a bridge too far for yet another UK co?

[apad] 11/9/2019 11:42

The US has always been a fiercely competitive market, because it is so profitable. I hope that the £ weakness will help.

Competitors for LiquiBand are:
• Dermabond
• SwiftSet Topical Skin Adhesive
• SurgiSeal Topical Skin Adhesive
• Derma+Flex QS High Viscosity Tissue Adhesive
• Exofin High Viscosity Tissue Adhesive
• Histoacryl Topical Skin Adhesive

There is a worry that AMS are not running the US as a US company, but as an outpost of a UK company.

GLA
apad