Aggreko Share Discussion Threads

[eipgam] 04/11/2013 14:49

4 Nov 2013 Aggreko PLC AGK Cantor Fitzgerald Hold 1,559.00 1,584.00 2,200.00 1,700.00 Downgrades

[aspers] 30/10/2013 07:48

hxxp://sharedealing.nandp.co.uk/quote/?epic=Agk

[philo124] 29/10/2013 09:35

actually, hold for the long term.

[deanowls] 29/10/2013 09:12

The times says hold.

[salpara111] 29/10/2013 09:10

Telegraph says sell today, for what it is worth.

[aspers] 29/10/2013 07:56

Aggreko (AGK.L, 1,608p) - Buy

Yesterday, Aggreko announced its interim management statement for the period from 1st July to date. Trading was in line with the management's expectations with underlying revenues and trading margins slightly up from last year. On a reported basis, revenues declined 6% and trading margins were lower than comparative period last year. The Americas saw underlying revenue growth of 6% and in Asia, Pacific and Australia (APAC), underlying revenues were 17% lower mainly due to off hires in the past twelve months in Japan and Indonesia. Europe, Middle East and Africa (EMEA) expanded 8% (underlying), with full production from the gas contracts of 430 megawatts (MW) in Mozambique and Cote d'Ivoire. Local business witnessed revenues advancing 4% on an underlying basis. Local business in America registered revenue growth of 10%, while APAC and EMEA were broadly flat due to weak conditions in Australia and in the absence of two large contracts which ran through Q3 2012. Power Projects saw underlying revenues dropping 2% and trading margins mildly weaker than the previous year. Order intake for the quarter stood at 105 MW, in-line with last year, bolstered by a contract to supply 50 MW of power to Guinea. At the end of the quarter, order intake stood at 502 MW and the company agreed to extend the 150 MW diesel contract with its Japanese customer. Aggreko was on track to complete over 350 conversions of the G3 diesel sets into Heavy Fuel Oil (HFO) and the high-efficiency G3+ sets by the year-end. Additionally, the company signed another contract for a 20 MW HFO plant in Africa in October, which takes the total HFO contracts in the Power Projects and Local business for the company to more than 110 MW across 6 customers. On fleet expenditure, Aggreko plans to spend about £230m in the current year and £140m in H1 2014. The management said full year profit expectations would remain unchanged. Aggreko climbed 6% to lead the gainers on the FTSE 100 index for the day.

Our view: Aggreko exhibited signs of recovery in the poor-performing Power Projects division for the period under consideration. The Power Projects division has lagged behind due to a sluggish demand for temporary power in those markets. The extension of a 150 MW diesel contract has now provided some degree of revenue and order stability. The Local business revenue for Americas region also grew robustly during the quarter. The company is rationalising capital outlay on fleet to £230m from £415m last year in order to shore up its cash reserves, in view of the current tough market conditions. Considering that the long-term fundamentals for Aggreko are still strong and the full year profit guidance has remained in-line with the market expectations, we keep our Buy rating for this stock.

[aspers] 28/10/2013 14:48

Penny....if you want a good trading share KAZ has to be the best around!!

[penycae] 28/10/2013 12:54

Out on a limit order at £16.00. Will keep an eye on this, as it's a really good trading share.

[jasab] 28/10/2013 11:58

The shortens thought the IMS was going to be signalling downtrend but they were wrong Agk seem to be repositioning business nicely to even out lumps and bumps.

[aspers] 28/10/2013 11:56

Commonwealth games contract will see this back above 1800p

[jasab] 28/10/2013 10:29

News....Short sellers have been squeezed by today's Aggreko results. The stock was the fifth most shorted stock going into the results, according to Markit, with around a quarter of the shares available to be borrowed out on loan. The results meant many were forced to cover their positions.

[jasab] 28/10/2013 09:39

The power contracts business seems flat yet local bus is on the rise particularly in USA. Results seems encouraging.

[yorgi] 28/10/2013 09:25

I agree it is Salapara and the market sees it the same hence the slight move up which suggests to me barring any bad news we have seen the bottom here as it has been sold down for the worse which is clearly not the case.

[salpara111] 28/10/2013 09:18

Well, I thought that was OK and has clearly reassured the market but I still cant get my head around the valuation and divi level so I don't think I will take a stake.

[jasab] 28/10/2013 08:10

About time.... up up and away.

[pugugly] 28/10/2013 07:23

Trading update now out.



IMO not encouraging. About the only good point appears to be reduction of debt.

Although not mentionedin the ims is thqt the global economy seems to be recovering which should increase demand for the AGK services but the share price still seems to be fully valued - As pointed out by
Salpara111
22 Oct'13 - 15:41 - 943 of 947

there is a very significant downside risk due to relqtivly low dividend for what seems to be a mature business. but down from a high of £24 so could be approaching a new base but (imo) not yet.

[ladywormer] 25/10/2013 14:28

Peny - I am still holding from £16.25. Wonder what Monday will bring? Am in total awe of Monkey's POG call. He should be in No. 11.

[zcaprd7] 25/10/2013 13:42

£14 is my target entry

[penycae] 24/10/2013 23:18

Ladywormer - hope you stayed with this.....

[topdoc] 23/10/2013 08:24

When is the trading update please.Cannot find a date on the companys website

[salpara111] 22/10/2013 15:41

I guess for me the biggest issue is the lack of a meaningful divi.
I would expect a stock like this to be paying around 3-3.5% but is half that.
The danger with very low yield stocks is that if growth disappoints the share price can be absolutely hammered.
I will be paying close attention to the update and if it is reassuring I will get on board.

[redips2] 22/10/2013 14:25

well, maybe the market likes the new director appointment .