Alexandra Share Discussion Threads

[penpont] 16/2/2003 17:55

Couple of recent forecasts as below still make these look pretty good value. Yld. still 8.5%20032004BrokerDateRecPre-taxEPSDPSPre-taxEPSDPSROWAN DART.5/02/03HOLD3.98.14.64.69.54.6BEESON1/2/03BUY3.98.14.65.010.45.2

[bitochon] 06/1/2003 11:50

Thanks for comprehensive reply. Mind you it is a bit worrying that the accountants would not express an audit opinion as to whether the interim report contained any misstatements or material inconsistencies with the financial information.

[doubleorquits] 05/1/2003 19:21

My reply to the first negative poster on iii was that, although supported by some substance, it was out of date, glossed over important facts to make the article more negative (i.e. left out the positive) and was taken from a left-wing negative newsletter (just read it all).

The latest post is not worthy of a reply really. It is backed up by no substance except anecdotal evidence of only rumour. I also believe it is actually de-ramping a share without understanding. How are Alexandra going to reduce debt and boost margins? Selling off propert that is surplus to requirements reduces overheads and puts cash in the back. Sadly for those involved redundancies are cutbacks also and usually make the business slimmer and slicker. I am not going to say that is good - people out of work is never that - but it does have a required effect for a business. FACT of LIFE.

AXD is a risky share because of debt level. But if this is reducing then that is going to show in the share price. I am not saying it will surge from here - I don't know but on fundamentals and forecasts plus dividends I am prepared to take the risk. It has broken an uptrend and needs to break back above 65p and then 70p to restore some sort of uptrend again. On the downside there is support at about 56p.

Stockmarket is about assessing risk and making decisions - you pays YOUR money and makes YOUR choice.

[bitochon] 05/1/2003 11:04

Some interesting (negative) comments posted on this stock on the Ample (ex iii)BB. Any views anyone? I also notice that the brokers have reduced their recommendations from BUY to HOLD - any ideas?

[johnpaul1] 16/12/2002 18:17

Framlington topped up

[wirralowl] 16/12/2002 15:26

Taken advantage of the recent pullback to finally buy into these at under 60p, having felt like the opportunity had passed me by in the summer. As you say doubleorquits, a nice dividend, a low rating, plus good recovery/growth prospects.

[doubleorquits] 14/12/2002 11:33

General mkt sentiment, stop-losses triggered and tree shaking to take advantage of panicky holders IMO. Buyers on the tip have not had the chance to take profits -may have panicked and taken small losses, though but if they follow the paper they will be back later because the tip was given at 63.5p. Remember divi of 7.2% an EPS of 8.28p and 10.36p forecast giving f/w PER of 7 and 5.6. Targets need to be hit obviously but if they only were to hit 6p this year we are still looking at a PER of under 10 - cheap with the prospect of recovery happening sometime. Then you will be having fixed growth plus a great yield of over 7% for every year you hold. Even if growth stagnates you still double your money in about 10 years!

Biggest danger IMO is debt - companies with debt are getting hit hardest in these markets. As long as debt reduction remains priority and on course this share will continue to recover. An EPS of 10p and PER of 10 with reduction in debt means a twelve month target of 100p is not unreasonable - particularly if growth of another 15-20% can be f/c going forward.

[bitochon] 13/12/2002 13:42

Fall on numeros small sales. People taking profit after the Mail tip or something more omenous?

[doubleorquits] 08/12/2002 15:01

Nice article and tip in Sunday Mail Midas column today:



Packed with promise
Midas, Mail on Sunday 8 December 2002

N falling markets, dividends* can become increasingly attractive to investors, and uniforms-to-corporate clothing group Alexandra is worth considering for its promised yield*.


At its interim results in October, Alexandra declared a 1.6p interim dividend and said it expected to be able to make a final payout of 3p, making 4.6p for the year. With Alexandra's price closing at 63 1/2p, the shares offer a promised annual yield of 7.2% and a respectable 4.7% based on the final payout.


The 4.6p dividend would be unchanged from last year, but that was cut from 8.1p in 2001 when Alexandra ran into problems due to the high cost of manufacturing in the UK. In the past two years, the company under chief executive Julian Budd has restructured, quitting UK manufacturing. It now imports about sevenm garments a year.


The benefits of that restructuring began to flow through at the half-year with profits up 9.4% to £1.56m and operating margins ahead from 5.5% to 6.1% helped by reduced costs.


Alexandra is the UK's leading supplier of professional workwear, including uniforms for nurses and prison officers, and corporate clothing with customers ranging from transport firm FirstBus to Warner Village Cinemas. The company has three core business areas - sole-supplier corporate accounts; other corporate customers; and a mail-order and retail division with 17 shops.


Based on forecast earnings per share* for the current year of 8.1p, the shares are trading on a multiple of 7.8, dropping to 6.1 on next year's earnings forecast of 10.4p. It also has that attractive-looking dividend yield, but as a recovery play, Alexandra is still not a share for the weak-hearted.


The biggest worry is its debt, which peaked at £24.9m at the interim due to increased stocks ahead of new contracts. That compares with its market value of £21.5m, though interest payments were covered 3.5 times by earnings at the half-year.


Budd is focused on reducing debt with some help from property disposals and improved efficiencies from cost-cutting and a new computer system.


Midas verdict: The market is waking up to the recovery potential of Alexandra whose share price has enjoyed a sharp rebound after reaching a low of 37 1/2p in September, but there should be more to come.


The financial ratios in terms of earnings multiples and yield are compelling, but the debt situation means there is still much to prove, though Budd has set a target of cutting it to £ 22m by July next year. Progress reducing this will win Alexandra more support and for now it rates a speculative buy.

[penpont] 25/11/2002 15:04

60p seen now with some pretty steady buying - has it been tipped somewhere over the weekend?

[addict] 12/11/2002 14:17

Holding onto it's gains nicely,and consistently attracting net buying.Soon see 60p methinks.

[active trader] 07/11/2002 16:06

i do apologize i am sure intrims state 8th as xd but my broker also says 6th so i am sorry if i mislead anyone it was not on purpose

[addict] 07/11/2002 14:12

active trader,
They went ex div yesterday.That means an 'effective' buying price little short of 60p.Outlook very positive,methinks.

[active trader] 06/11/2002 15:09

ex div is not until friday 8th nov according to the intrims

[washbrook] 06/11/2002 09:03

Still up today if you include dividend.
xd today.

[washbrook] 06/11/2002 08:42

RNS Number:4110D
Alexandra PLC
06 November 2002

Alexandra plc (the "Company")


Holding in Company




The Company was informed on 4 November 2002 that Framlington Investment
Management Limited was interested in 3,483,000 ordinary shares of 10p each in
the Company, representing 10.46 per cent. of the Company's total issued ordinary
share capital. The breakdown of this holding is as follows:

Registered name Holding

HSBC Nominees Ltd A/C 811664 1,894,000

HSBC Nominees Ltd A/C 811366 750,000

State Street Nominees Ltd A/C LX12 400,000

HSBC Nominees Ltd A/C 812565 201,000

HSBC Nominees Ltd A/C 812577 200,000

HSBC Nominees Ltd A/C 912109 38,000




6 November 2002


This information is provided by RNS
The company news service from the London Stock Exchange
END

[washbrook] 04/11/2002 22:15

johnpaul1
I expect more upside from alex from here maybe 80p by next spring.

[johnpaul1] 04/11/2002 18:00

a close above 54p. will it hold for a few days ? good news if it does

[addict] 04/11/2002 15:15

Creeps up when you least expect it.Guess that 300k trade was a buy.

[bitochon] 31/10/2002 18:13

Beeson Gregory issued an initial covering note on this company rating it as a BUY. The report was available on their website but has since been removed. Anyone any ideas why? Have they retracted?

[addict] 31/10/2002 10:35

Just wondering what sort of game the MM's will try now-the spread has narrowed to 2p,and at 52p offer these look great value against the recent high of 55p.Big buys were being transacted above the 55p mark-as high as 57p.A piddling 10k MM sell pushed them lower yesterday,but during the past few days MM's were scratting around with 25k buys repeatedly.Due to go ex-div soon,for a 1.6p divi.

[addict] 30/10/2002 19:35

Yes,I seem to recall reading that the short term objective was to reach 8%.A tremendous amount of work has been done on this front,and the recent interims are proof that things are heading in the right direction.The spread has widened to a huge 5p,on minimal volume as we approach the date for the shares to go ex-div.Tipped widely as a great turnround share...but I guess human nature being what it is,some will run for the door...I won't be one of them.

[dennis russell] 30/10/2002 17:57

wipo1 - their interim stated that operating margins had increased to 6.1%, with more improvement to come?