Ashtead Share Discussion Threads

[discodave4] 19/6/2014 22:04

Greed!........mmmmmm

[2flatpack] 19/6/2014 20:25

disco
Or you could say +47% in 12 months.
We have all been spoilt by AHT, its been win, win for so long and still is
I hope.
cheers

[discodave4] 19/6/2014 19:33

Was 887.5 Monday, so still down about 3% to pre results.Hope tide has turned though.DD

[ianwwwhite] 19/6/2014 17:58

Ashtead +4% - has the tide turned?

[dealer1972] 19/6/2014 14:13

Liberum Capital 19/06
Reiterates
Buy
Buy
1,030.00p

[broadwood] 18/6/2014 23:40

Despite Tuesday's results failing to inspire the market, broker Oriel was very bullish on construction equipment rental group Ashtead and said it foresaw "growth enduring over the next several years".

The results may not have contained any material upgrades, but they did demonstrate the "remarkable progress" that the group has made and the potential for its non-residential construction markets in the US and the UK.

Oriel expects an enduring construction market recovery and for Ashtead to "ride this wave" thanks to its proven ability to take market share in a fragmented equipment rental market.

Wednesday's release in the US of May's Architect Billings Index showed a jump to 52.5, indicating growth, from a series of sub-50 declines.

Analysts admitted this was only a single point in a volatile series but reaching positive territory was consistent with views of a growing non-residential market.

[fz13] 18/6/2014 12:59

interesting...so an NT doesn't shift the market share price in the same way I guess, even a big one like this

[discodave4] 18/6/2014 12:55

Fz13It's down as a buy - sells we're going at 828.5 at around that time, @832 NT seems to confirm a buy not a sell.DD

[fz13] 18/6/2014 12:23

ie. 1,872,659 shares for £15,580,522

[fz13] 18/6/2014 12:22

Big volume trade today, institution selling?
10:20:58 18-Jun-2014 832.00 1,872,659 15,580,522.88 Negotiated Trade

Still holding here....

[dealer1972] 18/6/2014 11:37

Barclays Capital 18/06
Retains
Overweight
Overweight
930.00p 946.00p
JP Morgan Cazenove 18/06
Reiterates
Overweight
Overweight
996.00p 996.00p

[peterben] 18/6/2014 11:22

I hold these in my SIPP and have done very well out of them. On those grounds I saw the fall as a chance to buy a few more. What's not to like?

[dealer1972] 18/6/2014 10:28

After rising strongly so far this year shares in rental equipment company Ashtead have came off despite the company having delivered an apparently sparkling update. To a degree that is probably down to profit-taking. From a more fundamental point of view, investors are probably asking themselves what might go wrong. The most typical worry is over-investment, of which there have been instances in the past. However, its hire fleet is now the youngest ever, as customers prefer. On the one hand, that means the firm can now reinvest for growth, instead of just replacement, and get ahead of its rivals.

More importantly, Ashtead is heading into an upturn as the US ramps up for a five- to 10-year investment programme to make itself self-sufficient. Furthermore, its investments in greenfield sites Stateside have the potential to provide returns on investment of 20%-plus within a few years. At about 15 times earnings for a growth story The Times' Tempus column said it sees no reason to sell. Hence, the recent share price fall looks like another buying opportunity. "Ashtead has manoeuvred well through the recession, and its strengths suggest further gains as the American market recovers, Buy," Tempus said.

[ramridge] 18/6/2014 08:43

Tempus in the Times gives AHT a good thumbs-up.

[luckymouse] 17/6/2014 21:36

ramridge - indeed - Mark Carney and Yellen appear to sing from the same hymn sheet though so USDGBP hopefully wont get way out of sync in the near term.

Ian - im a results trader so yes i do flit about! I would prefer to invest & hold but much of the market has looked like a slow motion crash for the last few months. Last September my spreadsheet calc'd the majority of UK stocks were Overbought - now the majority are Oversold and many of the momentum trend plays have broken down to the 200day ma or beyond - so a good entry time for value investors (unless something horrible happens in Ukraine or Middle East!)

I suspect the fund mgrs saw the end of the QE party coming and de-risked.

Best of luck to all
LM

[discodave4] 17/6/2014 19:46

ramridge,With regards to currency movements, this is I believe partly addressed in the annual report as follows:The Group's exposure to exchange rate movements on trading transactions is relatively limited. All Group companies invoice revenue in their respective local currency and generally incur expense and purchase assets in their local currency. Consequently, the Group does not routinely hedge either forecast foreign exchange exposures or the impact of exchange rate movements on the translation of overseas profits into sterling.Thanks to poster Funkmaster.DD

[ianwwwhite] 17/6/2014 19:25

bracke,

Ok, if I mention the MB words again, I will immediately go and wash my mouth out with soap...

ramridge
Welcome to the board. If it is any consolation, I have been a holder for over ten years and seen the price rise and fall some tenfold.... I am regarding this as a minor setback for the time being, it sometimes becomes a test of nerve, but AHT has rewarded a buy and hold strategy handsomely in the past.

In any event, good luck with your investment!

[ramridge] 17/6/2014 18:57

Hi Ian - since today is my first time contribution to this board, I guess your remarks apply to me as well. I am neither a lurker nor a migrant trader. Bought AHT as a medium term investment in my SIPP. Yes I have my skin in the game. May not last for long though if the stock gyrates for reasons I don't understand.

[ramridge] 17/6/2014 18:44

LuckyMouse - AHT's US business is around 94% of total. So at a guess EPS and PBT would also follow the same proportion. A 5% - 10% sterling appreciation against the $ in the medium term would translate into a near 5% - 10% reduction in EPS, solely due to currency factors. Not insignificant.

[bracke] 17/6/2014 18:34

ian

Yes the reaction to the results was unexpected. It would have been understandable it it was at a high or had spiked up but neither applied.

Various reasons have been suggested time will likely tell.

No major sellers announced.....yet.

One often finds that unusual share price changes bring lurkers out of the woodwork.

Please......no more mention of the dratted Mars Bar!!!

[ianwwwhite] 17/6/2014 18:25

bracke

Noted with thanks, we managed to keep our heads above water....just!

What puzzles me are two things - why the disappointing share price reaction to what were pretty good results, and where on earth did all todays' board contributors suddenly come from... are they lurkers or migrant traders perhaps?

In any event their contributions are most welcome, and I hope that I can look forward to lots more entrants if I am ever foolish enough to resurrect the AHT Mars Bar competition in the future once the scars heal!

[bracke] 17/6/2014 16:33

You will note that the share price managed to hold onto 826 following a retest.

[luckymouse] 17/6/2014 15:41

The bigger question for me is do the forecasts look a touch low - well yes - a slight tick up in interest rates isnt going to crush AHT - that splintered mkt has bags & bags of room for merge and slash. More likely no analyst wants to stick their head above the parapit in the fast hire and fire world of investment banks. They may well end up incrementing upwards through the updates & interims - far safer for them & their weasely job security.