Ashtead Share Discussion Threads

[3rd eye] 07/12/2016 11:01

AHT Ashtead......

hxxp://www.directorstalkinterviews.com/ashtead-group-plc-13-5-potential-upside-indicated-barclays-capital/412718079

Ashtead Group plc 13.5% Potential Upside Indicated by Barclays Capital
Posted by: Amilia Stone 7th December 2016

Ashtead Group plc using EPIC/TICKER code LON:AHT has had its stock rating noted as ‘Retains’; with the recommendation being set at ‘OVERWEIGHT217; this morning by analysts at Barclays Capital. Ashtead Group plc are listed in the Industrials sector within UK Main Market. Barclays Capital have set a target price of 1774 GBX on its stock. This would imply the analyst believes there is now a potential upside of 13.5% from today’s opening price of 1563 GBX. Over the last 30 and 90 trading days the company share price has increased 331 points and increased 288 points respectively.

Ashtead Group plc LON:AHT has a 50 day moving average of 1,375.95 GBX and a 200 day moving average of 1,130.21 GBX. The 52 week high share price is 1592 GBX while the year low stock price is currently 749 GBX. There are currently 499,225,714 shares in issue with the average daily volume traded being 2,451,398. Market capitalisation for LON:AHT is £7,852,820,481 GBP.

Ashtead Group plc is an equipment rental company. The Company rents a range of construction and industrial equipment across a range of applications to a diverse customer base. The Company’s segments include Sunbelt and A-Plant. The Company operates in the United States, the United Kingdom and Canada.

[shauney2] 07/12/2016 08:46

From citywire

[3rd eye] 07/12/2016 08:02

Ashtead Group PLC AHT Barclays Capital Overweight 1,557.00 1,556.00 1,279.00 1,774.00 Retains

SP target 1774p

[fenners66] 06/12/2016 22:58

Apart from the fact that IC were tipping us as a sell for years despite results and share price going north.

URI up 1.9%
H&E up 1.8%

in the end AHT results look well received for the read across.

[shauney2] 06/12/2016 21:39

Oh yes those mags are really going to move a near 8 billion pound company.

[3rd eye] 06/12/2016 20:48

Dont forget guys we are early enough for Shares Mag and the IC to give us a good tip at the end of the week. NICE........rather nice.

[ianwwwhite] 06/12/2016 19:01

Just caught the end of Ian King on Sky Business News, interviewing our Geoff Drabble... now I know we are going places!

[bracke] 06/12/2016 18:56

Good day LAIRD

I am no expert on candles or their patterns but from what knowledge I have I read the candles as follows:

Following the large up candle on the 30th there followed a couple of down candles; this pattern is a 'Three Inside Down' is bearish reversal and has a high reliability. There followed an up day which of itself does not negate the 'Three Inside Down'.

Now we move to to-days candle which had a 70 point range from 1522 to 1592. The mid point in the range being 1557. The closing share price is shown as 1556. Although it achieved a new intraday high at 1592 it failed to achieve a new closing high which stands at 1567.

It is likely that to-day being a results day has skewed the price action, the next few days are likely to clarify the situation.

[3rd eye] 06/12/2016 18:39

LOL. hehehehehehehe

[ianwwwhite] 06/12/2016 18:37

No worries 3rd eye, we welcome people from everywhere here, even God's own county!

But mushy peas and fish butty??????... beyond the pale!

[3rd eye] 06/12/2016 18:27

Ohhhhh yes Im from Yorkshire. Times are grim up here. We all voted brexit as we feel we have missed out on globalisation.

Anyway just finishing my mushy peas. 10 minutes and Ill be back.

cheers.

[ianwwwhite] 06/12/2016 18:04

Thanks 3rd eye, but a fish butty????

[ianwwwhite] 06/12/2016 18:03

If any AHT aficionados have not found the webcast of the AHT results presentation, I recommend that you follow the link on the AHT Investor Relations section of the AHT website.

It is well worth the effort to see Geoff Drabble and Suzanne Wood's consummate grasp of the detail of the business, and quite illuminating!

[3rd eye] 06/12/2016 18:02

ohhhh most certainly ian in fact i have another broker note i will release after I have had my fish butty tea. cheers.

[ianwwwhite] 06/12/2016 17:50

clarky5150

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I think every one of the buy recommends is showing a share price target below the current share price so we may get a slightly less positive view in the coming weeks..
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

I think that it is more probable that the 'buy recommendations' are lagging behind the latest results, and following today's AHT analysts presentation, (recommended viewing!) it should follow that the analysts views will be updated and brought into line with the share price action. (Of course, apart from those of Miss E.R. analyst of D.B., who has consistently been a contrarian it seems!)

The outlook is definitely positive in my view! (DYOR)

[lairddavid] 06/12/2016 16:42

do you not get those long tails on the canslestick when its about to move in the opposite direction? Which would suggest onwards and upwards.

[optomistic] 06/12/2016 15:48

Not until later Bracke :-))

[bracke] 06/12/2016 15:45

optomistic

Hmmmm Gone long in mince pies and I suppose there was something liquid other than tea to go with the mps'.

[clarky5150] 06/12/2016 15:40

I think every one of the buy recommends is showing a share price target below the current share price so we may get a slightly less positive view in the coming weeks..

[optomistic] 06/12/2016 15:39

Thanks for the answer Bracke and sorry for delay in replying but my neighbours came home and I went round to take them some mince pies (I have a good supply source for these) and we finished have a lengthy conversation :-)

[bracke] 06/12/2016 14:41

Good day optomistic

You may well be correct but hedging with a long in the same share price is not something I do very often. OK if you are using different time frames on the trades ie. 5 minute and daily but if using the same time frame it can be confusing as to when to close either/both.

My analysis suggests that it is due for a drop of 50 to 150 points. If you look at a daily chart you will see that it is way above its daily SMA200 far further than it ever has been.

Merely a fall to the daily SMA50 would bring it down to approx 1360.

[3rd eye] 06/12/2016 14:35

AHT Ashtead update.........

Broker note from PEEL HUNT guidance RAISED.

H1 profits £425m (+9% YoY at CER +25% reported) vs PHe
£410m. Sunbelt momentum continues with Q2 rental revenues
+14% (Q1 +14%) and drop through remains strong at 64%
(72% LFL). Outlook remains confident with capex guidance
increased c20%. We increase our April 2017 PBT from £750m
(cons £760m) to £790m to give EPS of 102p from 97.1p. This
reflects both currency and an underlying upgrade. Shares have
performed but continue to offer value on c12x revised April 2018
EPS given growth, quality and positioning.

Trading details: Underlying rental revenue for the Q2 period rose 33% (14% at
CER) to £784m with group EBITDA increasing 35% (15% at CER) to £417m
to give Q2 EBITDA margins of 49.4% (from 47.6%). Q2 2017 group PBT of
£242m compares to our £227m estimate and represents 14% constant currency
growth. Net debt has increased to £2,694m from the £2,348m Q1 closing
position given investment and fx moves. However, implies leverage of 1.8x
EBITDA (from 1.7x) and well within management’s 1.5-2.0x target range. ROI
dipped slightly to 18% from 19%. Importantly, the Sunbelt (92% EBITA)
revenue momentum continues with Q2 rental revenues +15% (Q1+14%) with
performance driven by volume (slight yield decline). We note that same store
volume growth is c8% (around 2x the market growth rate). Sunbelt Q2 EBITDA
margins of 51.5% (Q2 2016 49.6%) are supported by 64% drop through with
underlying same store drop through of 72%. Solid performance from A Plant
(8% EBITA) with Q2 profits rising 13% to £20.3m. We note that 17% Q2 rental
revenue growth compares favourably to peers.
Outlook Statement: is optimistic (trading upper end of expectations) and
management still sees opportunities to drive more volume across network as well
as enhance the speciality offer. Capex guidance has been increased to £1.0bn to
£1.2bn (from £0.7bn to £1.0bn). We increase our April 2017 PBT from £750m
(cons £760m) to £790m to give EPS of 102.0 from 97.1p. For FY 2018 we
increase PBT from £844m to £900m to give EPS of 117p. This partially reflects
currency as well as an underlying upgrade. Estimates are now struck at 1.30.
Valuation The shares have performed well given the combination of trading
outperformance, currency led upgrades, share buy-back (£200m programmes)
overseas earnings and attractive end markets (enhanced by recent Trump
commitment to Infrastructure). However, the rating (13x April 2018) fails to
reflect the pace of growth, potential from the Project 2021 expansion and
underlying business quality/positioning.

[optomistic] 06/12/2016 14:26

Good afternoon Bracke. That short is looking dodgy, would it help to hedge with a long?
Serious question as I am not into S/B's