Aveva Share Discussion Threads

[ok,yah] 30/5/2008 14:42

This looks like its going up for ever!

[sharw] 29/5/2008 18:04

1435 after 1440 intraday high.

[sharw] 28/5/2008 16:24

Yesterday's profit-takers have gone and we have a new closing high of 1350 after intraday 1373. Excellent.

We now need new forecasts as those for the current year (produced before yesterday) show zero growth!

[essexlad] 28/5/2008 12:29

28/5/08 - The Independent:

Share price: 1,284p (+22p)

Wow! No matter which way you cut engineering support group Aveva's recent performance, it looks pretty impressive. The company, which provides IT technology that aids power station and ship building projects, announced an 83 per cent increase in pre-tax profits yesterday, continuing its performance of recent years, which has led several analysts to describe the group as a banker for stockholders.

Investors will be further heartened by the fact that while Aveva is keen to make, albeit conservative, acquisitions, its chief executive Richard Longdon does not rule out the prospect of returning its growing cash position to shareholders at some point in the future.

If it all sounds too good to be true, it might be. The worry for investors is the share price already reflects Aveva's stellar performance and that buying now would be too late. Watchers at Panmure Gordon, who have the stock on hold, say the shares have been a gravy train recently and that at some point there will be a time to hop off. However, they also say the group surpassed expectations yesterday in the "important areas, such as its net cash position and its dividend payment".

Those at Seymour Pierce suggest the recent surge in the share price is actually not that impressive. They reckon the group should be looking to trade at 25 to 30 times its estimated 2009 earnings, rather than its pedestrian rate of 22 or 23 times. This, they argue, would give it a share price of 1,450p, so the current level is "not a bad entry point".

The analysts also point out the area in which the group has hitherto disappointed, its US market share, is set to improve after Aveva signed several agreements with the likes of Chevron.

The group is a very good performer and holders should be grateful their money is safe. New investors should have enough time to see impressive returns. Buy.

[johnrxx99] 27/5/2008 07:04

Another year of record levels of revenue and profit
Revenue up by 34% to £127.6 million (2007 - £94.9 million)
Recurring revenue up 25% to £66.1 million (2007 - £52.7 million)
Adjusted profit before tax, amortisation, share-based payments and goodwill adjustment up 70% to £47.9 million (2007 - £28.1 million)
Adjusted earnings per share up 74% to 55.22p (2007 - 31.71p)
Profit before tax up 83% to £45.0 million (2007 - £24.6 million)
Basic earnings per share up 91% to 50.80p (2007 - 26.59p)
Investment in Research and Development up 21% to £21.3 million (2007 - £17.6 million)
Net cash at the year end of £82.8 million (2007 - £41.3 million)
Increased final dividend of 5.0p (2007 - 2.94p) bringing the full year dividend to 6.65p (2007 - 4.18p) - an increase of 59%


Not many will do that this year and imo fully justify's it's rating.

[johnrxx99] 27/5/2008 07:03

Don't like to bang on but.....

[sharw] 27/5/2008 06:49

Results looking good. Consensus forecast for current year (to 3/09) are:

PTP £53m EPS 55p Div 6.4p

THESE HAVE ALL BEEN BEATEN IN THE YEAR REPORTED TODAY (to 3/08)!

[johnrxx99] 22/5/2008 15:15

HSBC now 7.25%. Perhaps price brought down for sale/purchase

[essexlad] 21/5/2008 19:51

No surprises there from Caz. If results are not as good as expected (given the recent upgrades) then the stock could tank. However, I agree that if they are good we could still see some profit taking.

[nickcduk] 21/5/2008 10:49

I think the recent rise was bear squeezing ahead of the results. Cazenove downgraded the stock yesterday saying valuation was a bit rich. More than likely the shares will fall on results day as a bit of profit taking is due.

Cazenove downgrades Aveva (AVV.LN) to in line from outperform. "Following a period of sustained outperformance, we believe Aveva's valuation now fully discounts a strong '08 result and retains few material near-term catalysts." Aveva trades at a 5% premium to its UK software peers and a 38% premium to its international CAD/CAM software peers. "While we remain fundamentally positive on the share, we see little near-term scope for multiple expansion." Shares -0.5% at 1313p

[sharw] 19/5/2008 16:41

Tuesday 27th it is. I think there is now some stocking-up prior to the event - close 1320 after 1337 intraday high.

[johnrxx99] 12/5/2008 08:34

A peep over 1300p again. Results due on the 27th I think.

[nickcduk] 08/5/2008 10:18

A pretty sharp bear squeeze has driven AVV higher over the past few sessions. Would expect it to fall back soon.

[sharw] 08/5/2008 09:42

Yesterday was 1301 after 1309.

I agree - we must expect a bout of profit-taking at some point. This could be after the results - I have seen a number of times the price of a good company go up in anticipation of results and when they come out, however good, the price drops.

[johnrxx99] 08/5/2008 00:57

What a star. HSBC upping stake, results ahead of expectations and new business going strong and new all time high. I guess there must be some profit taking soon but if it hits the 50 day I'm in for more.

1200p in the distance and now the focus on 1300p.

[sharw] 06/5/2008 15:59

And yet again - for the record - new closing high of 1252 after new intraday high of 1260.

[sharw] 02/5/2008 20:09

And again - new closing high of 1234 after new intraday high of 1248.

[sharw] 30/4/2008 17:51

Yes - new closing high of 1221 after new intraday high of 1230.

[essexlad] 30/4/2008 13:59

it's trying to hold +£12 - let's see where we end today

[johnrxx99] 29/4/2008 08:46

thanks for that EL. Waiting for the perminent break of 1200, if anything can be perminent in this market.

[essexlad] 29/4/2008 07:51

Abu Dhabi Ship Building selects AVEVA Marine for ship designing and building
28 April 2008

AVEVA (LSE:AVV), the leading supplier of engineering IT systems for the marine industries is proud to announce that Abu Dhabi Ship Building (ADSB), a prominent shipbuilder in the Middle East, has selected the AVEVA Marine software solution to support the design, fabrication and construction of its new projects.

ADSB specializes in the construction, repair, refit and upgrade of Naval, Military and Commercial ships at their yard located in Mussafah, Abu Dhabi. ADSB has especially strong ties with the UAE Navy and is affiliated with several Gulf Navies. Their decision to select AVEVA Marine came after rigorous studies and benchmarks of other commercially available systems. AVEVA Marine has become an integral part of ADSB's exciting business plan.

Major Waleed Al Tamimi of Abu Dhabi Ship Building said "ADSB will use AVEVA Marine to help us achieve the business and operational benefits that we need to meet our current and developing business plan. In addition to the navy of the UAE, we have been awarded contracts for the navies of other countries. We are also developing our commercial shipbuilding business to match the growing opportunities, particularly in the Arabian Gulf, in support of the expanding offshore and construction industries. ADSB is implementing world-class production technologies and modern working practices and AVEVA Marine is an important component of us being able to do these".

Louay Dahmash, Vice President of AVEVA Middle East states "AVEVA is proud to announce our alliance with Abu Dhabi Ship Building. The AVEVA Marine portfolio will enable ADSB to design, build and refit their ships productively and efficiently. We were able to show ADSB how AVEVA Marine technology is being used effectively in other shipyards designing and building complex naval ships and also in the offshore industry. AVEVA is looking forward to developing our relationship with ADSB and working closely with their staff".

End

[sharw] 23/4/2008 16:26

Excellent - a new closing high of 1211 after a new intraday high of 1215.

[essexlad] 18/4/2008 11:03

It will be interesting to see how it performs in the run-up to the prelims (due May 27th).

Just as an aside - it is always worth checking out their website for news on contract wins:

[johnrxx99] 18/4/2008 02:51

I don't read the use if the divi in that way and would be a waste imo to give it away.

The company has focused on it's core expertise to date and used the cash to develop it's offering. A purchase could expand the business but when you are in a niche market and are the best, it must be hard to find one.

The pe is about right for this company as it reflects the past 5 years of growth, no bad news and 20%+ pa eps growth. I trust this management more than my wife!!

Nothing is certain in the current market but this is the only company I have remained in throughtout the current crisis and topped up as we dipped. Of course dyor and caveate emptor.

[sharw] 17/4/2008 23:41

Meanwhile, Tempus suggests a special dividend from the cashpile: