Begbies Traynor Share Discussion Threads

[energeticbacker] 08/12/2020 15:37

As has always been the case, Begbies is still counting on an avalanche of new work as government support measures are removed. After more than 16 years on AIM, and management being massivley rewarded for modest returns, will it finally come to pass for BEG!! Covered in Investor's Champion's latest update

[zangdook] 08/12/2020 15:25

They provide a service to help companies which run into difficulties. I suppose you think doctors and nurses are all ghouls too.

[santangello] 08/12/2020 15:06

I certainly haven't waited for any opinions in print/coverage......I have added at crazy prices today......and trust more what is fact and the Company tells me rather than observers words(after the same, the opportunity to buy at lower prices usually evaporates)

[paleje] 08/12/2020 14:45

Haven't seen Scott's coverage but IC had a favourable article earlier today in which they quoted Cannacord as having fair value at 125p. It's subscription I'm afraid and too soon to copy it.

www.investorschronicle.co.uk/shares/2020/12/08/stalled-insolvency-market-starts-to-thaw/

[cravencottage] 08/12/2020 13:10

Do we know if it was a good write up from Paul Scott?

[boonkoh] 08/12/2020 09:29

Paul Scott is going to do a writeup today on Stockopedia. Would be interesting to see his take.For me there is good momentum of earnings over next 12 months, I can see repeat out performance vs forecast.There's Brexit. Whether hard or soft Brexit, there will be losers next year who go into insolvency.Then there's Covid. Many businesses, especially small to mid which Begbies specialise in, will go up the wall. The big businesses have all gotten their funding and loans at crazy low rates, and will squeeze the small competitors out of the market.Commercial property market will be in chaos next year, so lots of auctions to come.Its not even expensive. 11x FY22 broker forecast!

[bogman1] 08/12/2020 09:09

Strange how the share price falters whilst results and prospects are so good. Fill yer boots lads. I can only assume the fall is due to this Brexit mess but it all plays into begbies hands

[santangello] 08/12/2020 08:52

Very satisfying, positive and excellent results.

I continue to add.

[paleje] 08/12/2020 08:18

Decent interim report I thought and FY will 'at least' match guidance, insolvencies expected to rise as government support schemes are withdrawn so next year should be profitable. Divi 10% increase usually a good sign.

[cravencottage] 01/12/2020 17:00

Waking up.

[cravencottage] 25/11/2020 18:28

Unemployment set to spike in Q2 of2021

What does this mean for BEG?

A nice slow burner!

[thewheeliedealer] 23/11/2020 21:39

Hi all,

My mate Peter @Conkers3 and myself did a ‘Twin Petes Investing’ Podcast a few days ago and part of our discussion includes BEG which looks decent value and should be well placed as government support for struggling businesses falls away. We also chatted about loads of other Stocks and Ideas for research and did a particular bit about Luck vs Skill. We also discussed the outlook for Markets and as usual a fair bit of educational stuff with regards to Investing.

Anyway, if you use Apple, Audioboom, Overcast or Spotify you can find it under the 'Conkers Corner' Channel (you want Podcast TPI 36) and you can find it on Soundcloud at the link below. It is also now on Youtube.

I hope you enjoy it and find it useful,

Cheers, WD
@wheeliedealer

[aleman] 19/11/2020 11:41

The Office for National Statistics has reported that 14% of UK businesses said they had low or no confidence that their business would survive the next three months.

That figure jumps to one-in-three firms in the food or accommodation sector, such as pubs, restaurants and hotels.

[cravencottage] 18/11/2020 21:46

Rerating underway..

[topvest] 18/11/2020 20:34

All very positive. It says that they have increased market share. Maybe they have also accelerated some work as well to clear the way for more work when the support runs out.

[daneswooddynamo] 18/11/2020 11:28

Beg is doing well as financial support is applied. Will do even better as it is removed. Seems as simple as that imo

[riverman77] 18/11/2020 10:35

Surprisingly muted reaction and this is still down 20% since May. Tempted to add a bit before people catch on.

[royalalbert] 18/11/2020 07:39

Nice update.

[cravencottage] 18/11/2020 07:37

Rimau1

6p of EPS for 2021..

Additionally the above article infers city analysts are pencilling in a 32% uplift for 2022 which gives us 7.8p

Putting BEG on tad over 11 PPE for 2022.

As Piers Morgan says " The world's gone nuts "

[daneswooddynamo] 18/11/2020 07:37

Very solid update and will jump sharply today

[rimau1] 18/11/2020 07:23

Excellent update, despite weak insolvency markets expect a performance AT LEAST in line with expectations and now its in a net cash position. So i make that just over 6p eps year end 2020 and a well covered dividend yield of 3.3% many prefer FRP due to the property services arm at Beg but it acts as a good hedge in times like these when temporary government support slows the insolvency market. Due to it being such a fragmented market i also expect some small earning enhancing bolt on acquisitions this next year. I am a long term holder and sleep very well holding BEG.

[monkey79] 17/11/2020 11:59

Take a look at MANO, who's share price is unbelievably depressed following an inaccurate and erroneous report from Share Prophets’ IMO. PE is a fraction of BEG. - Company highlights:- • Largest UK insolvency litigator, 65% market share. In a growing market estimated to be worth 1.5bn pa. • Jackson reforms removed success fees, ‘no fee no win’ arrangements. Transformational for third-party funders like MP, who purchase 92% of their 2021 cases. • Potential barrier to entry for new insolvency litigators as likely will require capital funding to buy cases. • Primary litigator for HMRC. In the last 3 months 2 cases generated £7.2m profit. • MP has built a national network of solicitors in the last 2 years, previously London/SE. • From 2014 to 2019, annual new case instructions had been c40-60 pa. Since MP built national network of solicitors new case instruction tripled - 2020 - 141 cases - YTD 2021 (6 months) – 126. • Bankruptcies have recently been falling due to government support, MP’s business has flourished under this environment. • Case duration 11 months and 92% of cases purchases. Comparisons with Burford Capital are ill-conceived – different metrics. • Half year profit 9.5m (4.0m was from realised cases). PE is currently 6.6 - fair value of unrealised gains on investment cases is being ignored by market. PE ridiculously low for a company with MP’s growth. • Since IPO in 2010, MP have realised 305 cases for £18m. They currently have 224 ongoing cases. Ignoring the fact that the number of new case instructions and values are increasing, 224 cases should realise 12m in the next 11 months. The current discounting of MP’s fair value of unrealised gains will abate over the next year when gains are realised. • MP’s two cartel cases (£5-£10m each) are nearing completion, could potentially amplify growth. • BANKRUPTICES WILL SKYROCKET WHEN GOVERNEMENT SUPPORT IS REMOVED. Estimates that 800,000 to 1,000,000 companies could fold within a year (normally 15,000 to 20,000 pa). MP have national network and capacity to take on transformation number of new cases. I’m struggling to see the downside here exactly?!

[cravencottage] 13/11/2020 18:15

Yielding close to 3.5%

And the shareprice not much more than it was 18 months ago - A rerating is due at some stage.

The penny will drop with the market at some time.