Brady Share Discussion Threads

[cyberian] 14/10/2010 17:04

Magnerita...thanks for article lead..very interesting and positive. However, I too am confused by their apparent lack of judgement....or is it skill...in share buy-backs. They should perhaps change their house broker as the last purchase was on 14/9 for a miserly 6,250 shares was at 67.5p and we are now below 60p. In less than 2 months the market cap. has fallen nearly £2 million, and yet net market sells have not been anywhere near that level. Plus after 6 months of the buy-back program they have only bought one-third of their limit. My grouse is their (or Broker) failure runs against there stated strategy to absorb these small sell orders...think someone at the company needs a kick as the other aspects of their businesses look very positive.

[marben100] 01/10/2010 20:11

Suits me. :0) Good opportunity to get back in, having been out for a while. Did have my doubts about delivery & the shares didn't seem cheap, but Brady has been consistently beating forecasts and growing nicely. I'm impressed with Gavin's achievement.

If it goes much lower, will be happy to pick up some more.

Cheers,

Mark

[magnerita] 01/10/2010 07:49

the shares are coming down on small volumes - exactly what the company tried to prevent using its buyback program. But for some reason, they seem to have stopped buying back shares in recent weeks.

[cyberian] 21/9/2010 00:42

See from the Brady web site that on 15th September they announced that effective November this year they will be providing a gold futures clearing/settlement system to members of the LME. It all helps....

[cyberian] 15/9/2010 13:42

"PLUS" index showing a 25,000 buy at 8.07am at a price of 67.4p so not toosure why the mark-down, especially after the company small purchase of 6,250 at 67.5p the other day taken into Treasury Stock. Need some more contracts to lift the share price

[steadyitgoes] 06/9/2010 12:08

New note -

[zipstuck] 06/9/2010 08:01

6 new contracts since 6/6/10 so second half will be good

[raggedglory] 04/9/2010 12:25

Evidently the new contract is subject to a confidentiality clause, but it would be interesting to know who the new client is.

[cyberian] 02/9/2010 21:58

Excellent contract, and told that "full suite...on a hosted basis" is quite key and something the company is hoping to secure more of in future.

[cyberian] 27/8/2010 00:10

The 6,000 at the close was a buy...so maybe the spread is quite low. Looking forward to the company's results Monady week, 6th September. Doubt it but I would love them to expand a little on positive pipe-line etc.

[magnerita] 24/8/2010 08:07

and another contract win for Brady Switzerland. Good acquisition that was; I wonder where the share price would have been if they had not acquired Viveo.

[magnerita] 04/8/2010 13:49

These huge swings in soft commodity prices recently (wheat, coffee) should hopefully convince some hesitant parties to sign up to Brady's risk management products.... just wishful thinking of course... i doubt we will hear any news before the interims early September.

[cyberian] 20/7/2010 09:51

They also had a £400,000 write-off over an aborted acquisition cost over the last year. First 6 months of '09 saw Revenues increase 40% but that would have included Comsoft acquisition in early January '09. The Viveo purchase in mid-March should also now start to kick-in some good revenues through 2nd half and beyond and will achieve a far better return than through cash deposit interest. Still believe that the company down-play their prospects a little but the LME business should also start to contribute more over the year. Management need to adhere to their stated intent to keep costs down or at least align them properly to action/marketing where new contracts are more pressing. They also need to address the importance of raising the company's profile to attract more attention and the greater liquidity in the shares may well help the share price move forward as they secure a better following.
It looks like the former board members are down to about 50% in their holdings which may help matters. I believe the recent RNS is a bit confusing as I cannot see recent sells of just under 3% of the company (824,061 shares) having taken place unless through some off market switch. Just maybe some investor wanted to purchase below the 3% level. I also noticed that the net remaining holding of 1,701,666 is some 200,000 shares exactly below that declared in a 12/10/09 RNS with respect to the position of their former Chairman. Finally, I must say that the new management team appear far more focussed in taking the company forward and I have confidence that they are genuinely working to attract more substantial investors and improve value for shareholders. Thanks Magnerita for your valued inputs.

[magnerita] 19/7/2010 08:55

Just to be complete - Of the GBP0.8m cash outflow in 1H - half must have gone to the divi.

[magnerita] 19/7/2010 07:47

I find this a slightly disappointing trading update: 1) group has not generated any cash in 1H. Year-end cash was GBP5.9m. Viveo costed them GBP1.9m (or GBP2.3m incl cash), meaning that GBP0.8m must have been their 1H cash outflow. I feel that it has been driven by investments and the integration of Viveo, but it is not stated explicitly. 2) 20% of revenue growth is not huge assuming most growth is coming from Viveo if it is consolidated for 1 quarter. It underlines that the underling Brady business is under a bit of pressure at the moment.

Nevertheless, positive that the board remains optimistic and recent contract wins are also positive. Not sure if this alone will push the shares higher.

[magnerita] 16/7/2010 13:56

does someone remember who was behind this Gerrard stake?

[cyberian] 15/7/2010 17:27

Huh!!!... and a couple of small late trades on "PLUS" at 61.7p. Magnerita..again your comments/observations the other day appear on the mark. The Brady board did state at the AGM that they considered the share price to under-value the company, and hence the buy-back was put in place to mop-up some silly declines against very small trades on the sell side. Hope we continue to get some more coverage and the company secures additional contracts...the auditor/regulatory issue mentioned by Magnerita may induce more take-ups of the Brady software. Plus the London Metal Exchange had introduced some further measures recently where Brady are best placed to accommodate. Here's hoping Brady gets on more investors radar....

[davidosh] 15/7/2010 17:14

That would be insider trading ahead of a company update. Must have been a story or broker note sent out or similar for so many medium sized trades.

[magnerita] 15/7/2010 16:55

i think we are still a trading update due - perhaps tomorrow.

[davidosh] 15/7/2010 16:41

What happened ?? No trades at all then from 16.20 about 20 individual buys....very odd !! Was it tipped by a sheet that goes out late in the day as I cannot find news or an RNS

[cyberian] 14/7/2010 13:37

Magnerita..thanks for your last post which is very useful and helps to explain some of ones doubts/concerns...the latter point has been true for some time but getting increasing attention. Maybe this will provoke some increased contracts etc.

[magnerita] 14/7/2010 11:19

From the Edison monthly from 1 July (so pre latest two contracts): interesting remark on ST uncertainty to the sales cycle.

Brady has announced two contracts which highlight its ability
to cross sell applications. Koch Supply & Trading, which has been using Brady technology for derivatives trading and risk management for a number of years, has chosen Brady to support its physical trading while an unnamed existing raw materials and derivatives customer has chosen Brady to support its cotton trading activity. Also, cotton merchant Paul Reinhart AG has become a new customer, using Brady to provide it with a enterprise-wide risk management solution. The stock trades on 0.9x enterprise value to FY11 sales and 4.3x EBITDA, a sizeable discount to peers.

Brady provides trading, risk and connectivity software solutions to the global commodity market – miners, fabricators, banks, etc. Volatile commodity prices and potential general delays in clients' decision making add some short-term uncertainty to the sales cycle.
However, the target market is underinvested in IT and auditors, and regulators are seeking increased reporting and accountability across the industry.

[magnerita] 12/7/2010 06:07

I am slightly surprised to see the Brady orderflow in recent weeks. Although it is definitely encouraging, it is not clear to me why they are falling now (last year BRY also announced orders in June, early July though). Additionally, it looks like the orders for the old BRY are somewhat light, given that most orders seem to be for Viveo or Comsoft products - perhaps this does raise some questions on the viability of the old BRY product... Still waiting for this to be re-rated.

[effortless cool] 08/7/2010 08:44

Where is EssentialInvestor?