Braemar Share Discussion Threads

[haywards26] 11/6/2025 16:52:26

Another murky RNS - Investigation.

The national crime agency have applied for and received a court order allowing them to freeze a BMS bank account...Not a good look especially following quite recently on the report surrounding Russian shadow fleet deals and circumventing Russian sanctions (Oct 24)...

Management and compliance alarm bells ringing...

[mellodaniel] 30/5/2025 08:44:04

A reminder that Braemar's management team will be at Mello2025 next week.

Come & meet some of the management face to face and ask them some questions... The schedule is now live and you can see Braemar present on Tuesday 3rd June in Chiswick:

Use code: NewMello25 for a £30 one day ticket

[alfred] 29/5/2025 16:23:59

The Board clearly hold shareholders in utter contempt.

[cfro] 29/5/2025 10:20:25

There's an IMC meeting at 2pm today...

[deanowls] 29/5/2025 10:01:53

For me because they believe they know better and I would like to understand if their bonuses and share awards are down to earnings per share.

Be interesting to see the bonuses paid to all of the different divisions managers this year yet dividends allocated to share buy backs.

Will the management bonuses remuneration be allocated to share buybacks? Doubt it.

[edmundshaw] 29/5/2025 09:51:23

Just last year the CEO had a long talk with Lord John Lee in which he explained the importance of dividends to investors. A more impressive and experienced investor would be hard to find in this country. Why did they do the opposite of his clear guidance?

[deanowls] 29/5/2025 08:43:46

They don’t believe it though, look at the director buy versus sales.

For me they are now running it for directors rather than shareholders. The communication there runs smacks of we know what we are doing more than you.

I can’t remember a RNS for a long time that I have read that has made me feel angrier as I’ve read through it. Really really poor.

[edmundshaw] 29/5/2025 08:33:10

Halving the dividend for buybacks to try and boost the share price? What planet are they on.

They clearly have no clue what the majority of shareholders think of buybacks. It is a kind of impatience, I think, but it doesn't work especially concurrent with a sharply reduced dividend. In thirty years of investing I have seen it work a handful of times at best. Getting back to the old 15p dividend then gradually a bit more as the business grows, in the medium term a rerating would happen. But you have to wait.

Personally I am theoretically not against buybacks (though most shareholders other than some self-interested institutions who want an easy divestment route hate them). But there has to be a better reasoning.

[mellodaniel] 12/5/2025 17:38:07

Just to let shareholders and prospective investors know that Braemar have just signed up and will be presenting at Mello 2025 on 3rd June 2025


If you are not familiar with us at MELLO, we have created a two-day investor conference that will include top quality keynote speakers including Ben Rogoff (Polar Capital Technology Trust), Georgina Brittain (JP Morgan AM), Christopher Mills (Harwood Capital Management), Gervais Williams (Premier Miton) and Lord John Lee (leading UK Private Investor).

The conference will feature panel sessions such as our popular Mello BASH (Buy, Avoid, Sell, Hold) with professional investors and analysts like Paul Scott. There will be over 40 exhibiting & presenting companies including Rockwood Strategic, Restore, TPFG, Time Finance, Smiths News, Mortgage Advice Bureau, Personal Group, Tristel & more...

Get 50% off your ticket with code MMTADVFN50. Tickets are available at:

[deadly] 07/5/2025 19:59:45

end of ship attacks in the Red Sea might benefit BMS?

[bend1pa] 02/5/2025 15:45:18

I agree. Big mistake to sell BMS now. Plus the fact there's a handsome div yield on these, that is well covered when interest rates are likely to fall well below that level in the neaar future. In my view, those tariffs won't last that long, before Trump back-pedals on the whole thing. He already has with China.

[edmundshaw] 02/5/2025 09:37:24

Oh you short termist, rivaldo! These are dirt cheap, and structural issues with shipping will provide a big following wind in the medium term.

Big tariffs are just part of Donald's "deal-art", in my view, like crazy demands to Ukraine: he asks for more than he wants then gives some of that back to let the counterparty feel better. The new psychological centre ground will have shifted in his favour. It's not rocket science, but a lot of people don't seem to get it. If you do (and assuming I am right), you can make some useful $$ on the markets.

[rivaldo] 01/5/2025 07:21:47

I sold my BMS shares recently given the tariffs, market uncertainty etc. Given today's trading statement from CKN it's likely that BMS will be suffering to some extent too. Whether deserved or not there may well be a sector/mirror effect here on the share price.

[edmundshaw] 15/4/2025 21:35:11

Ups and downs are GOOD for shipbrokers, generally. People (ship owners for example) have to react, reprice, protect themselves. Where do they go?...

Of course, medium term we want activity levels to grow; but that is highly likely, even if Trump wants less trade in and out of the USA, and there is no certainty he will get that at scale. Redirecting trade away from China will not necessarily reduce ship miles.

[haywards26] 15/4/2025 16:20:51

Surely tariffs, trade wars and economic downturns are all big risks in this sector, less movement of international goods = lower financial performance...

[cfro] 13/4/2025 11:21:13

Don't know if this is good news or bad news for the shipping brokers:

[deadly] 08/4/2025 15:45:26

Enormous drop now 17% rise today! crazy volativity

[qs99] 26/3/2025 14:55:09

So one at £5.35 and one at £2.30 that is quite a range

[cwa1] 24/3/2025 16:36:32

Zeus[Apologies for formatting!]

Trading remains challenging We downgrade Braemar to HOLD from BUY with a tough trading statement. We apply preliminary cuts to our estimates which we will update as needed following the full (FY25A) statement in May. Global charter rates, notably in the tanker and dry cargo chartering markets, came under additional pressure in the second half, due to increased geopolitical volatility. The impact was partially offset by a strong performance in other parts of the Group such as vessel sale & purchase. Despite this weak performance, the forward order book at the end of February 2025 was stronger, up from $80.9m in H1 to $82.2m (FY24A: $82.6m) and fixture levels achieved in FY25A are expected to be maintained in the year ahead. We apply preliminary cuts to our FY25A estimates in line with guidance from management, and by similar amounts in FY26E and FY27E. Trading update for the year to 28 February 2025: Braemar has reported that global charter rates, notably in the tanker and dry cargo markets, came under pressure in the second half of the financial year, due to increased geopolitical volatility. Although, the impact of this weakness was partially offset by a strong performance in other parts of the Group such as vessel sale & purchase. Revised expectations: The Board now expects revenue for FY25A to be c.£141.0m (FY24A: £152.8m), with adjusted operating profit (before acquisition-related expenditure) of c.£16.5m (FY24A: £18.1m), subject to audit. This is against Zeus’ revenue of £150.9m (-c.6.5% miss) and operating profit at £17.1m (-c.3.5% miss). Braemar has said that operating cash flow remains strong, but the timing of certain working capital items yielded a net debt position preleases of £2.5m (FY24A: net cash £1m). Zeus is at net debt of £0.9m (preleases). Braemar has said that it has “swiftly returned” to a positive net cash position at the start of the new financial year (FY26E). Outlook slightly more positive: The Group has said that the forward order book at the end of February 2025 was strong, up from H1 ($80.9m) to $82.2m (FY24A: $82.6m) and fixture levels achieved in FY25A are expected to be maintained in the year ahead. The forward order book covers revenue that will be earned up until 2039. The Board states that they are “mindful”; of the short-term volatility in end markets. That said, the strong fundamental drivers of the global shipping markets and the scale and diversified breadth of the Group’s operations “underpin the confidence in the longer-term prospects for the business”. The team remain “focused on leveraging the integrated capabilities” in core market segments and driving further growth, through both organic investment and strategic acquisitions. Zeus estimates are cut as shown in Exhibit 1 (below) and our rating is downgraded to HOLD from BUY. Our target price is reduced to 230p from 330p.

[cwa1] 24/3/2025 16:34:09

From Edison:-



Research: Industrials

24 March 2025

Braemar — Geopolitical factors weigh on charter rates
Despite a challenging trading environment in H225, which has prompted a modest adjustment to forecasts, Braemar’s trading outlook for FY26 is promising. The underlying activities continue to expand and diversify, and the company remains well positioned to leverage its strong balance sheet to drive its growth strategy in a fragmented market. Although we have adjusted forecasts modestly, we have maintained our 535p valuation as this is driven by our dividend discount model, which remains unchanged. Furthermore, it is worth highlighting the substantial valuation differential between Braemar and its only quoted peer, Clarkson.

[qs99] 24/3/2025 13:02:52

Valuation looks super low IMO, is it vulnerable to a bid? DYOR

[edmundshaw] 24/3/2025 10:52:36

Agree rivaldo.

I think Mr. Market is over-reacting rather. Yes some traders might have been hoping for more instant progress, and a small miss in expectations might have seen some exit, but medium term I see no change in the story. Earnings in the business are choppy by its nature anyway, even if management are trying to damp down the larger peaks and troughs from the long wavelength cycles of the business.

Felt like topping up on the fall, but really I have the holding I want already at these levels, so sitting on my hands.

[rivaldo] 24/3/2025 09:49:45

Canaccord's new target price is 350p (from 380p), and they reiterate their BUY.

They now forecast historic 29.5p EPS, reduced from 31.6p EPS.

Their forecast dividend remains 14p - almost a 6% yield at the current price.

The divi costs £4.4m out of Zeus's £9.5m forecast FCF, with the balance going to debt reduction and ESOP.

Today's RNS is an obfuscation given it's a slight miss on forecasts. Nevertheless the downside remains minimal imo at these levels, especially with the support of the excellent dividend, and there remains the potential for earnings-enhancing acquisitions given the balance sheet strength.

[welsheagle] 24/3/2025 09:43:18

Why such a drop