Braemar Share Discussion Threads

[1knocker] 14/5/2022 00:13

The problem is that we and analysts have been saying that this is seriously undervalued for ages, but it shows no sign of re-rating. It seems to possible to make money on just about any shipping stock save Braemar.

[tole] 13/5/2022 18:12

https://masterinvestor.co.uk/equities/small-cap-catch-up-macf-bms-vtu-and-cto/Braemar Shipping Services (LON:BMS) – shares ready to sail awaySeeing the statement out earlier this week from shipping market peer group giant Clarkson reminded me that Braemar is due to be announcing its full year results, to end of February, on 25 May.Clarkson is apparently going like a train, so I would expect to hear very similar comment coming from this shipbroking, investment, chartering and risk management specialist.We have already been informed that it enjoyed strong trading in its last year, while its start to the current year has seen the strong trends being continued.About this time last year, the group's shares were trading up at 323p, since when the equity market has endured various ups and downs, as too have its shares.Touching a 198p low late last November, they have subsequently improved to trade around the current 260p level.I am a big fan of this group and the sector in which it trades, accordingly I consider that its shares are undervalued ahead of the full year results being published in less than two weeks' time.

[cwa1] 05/4/2022 11:32

SP seems SLIGHTLY less grumpy than usual today :-)

[1knocker] 28/3/2022 13:44

What's wrong with this company? The results seem pretty decent to me, but the board seem to be the only ones who are delighted!!

[cwa1] 24/3/2022 07:17

Nice present this morning:-



Strong results for year ended 28 February 2022

The board is delighted with the performance of the business for the financial year and looks to the future with confidence.

The board's strategy to scale the business, combined with the investments made over the last few years has enabled Braemar to take advantage of strong market conditions and the Group has traded well throughout the year. As a result, the board expects the final results for the financial year to be slightly above current market expectations of underlying operating profit* of £9.8m.

The Group's strong trading, combined with the board's focus on strengthening the balance sheet will result in net debt of circa £9m at the end of the financial year falling to below £3m as at 2 March 2022 when the Group received the initial consideration for the disposal of the Group's logistics business (net debt as at 28 February 2021: £8.9m).

On the back of this trading performance and strengthened balance sheet, the board now expects to recommend a final dividend of 4p per share making a total of 6p for the financial year (2021: 5p per share).



Impact of sanctions

The Group's compliance with sanctions put in place as a result of the Russian /Ukraine conflict is not expected to have any material effect on trading in the current financial year nor does the Group have any existing material exposure.



Outlook for 2022/2023

Trading at the beginning of the new financial year has started strongly with the Group benefitting from both increased scale and generally favourable market conditions. Following this strong start, the board looks forward to the remainder of the new financial year with confidence and providing more detail with the full year results.

[2vdm] 07/3/2022 09:37

Opportunities for Material Gain on the ADVFN site have this down as a Buy

[cwa1] 07/3/2022 07:39

On the briefest of brief glances and not knowing the company at all, the Clarkson results APPEAR to be solid to me:-



Though in these markets that might not mean much...

[1knocker] 04/3/2022 12:37

This company has been out of favour for a long time. I suspect that the market is not much impressed with 'green shoots', and sees no hurry to buy in. I think it may take a while, and several years of sustained improvements in results, before the share price rises to the levels we have hoped for.

For the first time in many years I made a small top up last year, at 234. I am not tempted to make another at present. It might have been better to have sold what I already had.

I am up 20% up on a recent purchase of Star Bulk Carriers, have one huge dined already banked and it has gone ex dividend today for another (60% up on the last!). Shipping is a cyclical industry. There is a lot to be said for companies which are set up to surf the waves and are throwing off profits by the bucketload, and passing them on to the shareholders.

[mayojames] 02/3/2022 20:59

Interesting but the share price is not following either this deal or the results posted.have an odd thought that now this is a basically simpler broker model the team may think being public with all the attention and profile not the best going forward - any thoughts?

[tole] 02/3/2022 18:42

https://masterinvestor.co.uk/equities/take-a-look-at-cnic-eog-iog-bms-getb-and-k3c/Braemar Shipping Services (LON:BMS) – a very useful and strategic disposalIt was pleasing to see the shares of this undervalued shipbroking, investment, chartering and risk management services group moving better yesterday.Closing at 248p, up 10p on the day, the positive gain was in reaction to news that it has now completed the disposal of its Cory Brothers logistics interest for between £10.25m to £15.5m by way of earn-out.James Gundy, CEO, stated that:"The disposal of Cory is the last key step in the execution of our stated strategy of refocusing Braemar on our shipbroking core and I am pleased that the buyers of Cory are a long-term strategic partner. We look forward to continuing to work with them under their new ownership and seeing the business thrive."The proceeds, as they come in, will be used to strengthen the balance sheet by reducing its net debt.At the start of February, the group reported that the strong trading seen in the first half of the financial year had continued and that revenues for the year ended 28 February 2022 were now expected to be not less than £101m (2021: £84m). And that is without counting in Cory's figures.The group expects underlying operating profit for the year to be circa £9.8m (£7.7m).The shares, which have been up to 323p in the last year, are lagging well below the ratings of its peers and merit a rise through the 300p level, relatively soon.

[thorpematt] 01/3/2022 12:19

Strikes me as not a bad price received.

Minimum GBP10.25m but upto £15.5m for net assets of £4.1m

I think (excluding LT property leases - circa £10m) that this reduces the rest of the (proper) debt in about half, which the market probably will prefer.

[cwa1] 01/3/2022 07:56

Disposal of Cory Brothers:-



The disposal is the last key element of the board's new strategy of simplifying the Group's operations in order to concentrate on a new growth strategy centred on Shipbroking. The board intends to use the consideration from the disposal to reduce net debt and strengthen the balance sheet in furtherance of this strategy.

[1knocker] 17/2/2022 17:54

Apologies, Star Bulk Carriers (US listed).

[1knocker] 17/2/2022 16:15

While the Braemar share price is going nowhere, and it is paying a paltry dividend, Star Bulk shipping has just raised its dividend to $2 (quarterly). In the three months I have held it, it is up over 30% and after payment of next months dividend I shall have recovered getting on for 20% of my capital outlay in only 2 quarterly dividends. it is worth checking out.

[tole] 09/2/2022 18:04

https://masterinvestor.co.uk/equities/small-cap-catch-up-featuring-alu-bag-and-blv/Braemar Shipping Services (LON:BMS) – a slow sail awayRevenues for the current year to the end of this month could see at least a 20% rise to £101m.That strong performance has been aided by good markets for its shipbroking activities.Last July the shares of this group hit 323p, easing off to 210p in late November. That they are now up around the 272.5p level is encouraging.The recent Trading Update was good news, but obviously not good enough to power in new investors.That is a shame because I still consider that the shares are well below the valuation levels of its peers, especially the Clarkson group.More to go for.

[km18] 08/2/2022 16:53

Company overview:
Braemar Shipping Services is an international provider of services to the shipping, marine, and energy industries. The company operates through 4 main divisions – Shipbroking, Financial, Engineering, and Logistics. Over the last two years the management was restructuring the company, creating a joint venture for the Logistics division. Growth is more towards the acquisition path, with a goodwill figure more than 50% of total assets. Great attention should be given to this matter, as the sector is quite cyclical, and no impairments were made in the last 2 years.
The restructuring program’s effects can clearly be seen in the financial of the company. Revenue does not have a decisive path of growth and same could be said for the Net profits and EPS figures. Gearing is also questionable at 48% net. On a more positive note, valuation looks right, with P/E in the top 5 companies on Stockopedia and P/S is below the average for the sector. ROCE came at 13% for FY 2021 (ending in February) and they reinstated the dividend....from WealthOracleAM

[thorpematt] 03/2/2022 19:18

Not a bad reaction on a not-so-good day on the wider index.

I liked the statement FWIW, conditions still showing favourability. I think we still have some COVID problems to shake out of the global economy, it's easy to forget that other countries still lag our situation significantly.

I also facny that one the Winter Olyimpics are done that China will turn the smog back on. SO BMS's market should remain busy IMO. Looks cheap to me.

[mfhmfh] 03/2/2022 08:41

company seems to be gaining momentum/accelerating.

directors have been buying shares and delivering improving results.

All IMHO.

I hope the share price responds positively.

[ayl30] 03/2/2022 07:07

Good rns today

[2vdm] 31/1/2022 07:43

I agree. The only thing that concerns me is the geo-political issue with Ukraine. However long term I like BMS. I'm a long term holder and add on weakness for the reasons that you have stated above.

[tole] 30/1/2022 20:30

https://www.fool.co.uk/2022/01/30/2-cheap-stocks-to-buy-right-now-2/A cheap stock for the shipping boomI'm also considering buying shares in Braemar Shipping Services (LSE: BMS) today. The world's shortage of vessels is sending charter rates through the roof and shipbroking firms like this are reaping the rewards. Braemar also provides financial and logistics services to the global shipping industry.Shipping rates are ballooning because of a tightening supply of vessels. The Covid-19 economic rebound is supercharging demand for ships of all classes. At the same time, a shortage of orders for new vessels in recent years has left a paucity of available seaborne craft.Some analysts are predicting that "the average cost of shipping this year will be higher than ever before" as the crunch goes on. Braemar plans to double the size of its shipbroking business to exploit these favourable conditions.City brokers are expecting earnings at Braemar to shoot 22% higher in this financial year (to February). This leaves the shipping giant trading on a forward PEG ratio of 0.5.Earnings at the business could suffer if the economic recovery runs out of steam. But from a long-term perspective, I think this cheap stock remains a top buy.