Caffyns Share Discussion Threads

[coolen] 23/5/2015 21:03

Hi NTV. Would you give me what you've seen re the "large" trade please.
My system is down at the moment, but I'll try and dig next week.

[ntv] 19/5/2015 10:01

no stock available

[jaf111] 19/5/2015 07:16

Set to motor past £6.....but no reason to stop there???

[ntv] 18/5/2015 09:40

still no announcement on latest large share transaction!

[ntv] 18/5/2015 09:39

updated header

[jaf111] 15/5/2015 07:54

Agree with that...CFYN hugely undervalued compared to the rest of the sector. Am expecting EPS of at least 90p so even after the recent run up the shares will trade on a historic PE of under 6, which is about half the sector average. In addition there is the balance sheet strength / freehold property. The negative is the family control / lack of liquidity issue.

But certainly for those with patience CFYN is surelyas it says at the top

THE MOST UNDER VALUED CAR DEALER OF THEM ALL

[lanzarote666] 13/5/2015 07:07

Results from Cambrian and Vertu over the past couple of days shows that the sector is still on the rise.

Bodes well for CFYN - we may even test that 650p high...

[prop_joe] 10/5/2015 13:56

NTV, I agree that buying shares would increase the net asset value per share (which is clearly great for remaining shareholders provided that it is affordable) but I don't agree that it makes the balance sheet stronger as the company will be reducing its cash balances/increasing borrowings in order to fund the share buy back. If the company buys back shares it will need to be mindful of the need to maintain an appropriate debt/equity split just in case there are future blips in trading.

For the record, I do think that Caffyn's is very cheap at these levels and it is one of my biggest holdings.

[ntv] 10/5/2015 13:34

prop joe
if they buy in their own shares at this price it increases nett assets per share
making the balance sheet stronger. i still expect a takeover at some point as this company is small fry in this market. at least the family and trusts won't sell out cheaply

[jaf111] 08/5/2015 09:27

Starting to motor with finals due at end of month????

[prop_joe] 03/5/2015 19:25

Not sure if overhang is cleared. I made a couple of purchases on Friday and there seemed to be sells in response and the price didn't move either.

A buy back might make sense given the substantial discount to net asset value, but I wouldn't want them to make life more difficult for themselves by using cash to buy back shares that might be needed for expansion or maintaining a solid balance sheet position.

[ntv] 03/5/2015 18:21

overhang cleared plus a buyback maybe?

[ntv] 28/4/2015 07:24

agreed it is a screaming buy. but there is still a seller which is nice, recent sales of property and pension fund changes greatly enhance the balance sheet. my guess is that future pension contributions figures may well drop as a result of these changes. the business itself is also improving with increased car sales.
the low pe ratio and significant asset backing must make it vunerable to several companies slide rules. safe,good yield and prospects make it a good place to have your investments

[beazer2] 21/4/2015 09:40

This share has liquidity and close family shareholding against it. Otherwise on every measure it ought to be a screaming buy.

Yesterday a reduction of the pension liability of £5m was reported - equivalent to around £2 per share. Added to the £6m surplus on revaluation not reflected on the balance sheet it takes the nav to over £10 per share.

Earnings of 75p per share gives a p/e of just 7.2(at 550p sp) and with a dividend rising from 12p to 18p last time, covered over 4 times and yielding 3.3% with a prospect of a rise to 24p, still covered 3 times and then yielding 4.4% would seem compelling. Car sales have been buoyant and results next time should show significant growth. I have these as a long-term hold and topped up today. DYOR

[ed 123] 02/4/2015 11:17

Ta, corbeta.

Re-read my post and should say I wasn't intending to boast. Just trying to make a point about Caffyns' underperformance.

If you want another comparison, take a look at the total remuneration of the CEO's of Caffyns and of Lookers in their last annual reports. Then look at the market caps of the two companies, £15m versus £390m. Does the total remuneration of one of these CEO's seem way too generous?

[corbeta] 02/4/2015 09:13

Ed 123 - well done, you certainly made the right choice.

[ed 123] 02/4/2015 08:12

corbeta

No chance whatsoever of a special dividend, imho.

I recall selling some of these at over £9 per share. Had to look back on the chart to see when that was. Must have been around 2007.

It's been illuminating for me to overlay LOOK and CFYN chart for a 7 year period. The two are very closely correlated until 2012 when LOOK takes off.

CFYN has massively underperformed during the car sales boom of 2012 onwards.

(Presently holding some LOOK but no CFYN.)

[aishah] 01/4/2015 18:52

These guys are so shareholder unfriendly. No impetus to enhancing value for holders. I give up. imo,dyor

[shanklin] 07/3/2015 08:19

You're welcome.

[muckshifter] 06/3/2015 16:45

Thanks Shanklin, hadn't seen that.
Regards.

[shanklin] 06/3/2015 15:55

muckshifter, take a look at post 263.

[muckshifter] 06/3/2015 15:51

IIRC, last year cfyn issued an IMS or a trading update about mid Feb, but said at the end that much depended on March, which is a key sales month. Have they said there will not be one this year, or are they leaving it a little later to be able to comment on March as well?
Regards.

[sirhedgealot] 06/3/2015 13:31

Fingers crossed indeed.