Share Name Share Symbol Market Type Share ISIN Share Description
Character Grp. LSE:CCT London Ordinary Share GB0008976119 ORD 5P
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  +0.00p +0.00% 470.00p 460.00p 480.00p 471.50p 470.00p 470.00p 4,463 14:00:06
Industry Sector Turnover (m) Profit (m) EPS - Basic PE Ratio Market Cap (m)
Media 121.0 13.1 50.3 9.3 99.37

Character Grp. Share Discussion Threads

Showing 14551 to 14575 of 14575 messages
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DateSubjectAuthorDiscuss
23/8/2017
20:39
As a separate point, the share buyback is conducted on a pre-arranged basis, and would not be undertaken by someone with knowledge of the accounts. So it's not a readthrough. That said, my post above says enough about where I think Character is going!
dan_the_epic
23/8/2017
20:36
Simso, You firstly need to look at underlying PBT, so that's the £7.1m for H1, leaving £6.4m for H2. Secondly I think that the market is completely missing the step change that Character is undergoing. 1H17 was there second best half year ever on my calculations. There is substantial strength in current trading, and those who follow Peppa pig will have noted the Nordic expansion recently which is having v strong growth(through which Top Toy sell under the CCT Master agreement). Then lastly, to quote Panmure Gordon, who no doubt will have spoken to mgmt... "Highly confident that our FY17 forecasts will be achieved". And that was only back in late April. If that momentum has continued through to the start of the new year, upgrades for FY18 are on their way IMO. Honestly think this is now, yet again, one of the most misunderstood and attractive plays on AIM. It's rebased to a level where people are not expecting growth. Organic growth implied by the market here is negligible, and the market is also assuming that Character does nothing with the cash balance. I think in time, that will be proven wrong. And in the interim, I'll collect a very healthy dividend.
dan_the_epic
23/8/2017
17:56
It is a requirement of their listing that they must notify if the actual figures are more than 10% different from the projected figures.
rcturner2
23/8/2017
17:29
Over the last two years, mnore than 2/3rd of the PBT has been generated in the first half...which contains Christmas, and this is a toy business after all! THe Brokers forecast this year is for £13.5m PBT, and having achieved £6.5m in H1 (some £2.2m lower than LY and £2.0m lower than 2 years ago), CCT now needs to achieve £7.0m in the second half, which is £2.6m MORE than LY and £3.3m MORE than 2 years ago. I have always felt that was a "big ask"...to actually make more profit in second half than was actually achieved in the traditionally stronger first half. A couple of clues that it may be achieveable are that the FD bought shares at the end of April ...when the first two months of second half trading were known. We are now almost at the end of the financial year, and I was also encouraged last week to see CCT had spent £1m on buying back its own shares...around 1% of the total equity. If a Profit warning was coming and they couldnt get to the Brokers View, they would know by now as the Half is all but over, ...and surely they would have waited and bought back the shares more cheaply....wouldnt they?
simso
21/8/2017
21:40
Http://toyworldmag.co.uk/news/character-options-launches-cuddles-my-dream-kitten/
dan_the_epic
03/8/2017
21:02
Totally agree TM. As you say, time will tell. I reckon consensus here has been lowballed and that there is scope for material outperformance on the earnings front.
dan_the_epic
02/8/2017
23:48
Yes plenty of divi cover i think. Also the continued decline in SII means less gets paid out in total. This has been a consistent fall for several years - many companies have to dilute to glean any growth or reduce debt. Not so CCT who create their own reduction in debt; increase in cash pile; return a good divi AND buy back shares...all at once! Of course, presently there is a feel that CCT does not have a hugely exciting "next big thing" product in its armoury BUT the quality of the business historically should give investors more confidnece. Usually such quality prevails. Remarkably cheap - good opportunity in my estimation...time will tell of course.
thorpematt
30/7/2017
20:15
Unfair I think to say CCT is historically cash rich and therefore should be earning more interest. They had net debt at end of year for several years until 2015 and modest net cash 2015 and 2016. The major increases in net cash have come in the last two interim statements and look to me to be mainly due to seasonal working capital flows - which have been very positive in H1 last three years but still negative over the FY every year except in 2015. Working capital plus investment spending averages £5m a year over several years, £7m in 2016, so I don't know why you say there's been no investment. They can currently afford to continue the policy of increasing the dividend by 4p per year which is not too shoddy.
westcountryboy
28/7/2017
18:20
Don't get me wrong, I really do appreciate the discussion, mcartdon. It helps refocus on what is driving the multiple discount. I think the last 12 months have been a bit of a transition. If they can navigate H2 as I expect them to (i.e. hit market expectations if not beat and then see broker estimates for 18 pushing higher), then the comps for H1 next year are much easier. Time will tell, but still think we'll look back in 12 months time and see this as the base for the next pivot higher.
dan_the_epic
28/7/2017
18:10
hopefully it will rise shortly but been holding breath so long im nearly asphyxiated and going elsewhere. it should be expanding investing growing and becoming stronger, they hail foreign expansion then the t/o drops abroad despite the low pound. the go to toy distributor ? where are the new products? the number of children are growing so they should expand - if they can choose 1 good product. the competition unfortunately can and do. the results shortly should give a big hint, promises or actual results the honeymoon since the management changes is ending. several big holders , friend of foe ,they must be impatient as am I.
mcartdon
28/7/2017
16:25
And that is the thesis here; do you believe this is as cyclical as it was through the early 2000s, or do you think there has been a step change in the quality. Of the underlying business. If you believe there has been a fundamental change over the past 5 years, then this is exceptionally lowly rated - company is clearly still trying to deflect off that past perception of cyclicality
dan_the_epic
28/7/2017
14:48
bloody good point mcartdon
stoxx67
28/7/2017
14:40
share price is lower than three years ago on average this year look at 18 years virtually no change in t/o since 1999 99m then operating profit 10.6m cash 9m so what have they been doing for 17 years why should it change
mcartdon
28/7/2017
11:16
If you're going to look at the last 4 years, look at the price performance. It's not as if the business has been performing poorly.
dan_the_epic
28/7/2017
10:08
thats an extra million returned to shareholders when they make 4x total dividend as profit~ and do nothing with what they retain over the last 4 years. no interest in the books no investment and no debt to cover in those 4 years. zero return . makes you wonder who has the interest free mortgage from the company or where the money goes in between accounts.
mcartdon
28/7/2017
07:51
When you have optionality like this, though, the only real risk is the management keep on doing nothing (and I really don't think this management team are low quality). Acquisitions/buybacks/divis would all likely be received favourably.
dan_the_epic
27/7/2017
09:18
They are stepping the dividend up by 2p at each interval so it is being raised 4p a year at the moment. When you net off the cash this is quite a big increase in the dividend over time.
rcturner2
27/7/2017
00:27
I would agree but in 20 years, we have had no change 20% profit dividend and no interest in a takeover. the cash balance has been building over 7 years the directors have taken 3/4 of the profits or stored them. what for i fail to see, and am suspicious its an offer at a low price from a connected party with a big interest in the company with secondary rewards for directors
mcartdon
26/7/2017
21:21
The buybacks are limited by regulations about quantities vs. liquidity. They did some when liquidity allowed (2015), but that has tailed off again. I personally wouldn't say a near 4.5% rebased dividend is a low percentage return, though would agree that I wouldn't buy here if I solely was after a dividend (after accounting for the spread, it's not worth it). I think growth kickstarts on from here. Look, I totally agree, and in that article admit that holding a large cash balance doesn't look great, but at the same time, I'm not going to penalise them for having a very cash generative model. There are a multitude of things they could do with that cash, and barring some bizarre decision, it's hard to see that it wouldn't enhance the share price. A special dividend, a la Avesco, wouldn't be a bad idea. This valuation is crazy for the value on offer. Run any basic DCF on this and the intrinsic value here is hugely different to the current price. Reckon the first leg of that was realised in 2015, but expectations and metrics have rebased again and catalysts for a rerating are back in play. Time will tell. In reality, if any suitor did swoop on Character (and I'm definitely not saying that there is one), I'd have thought they'd have to play a pretty hefty premium on this (north of 40%).
dan_the_epic
26/7/2017
21:11
there really have been no buybacks for 5 years now that is a myth the number of shares has remained the same out of treasury, so no gain for ordinary shareholders they have just bought the free shares for directors etc. the dividend has a low percentage return for the share price, the cash is wasted where is it deposited (they have no bank income). and they dont borrow much. so they arnt saving on borrowing. they have not deposited it sensibly in euros or dollars? so where is it it funds the cycle of stock but no sign of that growing the buisness
mcartdon
26/7/2017
20:55
Http://www.stockopedia.com/content/character-group-still-an-unappreciated-gem-202207/
dan_the_epic
26/7/2017
15:10
If that is the sole reason why this trades on a prospective forward E ex cash of less than 7x then I am more than happy to keep stocking up here. Works out closer to 6x with salaries ex'd out
dan_the_epic
26/7/2017
12:11
The management seems to have gone to sleep for three years, but they still collect the pay and have an 18m buffer to make sure they keep getting it, how do they justify no return on 20m cash. rather than intermittent borrowing and 5% return on a performing asset. time they were taken over and the business managed properly. thats why its so lowly rated.
mcartdon
26/7/2017
11:03
I've chucked a topic post on Stockopedia - someone feel free to link it here.
dan_the_epic
26/7/2017
08:57
100p in cash per share as well.
rcturner2
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