Churchill China Share Discussion Threads

[cjohn] 17/6/2002 11:06

Yes, thanks for your long and thoughtful posting, D Murphy. The point on the past history impacting on current sentiment is a good one. How would you time a buying decision? I tend to buy in when PE, dividend, NAV and debt hit certain criteria, and not worry too much about the general market state: SUF is the one exception to the rule, but then I usually go for value shares, which tend to be unvolatile for significant periods of time. Hence I've got a average buy price for CHH of 170. And not too bothered by falls down as far as 130.

[danny murphy] 15/6/2002 16:12

Hi CJohn

I can see why you are very bullish about CHH including for the reasons you mentioned above.

Other points to bear in mind are a Market Cap of only £18m but with net tangible assets of 256p per share, so not so good and good. It might be difficult to buy and/or sell the shares quickly depending upon circumstances.

Delving into the history of the company, it all went wrong in 1998 followed by a disaster in 1999. The company subsequently re-organised and turned in respectable results for both 2000 and 2001.

The share price reached 700p in 1997 dropping all the way down to 60p in 2000 and rebounding to the current range of 160p to 180p.

Clearly the market has been put off by the company's history and when the market is satisfied that the past has been well and truly buried then no doubt the share price will be re-rated.

The management currently has a cautious view of the future but provided they can keep the upwards profits trend going then you must be in for good times.

The judgement, therefore is, when is it due for a re-rating. It is certainly one I am going to watch and hopefully at the right time I will invest in.

Thanks CJohn for the tip. Notwithstanding the above the stock market is in a very difficult position at the moment and there is clearly good profits to be be made with good timing, unfortunately the dangers are high.

[cjohn] 14/6/2002 11:19

Also resists generalised sell offs reasonably well.

[cjohn] 04/6/2002 13:43

Dividend 5.5%
PTBV 0.7
PE 8ish
Gearing: net cash

At some point the share price wuill reflect these strong fundamentals. My bet is in the 2nd half of the financial year.

[usedbook] 05/9/2001 07:22

This little company is going great guns...sales up 4m,interim profit up to 2m and a dividend of 3p!
Turnaround of debt from 1M to a nice cash balance of 2.4M.
Why buy tech rubbish like MONI when you can buy a little company thats actually making money and paying it out.
Lovely.

[puku] 21/8/2001 14:16

i'm also yawning my way to the interim, having bought at current level, but with first 4 months trading said to be great, i hope my mouth is wide open at the results !

[maffs0] 15/8/2001 21:59

CHH has remained at its current price since I bought it a few months ago (yawn!). Interims are due soon and if they are in line with expectations (which I think they will be IMHO), then we may see a further jump. DYOR.

M.

[melfaraj] 20/6/2001 20:05

on pure ta grounds it is a buy. i am not presuming this to be all that is needed to jump in.

[denman] 20/6/2001 19:15

yeh - not terribly exciting at the mo - wots going on?

[denman] 19/6/2001 12:17

why the drop in price today? profit taking?

[coco] 19/6/2001 07:57

Watching it ?

[coco] 05/6/2001 09:16

you may want to buy some of these - DYOR

[coco] 04/6/2001 10:09

Seems to want to move up today - this company is undervalued forward pe of 7 cash rich forward divy of 5% and good asset value at 2.40 and ripe for a bid - the trend is back up.

COCO

[mashman] 17/5/2001 08:17

Tipped in investors week

[chrisg] 14/5/2001 23:31

You've obviously not done any research......!

[dedushkamoroz] 14/5/2001 21:48

CCH: A Small business in a small town - No hope!!
It's May: Sell and Go Away!!

[gerard j] 14/5/2001 19:42

Don't forget - AGM Wed 16 May. Buying & announcements will start tomorrow. Be ready for your screen to turn blue.
GJ (A big fan of Harry Potter)

[gerard j] 14/5/2001 19:09

AGM: Wed 16 May 2001. Don't forget!!
3 reminders:1)Directors purchase - 2) 2000 reports - 3)Harry Potter licence.

1)RNS Number:3542D
Churchill China PLC
9 May 2001
CHURCHILL CHINA PLC

DIRECTOR'S NOTIFIABLE INTERESTS

In accordance with section 324 of the Companies Act 1985, as amended, Mr A D
Roper has notified the Company that he has today purchased 100,000 shares in
the Company, representing 0.94 per cent of the issued share capital, at a
price of 160p per share.
Following this transaction Mr A D Roper has a beneficial interest in 637,430
shares, being 5.99 per cent of the issued share capital, and a non-beneficial
interest in 2,140,000 shares, being 20.09 per cent. of the issued share
capital.



2)Key Points - Year-end reports,Dec 2000:

* Pre-tax profit of #2.4m (1999 : #0.5m pre-exceptional loss - #4.5m
after exceptional items) - Turnaround of almost #7m at pre-tax level

* Group sales increased by 9.5% to #49.9 (1999 : #45.6m)

* Earnings per share of 16.9p (1999: 3.7p loss per share)

* Net cash at 31st December 2000 of #1.1mNet asset value of #2.44 per share
* Final dividend of 5.0p per ordinary share - full year dividend of 7p


3)I am pleased to announce that Churchill have secured the Harry Potter licence
for both classical (books) and the movie, covering mugs and certain items of
giftware. This licence is for the UK and Eire, and products will be available
in the market place by April. Initial reaction at our trade fairs has been
excellent.

Note that Harry Potter sales/orders were not included in the Dec 2000 figures.

GJ

[gerard j] 14/5/2001 08:53

Only 1MM sells at 180p
2 MMs at 183p.

Going up.

[usedbook] 14/5/2001 04:56

The MM very slyly accumulated plenty- on stale bulls bailing out.
One to hold on a two year view.
They look dirt cheap.
Good yield too.
No Brainer.

[gerard j] 13/5/2001 00:23

Don't worry about Dil - If he hasn't bought yet(he probable has), he will know when to buy!!
I am suddenly a big fan of Harry Potter!

[chrisg] 13/5/2001 00:15

Dil - not quite sure that it works like that. I think you actually have to buy them!

:-)

[dil] 12/5/2001 12:57

gimmee gimmee gimmee