Cls Share Discussion Threads

[ghhghh] 11/12/2023 08:22

SKYSHIP

Yes.

Liberum PT 180p, BUY. NAV 24E 268p, 25E 277p. Note dated 15th Nov

Berenberg PT 175p. BUY. NAV 24E 266p, 25E 269p. Note dated 15th Nov

[riverman77] 06/12/2023 22:16

Thanks, will take a closer look.

[skyship] 06/12/2023 20:29

No, most of their offices are principal cities; and their debt is tied to individual properties and non-recourse.

So, no, not plain sailing - nothing like RGL for instance.

Hence my interest; and my view that the vertigous fall to a 66.7% discount is way, way overdone.

Bear this in mind too - the yield is now a very well covered 8.2%.

[riverman77] 06/12/2023 17:03

Perhaps, although CLI is all regional offices and their debt situation doesn't look great so probably deserves to have lagged the ones you highlighted.

[skyship] 06/12/2023 16:33

Time for CLI to play catch-up:


free stock charts from uk.advfn.com

[skyship] 06/12/2023 15:56

ghhghh - where do you see the projected NAV figure. Don't see any reference in the CLI Update. Also the target price of 175p!

Are you referring to a broker note perhaps?

[ghhghh] 06/12/2023 15:47

I've only seen their Note dated 15th November, Buy PT 175p

Projected NAV of 265p in 2024

[martincc] 06/12/2023 12:19

s/p looking ok at the moment in spite of imminent drop out of FTSE250. Added a few at 96.58p

[cwa1] 30/11/2023 10:17

Berenberg cuts CLS Holdings price target to 114 (175) pence - 'buy'

[dendria] 30/11/2023 09:04

A while back I used to be happy getting sub-200p top-ups.
Now I'm looking at sub-100p top-ups.

Unfortunately, we're dropping out of the FTSE250 in December - will it finally draw a line under it?

[skyship] 23/11/2023 20:41

Knocking on a 100p breakout today; dropped back - but tomorrow another day.

[skyship] 20/11/2023 09:02

Added today after re-reading last week's Update over the weekend.

Obviously their preferred sector is under the cosh; but down below 100p these really look a steal. They're now even on an 8.2% yield. The discount? Well, you name it really. Headline states 66%, could be just 50% JUST 50%!

At the moment yet to participate in any sector recovery; but should do so.

Also has to be an outside chance of a bid from the family; or from a cash-rich PE fund. That would of course see them back above the 150p level; which does rather put current level in perspective.


free stock charts from uk.advfn.com

[its the oxman] 17/11/2023 10:44

More than happy to add these levels. Demand still exists for office space and when rates fall these wont be under 100p.

[skyship] 16/11/2023 11:39

Bt a few @ 96.16p. Had to pay the dreaded SD on top - maddening!

[hindsight] 15/11/2023 10:00

LTV good news too. They are a world away from RGL

If all these five disposals complete, then pro-forma LTV at 30 June 2023, assuming no other changes, would have fallen from 45.1% to 43.0%.

[nickrl] 15/11/2023 09:18

@sphere certainly reads well but vacancy levels creeping up and more recent disposals have been at an average of 13% below half year valuation isn't a good omen for RGL. That said CLI has good divi coverage and even with overall cost of debt significantly up it can cover it currently. Was tempted a while back but it kept on falling but for sure is very volatile due to low trading volume.

[spectoacc] 15/11/2023 09:12

Good luck. Directors bought millions in the 120's only recently, and agree outlook statement pretty good.

[sphere25] 15/11/2023 09:02

Had a little go here on that update.

The longer term chart and sentiment here is absolutely horrendous. Sat here wondering if that negativity, the recent favourable macro and rate news, and the in line update today is enough to cause some short term optimism for a trading bounce.

There is a nice little trend from yesterday. This share is very volatile though. It can move sharply both ways on nothing volume so a very watchful stop at just under 100p.

All imo
DYOR

[essentialinvestor] 01/11/2023 11:19

* thanks folks for flagging up the GPE Sell rec,
added a few GPE on the drop.

[spectoacc] 01/11/2023 08:08

GPE got a d/g to Sell from Citi this morning, not seen the note.

[essentialinvestor] 31/10/2023 12:45

GPE is what I've bought two recent very small amounts of.

I'm convinced there is a healthy future for London Grade A commercial office, BUT..
none of us know the future, probability is the best we have. I could well be wrong.

[bedford1976] 31/10/2023 12:39

If you thing CLS is bad take a look at Regional REIT now on a yield of 20%.
If I dip my toe in property next year I'm going to stick with GPE based on their low borrowings and central London focus.

[extrader] 26/10/2023 21:56

To be fair, I don't think anyone could have anticipated the work-from-home development that presumably is the root cause of the present situation?

AIUI, each of the properties is held in a separate SPC, with asset and associated liabilities ring-fenced. Not sure whether there'd be a 'change of control' clause in those circs.

I held these maybe 15 years ago and - if some capital becomes available - would be tempted again as a dabble, since it looks as though the pendulum has swung too far.

'Reversion to the (new) mean' should still be worth-while, there's a pretty wide margin of error, AFAICS.

NAI, DYOR etc etc

[giltedge1] 26/10/2023 21:40

This used to be a well run company, presume UK Asset vacancies are the main worry.
Regarding takeover, may be a problem with existing loans as borrower usually has a change of control clause, so these 2 - 3% loans may be lost to the family potential buyout. Anyone have any experience in these loans?. Also anyone making a buy on this share?.

[extrader] 26/10/2023 15:17

Now 88.7p...

PTBV 0.33 per stocko, f'cast to pay 7.99p for 2023 (1.24x covered), analyst Target Price 165.25*p....

Surely the Morstedts must be considering a buyout ?

* this would-coincidentally-be about their highest purchase point in the last 12 months.

Ho hum.