Cls Share Discussion Threads

[cordwainer] 24/7/2020 07:08

Improved balance sheet as of today's disposal. And the value uplift implies a higher NAV than reported.

[cordwainer] 17/7/2020 21:06

Maybe any office rationalisation is likely to be at least mitigated by the need for more space for social distancing measures.

[essentialinvestor] 17/7/2020 19:23

Given the exceptional longer term record of CLS, surprised this does
not get more attention and comment.

They went in to the last downturn heavily geared and managed to navigate
a very tricky market and produce great returns through the cycle.

Unless we are facing significant commercial office rationalisation,
longer term outlook looks good?, or am I overlooking something?.
Appreciate the outlook for 2021 is pretty dire. Not holding atm.

[acol] 10/7/2020 17:18

I have bought and sold over the years. I missed the opportunity of buying around 160p early post covid. However biding my time I bought in the morning of 14 May and at a lower price in the afternoon.

Using my old maximum of selling when the Investors Chronicle recommended buying, I sold at a healthy profit on 5 June. I don't normally trade shares but I felt this share was undervalued even in these difficult times. Who knows whether Covid will fundamentally change the way people work, rendering working from home as the new norm. If that was to happen then property companies would catch a cold.

Notwithstanding this fear I bought back in at an average price of 189p. Nice to see a healthy tick-up today on reasonable volume. In my view this is a well managed company with an interesting property portfolio. In previous years they had an innovative way of giving dividends back as capital. This was a tangible sign that they took account of their shareholders by allowing them a tax free income without having to use an ISA.

Nowadays I buy under an ISA so tax is no longer an issue.

[cordwainer] 08/7/2020 17:34

Market seemed utterly disappointed with today's 'happy' trading update including near-enough full rent collections. Although of course it does lack explicit forward guidance / outlook. Still, I foolishly bought back in this morning.

[jeff h] 04/6/2020 20:53

One of the main Buy tips in tomorrows IC

[cordwainer] 12/3/2020 12:52

"cordwainer21 Oct '19 - 12:30 - 167 of 179 Edit
0 0 0
Happy to cash out with a nice 20% gain after 3.5 months, quicker than I expected. Price getting relatively close to NNNAV/ps vs other property plays although probably deserved and div. cover from last results suggests a healthy div increase could occur. Price action looks like new trading range too, say 250 to 275 (?). Won't be holding my breath for below 220 again anyway."

I see 219.5 now :-(
Historic levels of carnage / panic.

[cordwainer] 09/3/2020 16:09

...'given the outlook'; only problem being that the market seems to have been downgrading the outlook on a daily basis. Still, I'm not sure every client would be tearing up their property lease even if workers generally get restraining orders on commuting.

[jeff h] 06/3/2020 11:22

Liberum: CLS is too cheap

Commercial property investment business CLS Holdings (CLSH) is too cheap given the outlook for the business, says Liberum.

Analyst Christopher Spearing reiterated his ‘buy’ recommendation and target price of 310p on the stock, which gained 3.2%, or 8.5p, to 268p.

Spearing said full-year results were ‘strong’, helped by European diversity and an ‘income-focused approach’, with net asset value (NAV) growing 6.3% - ahead of forecasts.

‘Disposals were significantly ahead of December 2018 valuations, giving us confidence in a management team that is executing its repositioning strategy well,’ he said.

‘Capital continues to be recycled into attractive opportunities which offer the potential to generate higher returns.’

The shares currently trade on a 22% discount to NAV compared to the UK real estate sector’s 3% premium ‘which in our view is too cheap given the relative outlook for the business’.

[its the oxman] 05/3/2020 10:44

Decent results, well placed to deliver further growth, and div up. May take a little time to get back above 300p but it will.

[its the oxman] 12/2/2020 19:27

Bought back in today 269p

[truffle] 28/1/2020 00:01

Liberum target price up from 300p to 310p

[truffle] 31/12/2019 09:57

The UK is one of the three markets in which CLS operates. The other two being France and Germany.

Today's statement has clearly defined London and the South East as the area in which CLS will concentrate its UK investment strategy in future, with only two assets now held in the portfolio outside that area.

[sammu] 20/12/2019 11:56

A decent sized check was traded at 312p I think a couple of days ago. Due to the lack of freely traded shares here I think institutions often have to pay a premium to get a chunk.

[truffle] 20/12/2019 08:35

The recent flurry of buys taking the price over 300 pence is presumably explained by the fact that Peel Hunt raised their target price from 275 pence to 325 pence.

[truffle] 16/12/2019 13:57

Unlike both of you I remain positive about, and invested in, CLS.

With the election out of the way at least there is some element of certainty going forward, and the well balanced spread of investments in commercial property across the UK, Germany and France makes it an attractive looking medium/long term investment.

A good track record with good management too.

[cordwainer] 12/12/2019 20:47

.. with the last trading update saying results should be in line with expectations, and triple net assets per share of 284p at the interims, i would think that's a fair price, the difference being potentially the same as the dividend, seen as they have plenty of cash and it likely being increased from last year. Although i made a nice profit it turns out i sold too early at 264p in october.

[its the oxman] 10/12/2019 11:23

Sold out 292p, probably a mistake.

[cordwainer] 21/10/2019 13:30

Happy to cash out with a nice 20% gain after 3.5 months, quicker than I expected. Price getting relatively close to NNNAV/ps vs other property plays although probably deserved and div. cover from last results suggests a healthy div increase could occur. Price action looks like new trading range too, say 250 to 275 (?). Won't be holding my breath for below 220 again anyway.

[truffle] 21/10/2019 11:04

I actually meant the Mortstedt Trust which owns about 50/52% of the shares.
If they were to reduce by, say, 10/15% then they would still have effective control but there would be greater liquidity in the shares which could attract other investors who see the company as clearly investable but with a somewhat illiquid market in the shares.

[cordwainer] 17/10/2019 17:40

..good call, looking at who's been selling.

[truffle] 18/9/2019 16:22

If the Mortstedt family were to release some of their shares then I imagine the share price would climb rather higher than it is now.

[cordwainer] 18/9/2019 16:10

ok thanks forgot about that. just found my old notes again, they also have about £100m of swedish equity and bonds on the balance sheet (?!), 89% offices, 9% student and hotel, 2% retail.

[truffle] 18/9/2019 15:59

Not aware of Sirius, but possibly because it's investments are all in Germany which generally seems to be a stronger market. CLS on the other hand has approx. a third of it's properties in each of the UK, France and Germany.