Coral Products Share Discussion Threads

[hatfullofsky] 15/10/2022 09:33

Agreed, I want to see the op cash numbers but the acquisitions and directors buying give some sense of comfort.

[base7] 15/10/2022 07:02

Your estimates may be right & Interims due fairly soon will provide a clue as Eco will be consolidated as at 31/10 so our balance sheet at that date will be interesting .Cash generation & profitability over the 6 months will be interesting as 2 of our recent acquisitions were made at the start of H1.The outlook statement will set the tone for FY23.Modest Director buying this week was encouraging ,not by virtue of the cash invested but implied confidence that all is well.No plans to add to my reasonable holding unless results /outlook positive (despite appalling macro conditions )although would consider adding should our share price fall further in current awful markets

[hatfullofsky] 14/10/2022 18:47

Just run the numbers and I get HY23 net debt at £5m and potential FY23 net debt £6m (based on full earn out and £4m op cash (low est) in FY23) This could change if Op Cash balloons to £7m in FY23 (High est)

The debt level is supported by +£40m revenue

For me this has the possibility to 3x on FY23 results

[base7] 14/10/2022 12:12

Brokers target 50% higher than now + prospective 8% yield seems good to me in these turbulent times .May not multi bag over next few years but will hopefully hold /increase value while paying very decent income

[this_is_me] 14/10/2022 09:05

Still inside the trading range that it has been in for some time. That is good considering the market has been going down.

[crazycoops] 14/10/2022 07:29

Cenkos have issued a new note following this week's acquisition, upgrading earnings forecasts for FY23 and FY24 by 10% and 19% respectively with a new target price of 21.6p based on peer group valuations of 10.5x earnings

[charo] 13/10/2022 18:10

Directors hold a fair chunk.

[temelco] 13/10/2022 17:13

£6,3k

[clocktower] 13/10/2022 16:52

Yes we are aware of that base7 but until that time all there is to go on is as charo pointed out is the T/S but exact numbers are important, so we need to wait before we judge and jump to conclusions.

Still good to see the directors still adding.

[base7] 13/10/2022 16:30

Clock-they cant publish numbers until after the accounting period end,which is 31/10 so Interims will be published later in the year & I am hoping that the positive trend will have continued & that the integration of Eco is going smoothly & on track etc .

[clocktower] 13/10/2022 10:33

charo - we need exact numbers not just T/S

[charo] 13/10/2022 09:45

Clock tower read the trading statement 29th Sept.

[charo] 13/10/2022 09:27

Thii is me
Probably why time and money spent on due diligence don't you think.

[clocktower] 13/10/2022 09:27

It also, I assume flags that the company is not at present in any discussions to add any other toys to its basket of plastic product producers, as he would be closed out from buying if so.

I am sure others here will be pleased with that also, as we are not yet sure how the integration and cost savings are going.

[base7] 13/10/2022 09:23

Presumably Paul Freuds share purchase reflects the fact that there arent many investments with a prospective yield over 8% & offering the potential for capital gains

[this_is_me] 12/10/2022 23:26

charo We like to know why they are selling in case there is a hidden problem with what they are selling.

[charo] 12/10/2022 21:39

Such irrelevant information.

[base7] 12/10/2022 18:01

MKS Group looks like a classic property investment/development company & now the vendors have £mill in cash, apart from other wealth they are likely to loan more funds to this company to fuel investment & growth.Pond Safety looks like another small company they own & I am sure JG has a very rigorous non compete clause as they are young,could easily start again,win customers back & sell it again in a few years-if they were able to .

[temelco] 12/10/2022 15:06

MKS Group set up 2020 and appears to have some investment property. I could be wrong of course

[hatfullofsky] 12/10/2022 14:56

Broker note, they have assumed £4m of debt with the acquisitions before today. I think that took them to £1m net cash, now they'll be in a net debt position.

[hatfullofsky] 12/10/2022 14:54

At 5x profits, I'd say they're selling into a depressed market for whatever reason or are in distress. We don't know

[this_is_me] 12/10/2022 13:57

oops There seem to be several people with the same name who are directors.

They seem to already have set up another company- MKS GROUP LIMITED.

[base7] 12/10/2022 13:31

According to Companies House they are 41 & 42-far too young to retire & I hope they have an extensive non compete in their contract !

[this_is_me] 12/10/2022 13:18

base - They are 50 & 52 years old.

Enough money for early retirement.

[effortless cool] 12/10/2022 11:54

Of course - sorry, being a bit thick today.