Costain Share Discussion Threads

[disruptor1664] 26/7/2020 00:39

I can't see it hitting them hitting 40's. Not without the sector taking a constant decline and second wave etc. I would be willing to go back in at 50p. (would bite at 52p) but since i parted ways I have made the money back on other invests which would have been lost slowly day by day. (Even when the FTSE is in the green).I would have thought the bottom would be the 50p mark, but as others have mentioned these are well in the £1- £1.50 area. In all honesty I am more put off by the government and its poor stimulus attempt to support the sector than the company itself. Being said, the UK is a construction economy and this cannot last much longer.(I personally would like to see more contracts won, and HS2 doesnt fill me with confidence.)I have more faith in these guys now ASCG are involved. The [lack of] experience of the management makes me a little nervous, but the old management made a lot of mistakes, so the new team deserve the chance... I worked with these in the past on municipal water contracts and they certainly aren't the worst contractor around.

[faza3] 25/7/2020 09:28

hxxps://www.ig.com/uk/news-and-trade-ideas/shares-news/costain-share-price--whats-the-outlook-as-they-start-new-uber-of-190709

[imastu pidgitaswell] 24/7/2020 11:35

Alright, whatever. Filter awaits.

[faza3] 24/7/2020 10:43

You are my problem mr D

[imastu pidgitaswell] 24/7/2020 08:12

Personally no, otherwise I wouldn't hold on. Looks like (but I'm biased) it is bottoming out, as the rate of decline slows, with 56p being the floor. For now anyway.

[ammu12] 24/7/2020 08:09

You reckon this will be go back to 40's?

[disruptor1664] 23/7/2020 17:37

For now I have taken my shares out. I plan to come back into costain, but there are too many opportunities over the next 3 month that will allow me to grow my investment and hopefully put more back into Costain later... unless the share price takes off, but you live with your consequences don't you.

[imastu pidgitaswell] 23/7/2020 08:32

Ah wot thread would be complete without a contribution from the poster no-one ever communicates with?

How is your VLX short doing?

[faza3] 23/7/2020 07:38

You have better strategy please be free to tell us if not please just fack off 😉

[imastu pidgitaswell] 23/7/2020 07:26

I think everyone here probably is doing just that. Doesn't make it any less irritating - and would not have been a great strategy for the last 2-3 years, eh?

[faza3] 22/7/2020 22:35

I suggest to buy on dips and be patient company is ok getting jobs and making progress l am sure you will enjoy shear price next year

[npp62] 22/7/2020 17:56

Way below placing price.. bloody pathetic performance. The question is WHY? I know there's a pandemic but nevertheless it's not behaving like any of my other investments that's for sure

[disruptor1664] 22/7/2020 17:32

Its like a dying dog this share, just waiting to kick the can.What is going on ?

[imastu pidgitaswell] 21/7/2020 12:12

It would be good in many ways to get this gap over with - at least then it will be clear if that is an issue or not.

The daily grind down is getting quite tedious, although it does seem to do that looking back at the longer term chart...

[imastu pidgitaswell] 17/7/2020 13:30

Oooh, green thread title (as I see it) - who knew?

Maybe change of thread, change of share price trend - relentlessly down, notwithstanding any amount of news and indeed placement monies.

Until now...


First issue is this gap:


free stock charts from uk.advfn.com


Longer term:


free stock charts from uk.advfn.com

[imastu pidgitaswell] 17/7/2020 13:25

!FOLLOWFEED



Financial Overview:

Revenue in 2022 of £1.42bn. Extrapolated beyond - taking into account impact of cost inflation being passed through.

They have a medium term margin target of 5%+, but flagged 3.5% for 2024 and 4.5% for 2025.

...........................................2021.......2022.......2023.......2024
Revenue (£'m).............................1,178......1,421......1,500......1,600
Margin.....................................2.5%.......2.6%.......3.0%.......3.5%
PBT (£'m)....................................26.........34.........43.........54
PAT (£'m)....................................26.........27.........33.........41
EPS (275 m shares).........................9.6p.......9.9p......12.0p......14.8p

Net cash position at 31.12.22 was £124m, after £43m was paid in early 2022 for the last legacy issue to NGC re Peterborough and Huntington. This equates to 45p per share (£124m / 275 million shares) - with more to come in 2023. So, at 47p per share (14.03.23) you (or a potential bidder) get the business, which reflects the above projections - for 2p per share.

Sector comparators: MGNS and BBY are on c8-10 times earnings. Some way to go before COST get that multiple, but it shows what should be possible in the near (<12 months) term - 10 times current (2023) earnings would give 10 x 12p = 120p. Ignoring the £124m (and rising) net cash.

No current dividend (again...) - but they have flagged the plan to pay a dividend covered 3 times by earnings. At 12.0p (2023 projected) EPS that dividend would be 4p per share, rising in line with the table above (one third of the EPS).

2023 Full Year Results:



General:

[aquaesulis01] 15/7/2020 07:56

Quite a positive update from Galliford Try this morning that should move their share price North, and could equally have been written for and apply to Costain. Hopefully a positive day here too on the back of the anticipated Galliford Try movement