Conduit Share Discussion Threads

[madengland] 29/7/2013 13:18

Don Elgie long muted to be looking to retire. Just wonder if the employee share save scheme a chance to let a few of them profit. Is DE in chat with havas? Could the co location be something they asked him to do. Bold

[phoenix1234] 29/7/2013 13:17

Creston plc - trading update encourages, growth upside delivery now needed

[funkmasterp12] 29/7/2013 12:46

Funnily enough I was just looking into that. So, according to Morningstar, Havas own 3,739,318 shares in CRE (6.1% of the overall company).

The last RNS on Havas' activity last August stated that they had purchased 3,179,192 shares (5.18% at that point).

CRE have been buying back shares but the difference in numbers would suggest that Havas have been picking up shares in the background. Although I note no RNS was issued on the crossing of the 6% threshold - can someone more knowledgeable than me please clarify if this would have needed an RNS?

[rivaldo] 29/7/2013 12:41

The difference is that Havas already has a 7% or so stake in CRE....

[funkmasterp12] 29/7/2013 11:56

CHW has picked up off the back of the Omnicom news as they're a prime target for take out as well.

[rivaldo] 29/7/2013 11:52

Interesting re the mooted Publicis/Omnicom merger news. CRE potentially get to win in two ways, as:

(1) Havas may show their hand earlier than they were planning to in terms of bulking up with further acquisitions to compete

(2) There's bound to be client fall-out from competing relationships in the two companies, and other companies would pick up the casualties. Here's what UBS say this morning:

"The clients that may be concerned are those such as Pepsi and Coca Cola which
will now be at the same holding company. In autos the same agency now services Nissan, Volkswagen, Mercedes, GM and Toyota which may lead to some concerns given the high level of concentration. Other potential conflicts are Nestle, ATT and Verizon, Visa, Citi and Amex, Unilever and P&G. The recent move of Pfizer to consolidate into three agencies, WPP, Publicis and Omnicom, have now essentially moved to two. WPP have won twelve of the last fourteen pitches at the account."

[rivaldo] 29/7/2013 09:02

The confidence emanating from the RNS imo bears out Madengland's analysis, namely that the pipeline and sector recovery indicates a hitting of expectations and potentially a bettering of expectations this year if all goes well.

Nevertheless, having delved a little I was surprised to find it was only my own expectations for the opening quarter of this year which were low rather than the outlook statement from the prelims, which didn't specifically mention any reduction in revenues for Q1. The Sanofi loss had I suppose preconditioned me not to expect too much for the start of this year.

At this level I agree with Woodcutter - no reason to sell, especially with the super-strong Balance Sheet, and I expect that CRE will win their share of the high level of business coming through to make this a good year.

[woodcutter] 29/7/2013 08:46

well not my best timed buy that's for sure. XD on the 31st so will consider further purchase/sale over the coming days.

Having said that the statement was pretty neutral really but i can understand the sales given the potential uncertainty. It could go either way over the rest of the year. Nevertheless the business pitch activity gives some measure of assurance. share price Drop is probably a little overdone.

WC

[madengland] 29/7/2013 08:19

Apologies, not read this years thoroughly ref comp figures.Sanofi was a known a few months back, the pick up in business across sector wasn't. I am reading we will hit expectations and this could get better. Green shoots. Maybe a bounce off £1ish level. Am expecting we move towards £1.20. Gl

[interceptor2] 29/7/2013 08:17

Even though the statement in the IMS was still inline with expectations to the full year, I did sell my modest holding here at the open. It looks like meeting these expectations is dependent on the rest of this financial year continuing to perform as strongly as Q1, which should be likely imv.

But I felt more comfortable playing safe, I will keep an eye on progress here, and wish shareholders well.

Regards ic2...

[madengland] 29/7/2013 08:13

Yes Riv, the level of pitching is encouraging. I had expected a more positive story from health (after the sanofi factored out). I suppose you could read it either as we are hitting expectations and this looks like its really picking up.......or the its picking up so we should hit expectations. I recall ly they gave % comp figures, and if there is an absence of those this year it does make me a wonder whether its not been a strong 1/4. Happy to hold on current p/e, yield and potential. Had expected a bit better

[markie7] 29/7/2013 07:50

you could read it that way, or that "new business activity is ahead of expectations"; and assuming a normal conversion rate, they will hit overall expectations.....

ergo, they are behind year to date.....and need to win more than normal to hit the numbers....

[rivaldo] 29/7/2013 07:18

IMS out, and is as already flagged. The main point is that they are "confident" of meeting the 12.1p EPS expectations - and in particular:

"the level of pitching we are seeing is the highest I can remember"

and:

"client sentiment towards increased marketing spend is the most encouraging for six years"

[smithie6] 28/7/2013 14:38

big merger in marketing sector...Publicis and Omnicom...
..will monopoly and mergers commission need to review it ?

[rivaldo] 28/7/2013 07:50

Madengland, thx for the heads up - Monday morning it is then for the Q1 update.

The recent gaining of the UK Government as a major client more than makes up for the loss of Sanofi over time, but it's encouraging to have learnt that almost all of CRE's major clients have been with them for 10 years or more.

As long as this first update of the year confirms that CRE are trading in line with expectations of 12.1p EPS I'll be happy - CRE are cheap on a P/E of 8.7 and with that large cash pile behind them.

[markie7] 27/7/2013 07:36

Well, the US has lost it's largest client, which was huge. so lets see how good it is.

[madengland] 26/7/2013 14:27

Interesting to see a few sells today, after good buying day a few days ago. Looking forward to TA Monday. Upgrade on expectations? US should look good, although doubt we will get detail

[rivaldo] 25/7/2013 14:03

Woodcutter, great to see you buying in here - good to see a respected face. And yes, the pun on the new Durex campaign was intentional :o))

Agreed it_trader - the bands of that era were equally as good as the '60's and '70's greats. Echo & the Bunnymen, Siouxsie, The Pogues, The Specials, Pixies etc are just a few who come to mind. Current bands just don't hold a candle to any of them in most cases. New festival headliners like Mumford, Foals, Bloc Party, Snow Patrol etc have just a few good songs and a load of mediocre ones.

The Joy Formidable (especially their Balloon called Moaning and Big Roar albums) are outstanding in the current crop imo, and are great live too. Mind you, Neil Young at the O2 last month was something special....and he must be knocking on 70 by now.

[smithie6] 25/7/2013 12:51

briefly going back to the subject of music !!
....surprises me that girls go nuts for Justin Bieber....
....skinny ..looks like he would be picked on in the playground
(when I was a kid the girls always went for the bullies not the pansies !)
...and so feminate.....girly hairdo....

maybe it shows the power of what good marketing and advertising can achieve...


----

one groovy modern song is
Blurred lines

if search and add uncut ....youll find the topless video that goes with it...
...1 of the girls is ...stacked...and stunning..

[madengland] 25/7/2013 08:55

What price did you get Addison? Looks just sells registering

[addison17] 25/7/2013 08:11

With you on that one It trader, but lets not try to guess what teenagers listen too.
Topped up with more CRE this morning.

[it_trader] 25/7/2013 01:08

I think you guys are little older than me from those lists ;) although I do own a good chunk from each list too from my guitar playing days. The Smiths, Jam and Dire Straits were my favourites when I was growing up.Not all the older bands were everyone's bag, but there was real choice back then, and agree they're still well known and respected today.

[smithie6] 24/7/2013 23:36

Well ...at least us older generation and some a bit older can say that the music from our youth is still listened to now by new generations...and widely played..and liked/admired....(M Oldfield Tubular Bells, Stones, Boston, Beatles, Whitesnake, Blonde, Pink Floyd, Peter Gabriel, Police, Sting, Bowie, Dire Straits, Status Quo, Thin Lizzy Springsteen (cant stand his stuff myself), Fleetwood Mac.....

some are still playing at some summer festivals and the young people have a good time...and like the music....

(even people like Peter Gabriel can play Glastonbury .......and the youngsters love the music....and he must be around 50 or so now...)

and loads of older stuff is still used so much for backing music for adverts etc

whereas a lot of modern stuff is so commercial and quickly forgotten imo....Juston Bieber and Usher.....etc....their songs wont be played at all in 10 years time imo...

how many words is a modern song made of ...and then repeated adnausium ...is it 5...maybe 10 at a push !?