Dcc Share Discussion Threads

[djderry] 05/1/2021 08:18

Another of the completely undervalued companies in my portfolio.As an investor,I'm completely at peace with that.It's the lot of the patient investor.Today's news of a further acquisition of another LPG distributor in the US is another step in the process of building real scale in the business.
Actually,it's just business as usual.
The share price has gone nowhere for a couple of years.Yet DCC continues to compound growth approx 15% a year.One day,sooner or later,the share price will double.
As a patient investor,I'm completely used to that as well.

[prokartace] 08/12/2020 11:58

This share doesnt mess around when it moves! I can see it will have to go on my long term hold but trade sharp moves list!

[prokartace] 18/11/2020 16:10

Obviously no one wants the dividend, it goes ex 51.95p tomorrow!

[pdriccio] 18/11/2020 15:29

DCC PLC Enabling energy transition webcast that went well!! ;-)

[djderry] 10/11/2020 13:33

They are serial acquirers of companies.Believe it or not,more than a 200! Generally speaking,this is a bad idea as most acquisitions fail.However,in the case of DCC,the opposite is true.They have a team scouring the world.They are ruthless about it,it's ROC has to be at least 15%,they learn everything about the market,then scale up,if it makes sense.Any underperformers ( very few) get sold and the cash will eventually get recycled into higher return assets.Their profit margin is tiny,about 1.6% if I remember rightly.The scale and effeciency of how they do it makes it a cash machine.If you ever visit their HQ,I'm told there's hardly carpet on the floor, although I can't vouch for that!

[prokartace] 10/11/2020 12:32

Bought @£53 3 weeks ago looking for a cheap opportunity to get in. This is my 1st venture into this share. Very surprised to see vertually no chat on this thread for a ftse100 company. Initially thought it was a bit expensive until I saw the level of cash. Do you know if they have any plans to use this cash or do they historically have a large non-performing pot?

[djderry] 10/11/2020 07:26

It's a pretty amazing six month performance.Who'd have thought that Retail and Oil would have increased operating profit in the middle of a pandemic! Revenue down,profits up,result!

[djderry] 04/11/2020 17:09

Fidelity spooked by analysis and selling down.LPG is going to be used for many years.DCC is a conglomerate with a number of strings to their bow.

[arja] 30/10/2020 11:22

for once an analyst's tip might come to fruition as 5 quid approaches.

[djderry] 01/10/2020 17:51

It's always been a low margin business but these guys cut their cloth.LPG is seen as pretty 'clean' in the big scheme of things.I think it's an over reaction.

[jatin724] 01/10/2020 13:11

DCC plc downgraded to Sell from Neutral at Goldman Sachs Goldman Sachs analyst Matija Gergolet downgraded DCC plc to Sell from Neutral with a price target of 5,000 GBp, down from 6,800 GBp. The analyst has taken a "more conservative view of the longer-term growth potential of DCC's existing oil products distribution businesses, owing to the increased focus in Europe and globally on the Green Deal and the shift away from petroleum products." The analyst added that M&A execution is likely to become more challenging due to the low interest rate environment.

Read more at:

[1nf3rn0] 01/10/2020 13:09

After a bad couple of months a further 5% drop today. Any news?

[djderry] 21/9/2020 08:46

Small acquisitions but impressive given pandemic backdrop.

[djderry] 17/7/2020 06:31

As they say,a resilient performance.With traffic volumes down,it's obviously had an impact but overall,LPG ,Medical,Retail have held up well.

[arja] 25/5/2020 11:42

and in nice short uptrend to perhaps 7500 again in due course - might pullback on profit taking on tuesday although dow futures strong

[djderry] 19/5/2020 19:06

Impressive results.Aside from the pandemic fallout,there's also a conglomerate discount,the market has failed to value this company properly for some years now.For the long term investor,one gets quite used to this.

[djderry] 19/3/2020 18:29

As with many quality companies,the shareprice has been decimated.Until it becomes clear about the path of Covid 19,there will be unpredictable volatility.Pribabky best to come back and look at it in 2021/22.

[djderry] 30/12/2019 16:52

I think they've taken over 22 (?) Tesco forecourts.No big deal.As investors know,the shareprice is one of the least useful bits of information about a company,unless,of course,you are about to buy or sell.The share price has gone nowhere over the past three years.Fine.Most investing is about the art of inactivity.When the share price does move ahead,I'll still be holding.

[djderry] 12/11/2019 13:12

Rookie mistake.

[djderry] 12/11/2019 13:11

Alfred,watching the share price is a relief mistake.Do the math,if you are growing by 14% compound,you double every five years Now,when the stock market decides to reflect that is another matter.

[djderry] 12/11/2019 10:16

Positive six month results.

[alfred] 06/8/2019 07:27

They've nowhere near doubled over the last 4/5 years. What's different about the future? Reliable(ish) but stodgy I'd say.

[djderry] 05/8/2019 15:18

This is macro stuff.Brexit us,of course,a lose-lose situation economically speaking,a mirage created by the Little Englanders who want to make Britain great again.It's easy to tap into the 'take back control' slogan when you want to appeal to the disaffected and disenchanted,the 'fight back' brigade.Ask them what they're fighting against and you'll get disparate answers.What's this got to do with DCC? Not much,but a crash -out Brexit will push up costs,increase the cost of business and sap investment.

[1olddog] 07/7/2019 17:44

Thanks dj. I’m in for the long term, so hope you are right.