De La Rue Share Discussion Threads

[quepassa] 14/2/2014 12:58

Numis today issue a broker update.

They UPGRADE De La Rue to an ADD recommendation and maintain their price target of 854p

ALL IMO. DYOR.
QP

[salpara111] 08/2/2014 11:03

I guess the overriding big picture issue is.....how long will people continue to use physical money?
I know that personally I visit an ATM less and less especially now that I can touch my card for small transactions that I would traditionally have used cash for.
It is on its way out in developed countries so the question is, will developing countries pick up the slack?

[chatterbox] 07/2/2014 11:35

Dlar is in the BLUE today, I think this is a case of no news, means price goes down!!

[redartbmud] 06/2/2014 09:41

QP

I understand where you are coming from, but they have lost one plastic contract, and there is overcapacity in paper notes. This would impact on the value placed on the business by a prospective purchaser, looking at future prospects.
Personally I believe that the analysts are a little too optimistic in their assessments, but time will tell. As long as the dividend holds it is better than cash.

red

[quepassa] 06/2/2014 09:27

Yield now an astonishing 5.6%.

Not a robust dividend cover ratio but no real reason in my view to suspect whatsoever anything other than retaining ( possibly increasing) dividend.

The general pack of analysts are around the 850 Price Target range with Investec giving a BUY at a Target Price of 890p on 31st. January.

The analysts see upside to the current share price.

Sentiment not particularly supportive and not helped by the unnecessarily dour tone of announcements.

I think the last two posts are interesting about Oberthur.

ALL IMO. DYOR.
QP

[redips2] 05/2/2014 10:38

I know Oberthur said they wouldn't revisit, but at this rate "pigs might-----

[chatterbox] 31/1/2014 10:54

I think that this has been manipulated in a declining market, what about the company that wanted to bid for them, surely they must be tempted at this price! Does anyone know when the decision is due for the BOE contract?

[jange] 31/1/2014 10:19

I think I'm right in saying that DLAR are one of the few outfits capable of producing plastic notes. I expect they will win the BOE contract but you never know especially with a Canadian in charge...
The management statement was just steady as she goes and yet this stock gets sold off yet again. It does seem a little overdone but I remain very cautious. Put it this way, I'm not buying any more at the moment!!

[lord gnome] 31/1/2014 10:10

Any move towards plastic banknotes will increase oversupply problems in the paper banknote market, surely? Also, are investors nervous that DLAR might lose its BoE contracts if it cannot supply plastic notes. How is DLAR responding to the new challenge? This is on my watch list as a yield / recovery play, but I'm not yet ready to risk real money on it. Looking at the chart it could easily sink all the way to 700.

[salpara111] 31/1/2014 09:28

An "In line" statement gets pretty negative reaction.
I have looked at this one in the past but not invested due to the "Overcapacity in the banknote printing industry" the problem is that installed capacity is not going away for a very long time so it will be difficult for them to move the business forward.
Having said all of that there is now a very chunky covered yield but I think I will wait and see if they ease back to the 700 region.

[philo124] 31/1/2014 08:48

Not yet- IMS statement.

[jange] 28/1/2014 17:18

I bailed out of half of my holding a while ago. Thank goodness. Must be yielding around 6%. Does anyone know when we're likely to hear about the BOE contract?

[chatterbox] 28/1/2014 15:22

Everything is up and this just keeps falling - why - a good buying opportunity.

[philo124] 28/1/2014 11:34

yep as are many shares.

[redips2] 28/1/2014 11:11

humm---heading into bargain territory .

[stpalm] 03/1/2014 13:37

This is looking like a bullflag, from my limited knowledge of charting. views anyone?

[redips2] 20/12/2013 15:28

fair dos trader g/l .

[redartbmud] 20/12/2013 14:41

redlips

If only I had enough time........
I have a mountain of reading to catch up on at present.

Sold out of Dlar at just over £9, and I might wait a bit before I climb back on the horse.

regards,

red

[redartbmud] 19/12/2013 10:39

Who supplies the paper for notes at present. They could be in for a rough ride.

[quepassa] 19/12/2013 08:54

On 13th. September 2013, The FT ran an insightful article written by Gill Plimmer about De La Rue and plastic notes. The FT article was headed

"A switch to plastic notes fits the bill for De La Rue"


Now that the Bank of England has confirmed after a public consultation that it will print plastic, this is potentially great news for DLAR.

It should be noted that De La Rue are already printing plastic notes and is supplying notes already to Fiji and Mauritius and have the R&D and technical experience in place to produce plastic notes

Here are some extracts from the FT article:-

- Company has edge on competitors after entering the polymer market

-The move could not have come at a better time for De La Rue

-Its most likely competitors n the contract - the German Giesecke & Devrient and the French Oberthur- are yet to produce plastic notes giving De La Rue a technological lead.

- Analysts estimate that the potential market for plastic currencies remains huge.



Worth reading full article.

ALL IMO. DYOR.

QP

[quepassa] 19/12/2013 07:26

Link to the important Bank of England press release yesterday about decision to go ahead with plastic notes:-



ALL IMO. DYOR.

QP

[quepassa] 18/12/2013 21:31

Bank of England has confirmed they will start using plastic/polymer notes from 2016.



Where the Bank of England leads, other Central banks will surely follow.

Whilst it appears that the contract for printing has yet to be decided, De la Rue may well be in a strong position in my view as current banknote printer to the realm.

This is excellent news for De La Rue.

ALL IMO. DYOR.

QP

[redips2] 27/11/2013 15:53

well the pink gap has filled, now we wait for the blue gap-----maybe .