Dewhurst Share Discussion Threads

[cockerhoop] 25/1/2019 20:33

Share Buyback



The 2 previous recent occasions this has happened in Feb 2017 & July 2014 performance was decent in the following 12 months. Their timing appears sound.

[bench2] 30/11/2018 12:17

Final results in past 3 years have been announced on the first Tuesday of December . But no mention in todays Inv Chron .

[jaf111] 06/11/2018 08:27

continued hibernation....but FY results due early December so hopefully some life in run up....and post results.

Seem very cheap, esp with sterling remaining weak - see my post 8 August

[jaf111] 08/8/2018 13:00

Both DWHT & DWHA shares seem to have gone into holiday hibernation, but recent weakness of Sterling should benefit the company..... As noted in the half year report (13 June) "another significant negative impact on the results was the strengthening of Sterling"

Perhaps we could get a trading update soon as in August 2016 where the fall in the pound following the Brexit referendum was stated as a benefit to reported sales and profits.......here's hoping!

[contrarian joe] 20/7/2018 18:39

Yes both pay 12p,though you get a far better yield on DWHA.

[topvest] 20/7/2018 18:21

Both deliver identical dividends.

[jaf111] 20/7/2018 15:13

So in rough terms DWHT has doubled in value over the past 3 years whereas DWHA has risen 50%.....

Maybe something afoot to justify......otherwise a clear opportunity???

[cockerhoop] 20/7/2018 13:32

Pro's

Attend & vote at Agm's and in any corporate actions. Potential for higher price in the event of takeover. (though influence somewhat illusory as family control over 50%)

Cons

Lower dividend returns
Possible lower growth returns as disparity between 'A' & 'T' at very high historic levels.

[jaf111] 20/7/2018 12:21

Really really struggling to understand the continued outperformance of DWHT over DWHA.....why buy DWHT rather than DWHA????

[cockerhoop] 17/7/2018 21:36

WCB,

If you'd have made that argument a few months ago it would have suggested that the company couldn't use two thirds of the cash to buy 25p of additional EPS.

Yes the pension deficit is there (as it is with lots of companies that also have debt) and should be taken into account but it's far too simplistic to just offset cash against it imo.

[westcountryboy] 17/7/2018 20:31

Yes, though you can't really take the cash into account as the market offsets it in view of the large pension deficit. Anyway, I take the long view on the A shares - I remember when the discount was far lower and at some stage it will be lower again.

[cockerhoop] 17/7/2018 12:21

DWHT 2019 PE 13-14, lower if you take cash into account. Decent ROCE & Op Margin of 12%. Hardly massively expensive.

[topvest] 17/7/2018 10:03

Yes, totally ridiculous. These are either very cheap or the voting shares very expensive...take your pick!

[cockerhoop] 17/7/2018 09:17

DWHT tipped in the IC over the weekend (A Slateresque AIM screen) with a positive writeup. Seems to have given the 'T' shares a boost. The share price disparity between the 'A' & 'T' looks even dafter.

[coolen] 10/7/2018 23:13

Perhaps reflects the recent acquisition going well ?

[jaf111] 10/7/2018 22:46

Two days of gains...and a little bit of volume today
Hopefully the start of a decent rally.

[jaf111] 18/6/2018 09:53

Looks like a few more buyers coming in today....Certainly very very cheap but very illiquid and usually there is a wide bid / offer spread.

[contrarian joe] 15/6/2018 21:37

Bought in today,spread a bit mean, tucked away for the distance.

[westcountryboy] 15/6/2018 18:46

I note estimates for 2019 on stocko are at 75.9p following the acquisition news. And net cash now at £7.5m even after the acquisition. The A shares seem insanely cheap to me, so I've been buying more.

[topvest] 05/6/2018 12:15

Noted. It just shows what a sound business this is though.

[cockerhoop] 05/6/2018 10:08

Dewhursts will not be getting the cash though topvest. Net assets acquired are £0.8m.

Still an excellent business with frankly amazing margins for a distributor.

[topvest] 04/6/2018 13:48

Looks v.good from the accounts. £11.5m turnover and £3.3m PBT in 2016. Net assets £6.5m. Clean balance sheet with £5.2m of cash. Nice! Family owned by the Warren family by the looks of things.