Digital Barrier Share Discussion Threads

[glasshalfull] 02/4/2013 06:30

Disappointing update this morning.



Losses now forecast to come in greater than expectations - operating loss est. £6.8milliom.

Don't see how a loss making business, which is forecast to deliver a further loss of £4.6million in 2014 can justify a heady valuation of £81million. I recognise that the Detica team run this ship but DGB continues to be a jam tomorrow stock for me.

Regards,
GHF

[cockneyrebel] 06/3/2013 12:40

Was that tick down this am a shake by the mm's?

on the up now - seen those big buys going through?

CR

[cockneyrebel] 22/2/2013 13:22

Directors here a lot keener to buy their own shares than IND directors.

More buying today.

CR

[praipus] 04/1/2013 13:02

Newton upping the stake to 13.10%


For anyone interested I'm tracking the rest of Newton's holding with charts in post 9 of the WAM thread:

[michaelmouse] 04/1/2013 12:34

A few cursory observations.

Michael.

[billbyrne] 04/1/2013 08:06

Nice contract news this morning.

[hew] 05/11/2012 18:09

Tried twice to make a fairly substantial post - only the first two lines get posted! Will put it elsewhere!

[hew] 05/11/2012 18:08

The last two RNS announcements showed New Smith selling and Schroders buying up to 5.17%. The 1st Nov New Smith sell is not clear to me as it states their holding as now "

[hew] 05/11/2012 18:07

The last two RNS announcements showed New Smith selling and Schroders buying up to 5.17%. The 1st Nov New Smith sell is not clear to me as it states their holding as now "

[old tyke] 24/8/2012 13:45

Anybody got any ideas as to why this has gone to sleep? It's got some great names on its register, and they have been broadly doing what they said they would do. And the industry must be fairly bouyant....

[jxman] 13/5/2012 15:16

Check out Wsg could be another dgb. Huge potential and growth for shareholders.

[praipus] 06/12/2011 14:56

Newton reducing their holding,

[hew] 08/9/2011 08:43

Hmmm..............?? Big acquisition perhaps?

[praipus] 22/7/2011 12:11

Just noticed active shareholder/value investor/arbitrageur Newton Investment Management scooping up over 11%.



For anyone interested I'm tracking the rest of Newton's holding with charts in post 9 of the WAM thread:

[hew] 25/5/2011 18:00

Hmmm.......Last two days there have been no buys and total of 14 sells. All fairly small, but unusual. Typically there are no trades, or one or two, balancing buys and sells.

Late last year there was a £30m placing and only some £3.5m cash spent on the EVS acquisition so far so I can't imagine there is a cash problem. Possibly a really big acquisition, using lots of cash and with significant integration risk?

Views?

[george57] 03/12/2010 18:00

hew,

Good evening and a blatant ramp but connected to DGB, check out PINN if you get a few minutes over the weekend.

Tom Black recently bought £200k worth of PINN shares at a premium, he also tried to recently buy a further 67m shares in PINN.

I also note DGB have recently raised £30m for acquisition(s)..

If you are very quick on Monday you can buy at under 0.4p should it take your fancy.

Good luck with your investment here, but I don't think you will need it.

Regards

[hew] 03/12/2010 17:33

I suppose one way to make sure your contract wins are kept little known is to put out the RNS at 12.28pm on a Friday!

Anyway, today, £1.6m from a 30 month deal from some APAC government customer. "........supports our strong belief that our capabilities will be valued ....... around the world."

(Also put out mid-day (fair enough) last Wed, were share holdings by Henderson and Old Mutual, to 3.77% and 5.89% respectively, in connection with the 26 Nov placing I guess.)

[hew] 16/11/2010 09:14

It seems reasonable to note that the Interims are out today.

For those that may take only a very quick look, a key point to note: "These interim results .............. are not representative of the current trading performance of the Company." (As followers know, that is because the period covered has been dominated by the three successive acquisitions. A fourth post-period.)

It seems there is no flagging yet. The international growth strategy is ambitious and impressive and I note the phrase "..... our access to clients, to potential acquisition targets, and to high-quality people will enable us to execute it successfully."

There is no catalogue of specific deals in the results; that is unsurprising of course. The client list on the website seems substantial enough!

[l0wrdr] 11/11/2010 09:51

O/T

pinnacle telecom, where tom black has recently bought a huge stake


11th November 2010 Analyst: Philip Morrish
Email: [e-mail]
Tel: [phone]

Pinnacle Telecom Group - Closed Year Strongly, Forecasts Upped and Target Price Increased to 0.79p (0.53p)


Key Data

EPIC
PINN
Share Price
0.39p
NMS
0.36p-0.42p
Spread
300,000
Total no of Shares
1.87 billion
Market Cap
GBP 7.28 million
12 Month Range
0.27p-0.62p
Market
AIM
Website
www.pinnacletelecomgroup.co.uk
Sector
Telecommunications
Contact
Alan Bonner, Chief Executive 0845 119 2100


Pinnacle Telecom Group plc is an acquisitive AIM listed provider of hosted integrated telecommunications solutions, specifically focused upon the huge UK SME market. The company, currently over half way through its strategic repositioning, is starting to strongly deliver as demonstrated by the graph: Half Yearly Trend in Turnover & Operating Profit, below. Indeed, Pinnacle reported a maiden operating profit (clean of amortisation and exceptional charges) of GBP40,841 for the six months ended 31st March 2010 compared with a loss of GBP413,695 for the comparable period a year earlier.

The strong first half performance has continued into the second half with the company providing the connectivity circuits for the television and radio broadcasting of over 42 major events, including the Pope's visit, all the political parties conferences, and the Glastonbury and Reading Festivals. Moreover, Pinnacle's hosted communications solution is fully endorsed and extensively used by the BBC. Indeed, on 14th October, the company was awarded the best Enterprise Solution award at the prestigious 2010 Comms National Awards for its BBC solution.



Pinnacle has rapidly become the market leader in this market segment and on 7th October 2010, the company confirmed that '... The events business has helped ensure that the Company will deliver turnover for the year ended 30th September 2010, ahead of market expectations.' In light of this comment, we have edged up our sales expectations for the financial years ending 30th September 2010 and 2011 by 1.5% to GBP6.5 million and GBP8.6 million respectively although not as yet fully reflected in EBITDA margins due to further technical infrastructure investment.

Additionally, the company successfully raised GBP0.45 million before expenses through a placing of 128,571,429 new Ordinary shares at 0.35p each, a then premium of 18.64% to the 21st September mid-market price, for general working capital requirements so that the company can continue to capitalise upon the growing number of opportunities; we estimate that the group closed the 2010 financial year with net cash of GBP0.5 million.

Pinnacle remains comfortably on track with its strategic repositioning into a hosted integrated communications solutions provider; the business has been stabilised, management team strengthened and its market opportunities and service offerings have been clearly defined - exemplified by the company's market leadership position in the 'events' market segment. The company is now beginning to release its growth potential as demonstrated by its return to an operating profit before exceptional items while the recent strengthening of the balance sheet will ensure that further opportunities to accelerate growth that is consolidating will not be missed.

This week Daisy Group agreed to acquire SpriTel, a broadly similar business to Pinnacle, on EV/Sales multiple of 1.57 times sales for the financial year ended 30th April 2010 and is consistent with our approach to valuing Pinnacle.

Therefore, with the shares trading at 0.39p, the 2009 financial year Enterprise Value was GBP4.899 million, which is 1.53 times reported 2009 sales of GBP3.192 million. We estimate that by the end of the 2011 financial year, the group will be EBITDA profitable and increasingly cash generative, such that (in the highly unlikely event of no further acquisitions) Pinnacle will close the year with net cash of GBP1.62 million. Therefore, if the shares were to trade on a similar EV/sales multiple, then, based on our revised but still conservative 2011 forecasts, they would be 0.79p. With the shares currently trading at 0.39p we re-iterate our recommendation of buy.

Forecast table

Year to 30th
September
Turnover
(GBP000)
EBITDA
(GBP000)
Pre-tax Profit (GBP000)
Earnings Per Share (p)
Price Earnings Ratio (x)
Dividend (p)
Yield (%)

2007A
1,015
(1,114)
(2,583)
(0.46)
NA
0.0
0.0

2008A
1,495
(839)
(1,067)
(0.09)
NA
0.0
0.0

2009A
3,192
(504)
(895)
(0.07)
NA
0.0
0.0

2010E
6,500
179
(219)
(0.01)
NA
0.0
0.0

2011E
8,600
337
(42)
(0.00)
NA
0.0
0.0


Source: Company and Growth Equities & Company Research

[leedskier] 27/10/2010 12:37

Big write up for this in today's Citywire as the must have share.

[nfs] 26/10/2010 15:23

Contrarian-I have managed to keep to my/your rules-this got tipped in a newspaper and s has zoomed from 175.I'm hoping it takes a rest/moves back once we see some numbers

[contrarian2investor] 25/10/2010 15:34

Hi all,

All the best to those that have been invested prior to today.

I really hate buying stocks that have already appreciated significantly. Additionally I hate buying stocks when the general markets have already rallied or at near-term highs. So I have broken 3 of my investing rules today in order to purchase 5000 DGB @ £1.95p on a 3-10 years view. I therefore won't be commenting on them other than following interims/finals/updates etc

EDIT 16.37 : I was attracted by their niche, the history/record of their management and the quality of their backers/funds/shareholders/investors.




c2i

[hew] 25/10/2010 10:28

George, whilst that seems a +ve for PINN, there are a number of possible interpretations regarding DGB ! Possible connection, as you suggest. Or, spreading his bets? Not enough to do? Other background/personal reason to link? Tax beneficial re inheritance? Simply a good investment? But hopefully not changing horses!

For the avoidance of doubt though, I remain +ve on DGB!

[george57] 22/10/2010 10:09

To the guys that own shares in DGB,

It is worth noting that Tom Black has recently purchased £200k worth of PINN shares at an 18.8% premium to the share price at the time.

A few of us on the PINN board are guessing there could be something significant brewing between the two companies.

Anyone have any thoughts?

PINN can be bought at 0.39p at the moment.

[bleuville] 22/10/2010 10:04

Positive write up in the Tempus column in The Times today. I won't put my limited keyboard skills to the test by attempting the complete article but here's the final comment: "Buying into DB is buying into a management team that expanded Detica from a £20m minnow into a £540m takeover target in just 6 years. Although it is early stage and the stock has already risen to 171p from its 128p flotation price in February, the business is on the up. Buy for its substantial potential."

Seems to have gone down well with a 6% rise in the share price.