Dx (group) Share Discussion Threads

[qs99] 26/10/2022 13:15

Cracking announcement and v. upbeat IMO

[qs99] 26/10/2022 13:13

Full offer being paid now....goodbye Chairman will help open it up to be sold IMO! DYOR

[tanneg] 26/10/2022 13:09

Gatemore requisitions EGM to replace Chairman of DX Group!

[qs99] 26/10/2022 12:47

Agreed WW and thanks SteMis for reiterating forecasts and cash expectations....DYOR and a long way to go, but if stays undervalued (which I believe it is) then pe firms will take it out...DYOR

[wallywoo] 26/10/2022 12:14

Lol, love the fear and greed emotions playing out. Monday and Tuesday (when I was happily buying), no one was touching this. Today whosh!!!Imo, this will be over 30p in a month or 2.

[effortless cool] 26/10/2022 12:03

It looks like that 3.5m sell has finally cleared an overhang.

[mdw1] 26/10/2022 11:44

Decent volume for a change, could be the start of the rerate, fingers crossed

[stemis] 25/10/2022 22:04

Would also expect them to clear their forecast with the company first. I believe Liberum are also forecasting EPS 3.4p for 2023 although I don't have access to their research note.

Forecasts are only forecasts of course.

[nigelpm] 25/10/2022 21:30

Finncap are the company broker however so would expect a pretty bullish outlook.

[stemis] 25/10/2022 14:12

FinnCap research note. Adjusted EPS of 2.8p for y/e 30.6.2022, 3.4p for 2023 and 4.0p for 2024. Dividend of 1.5p for 2023 and 1.7p for 2024. Net cash £27m 2022, £40.6m 2023 and £54.5m 2024.

£27m is 4.7p a share. So an 2022 (which ended in June) ex cash P/E of 6.0. If they hit their numbers for 2023 that falls to 4.2 for 2023.

[wallywoo] 25/10/2022 13:31

The shares were suspended for nearly 11 months. There's bound to be some overhang, especially in poor markets where everyone is running to cash. Also without a CEO currently, adds to the uncertainty.


However, "where's There's muck There's brass". £27m cash in July, probably above £35m now. And don't forget Clipper logistics buyout from a US company. DX is a bargain in comparison with a much better exchange rate.


I think this will be one that goes quiet then rockets!!! That's why I am adding steadily from 22p down.

[fenners66] 25/10/2022 13:14

Market does not seem to believe the story.
Is that because they sense a fine coming ?

[castleford tiger] 25/10/2022 13:03

good staff is harder than ever to find

tiger

[ls24] 24/10/2022 14:39

The beauty about opening new depots is you recruit from new areas

[amaretto1] 23/10/2022 12:00

Only real problem here ....From boys on the ground They are struggling for drivers .. and reliable drivers to keep turning up ! Most depots ....So i imagine all companies in this sector are suffering same.

[qs99] 23/10/2022 11:41

well said Wallywoo

[wallywoo] 22/10/2022 08:02

We don't have the audited accounts for fy 22, but we do know that revenue was around £425m, with £27m cash on the balance sheet. 1.5p dividend this year will cost them around £9m, that looks very sustainable for a company generating over £10m cash every 6 months and growing at 11% per annum.


In deed since that trading statement in early July, they have stated that FY figures will be even better than that. They also said they expected 2023 to carry on with growth and confirmed that in the figures last month. They also stated that 12 new depots were planned for 2023 /24 (added to the 85 existing ones - many being extended, 2 new just opened last month). That looks like good growth to me.


To me this looks like a great opportunity at this price. They should benefit from Royal Mail strikes imo, and having a large cash balance during increasing interest rates should also give them a advantage.

One final note Clipper Logistics were taken over in January 22, by a US company. They had a £500m turnover and were bgt for £920m. With the US $ exchange rate you would not bet against that happening again!!


All IMHO

[stemis] 21/10/2022 20:04

Up to 3 weeks ago we had a pretty good idea

Trading in H2 (i.e up to end of June 2022) was strong and FY 2022 results are expected to be significantly ahead of previous management targets (as announced on 7 July 2022)

Trading in FY 2023 to date (i.e. 28 September 2022) is in line with management expectations, and Group remains well-positioned for further progress despite economic headwinds

[my retirement fund] 21/10/2022 19:41

Lots of unknowns here, for example how much fuel costs and increased drivers wages have hammered the business in the current year.

[wallywoo] 21/10/2022 16:38

I think this has yet to be noticed since only trading a few days.


All we know now is that trading up until Jan 22, generated over £10m in cash with a £14.5m net cash position.


They say trading was very strong up to July 22, and net cash has risen to over £27m (ie 20% of market cap is cash, and growing at well over £10m every 6 months).


With full year results next month and H1 23 mostly completed, this is looking cheap cheap cheap.


1.5p dividend for this year, share buybacks to start anytime soon. Bargain imho. Have bgt in today.

[qs99] 20/10/2022 08:17

Next new news likely November as per RNS, until then we will see if any instis (or others) accumulate and who may have sold. Also whether tipsters will see this as value. DYOR

[babbler] 20/10/2022 06:48

then I guess never is your answer. Good luck in your other investments