Fevertree Drinks Share Discussion Threads

[martywidget] 16/5/2017 11:05

christh, LOL. Thankyou most kindly for educating me on Fever-Tree, I must say I must look into this share some time and its substantial shareholders. How do I buy shares in this company, it looks interesting to me. LOL!

As for Zak Mir being my 'pal', [and implying untrue facts] never met or spoken to him in either a virtual manner or real life capacity.
I simply like to post both sides of the argument on my boards.

[christh] 16/5/2017 10:52

Major Shareholders
Name...............................Holding...........%
Charles Rolls.....................17,427,505........15.1
Old Mutual Plc....................10,195,261.........8.9%
Standard Life Investments*.........8,594,873.........7.5%
Tim Warrillow .....................7,684,352.........6.7%
Schroders plc......................7,071,642.........6.1%
BlackRock, Inc.....................5,888,484.........5.1%
Hargreave Hale Limited.............5,744,848.........5%
Majedie Asset Management Limited...5,605,814.........4.9%
Brothers Drinks Co. Limited........3,119,781.........2.7%

[christh] 16/5/2017 10:46

wetdream,
Any significant traction in US could be the trigger to a bid. IMHO?

I am sure with so much publicity, the ceo statement will attract some predators
who want to have abrand under their wings to improve their balance sheet.

So watch this space and hold tight or Buy more if you want.
AS always do your research

[croasdalelfc] 16/5/2017 10:36

The house broker raised guidance from 15% to 25% revenue growth yesterday. About £130m.Again there is plenty of room for upgrades. I've pencilled in more like 50% growth and 40p EPS which gives a PER of 42 and about 50 when the share price inevitably reaches 2000p.I sat on a BA flight with FT mixers and every bar in my town sells FT.I converted my missus to vodka and ginger ale instead of vodka and Diet Coke. She then tried it with Britvic ginger ale at home and did there was no contes - FT was much nicerThe dark spirit market in US, China and Japan is huge so plenty of scope for growth.

[christh] 16/5/2017 10:34

MartyWidget,

Look at this fund.
Marlborough Special Situations Class P - Accumulation (GBP)
their Fevertree holding is 2.79%


Look at this fund.
Marlborough UK Micro Cap Growth Class P - Accumulation (GBP)
their Fevertree holding is 1.67%



Look at this fund.
Marlborough UK Multi-Cap Growth Class P - Income (GBP)
their Fevertree holding is 2.55%


Perhaps your pal, Zak Mir should wonder why are these fund managers have so much
invested in Fevertree?

Remember what the ceo said?
Fever-Tree sees full-year results "comfortably ahead" of market views

[wetdream] 16/5/2017 10:24

christh,
Agreed. All good advice.
No doubt revenues and profits should/will grow, just a case of managing expectations.
FT have plenty of top quality major shareholders, but some will probably top-slice so a few days consolidation can be expected.
It's the macro stuff that may slow them down, like consumer spending in UK/Europe.
Any significant traction in US could be the trigger to a bid. IMHO?

[martywidget] 16/5/2017 09:40

Fevertree Drinks: A £2bn Market Cap, Really?
By Wall Street Wires -
May 16, 2017 Zak Mir

[staverly] 16/5/2017 09:14

SGI ... FWIW, my clear impression from yesterday was foothold in America is a happening thing, irrespective of Madagascan Cola acceptance. Don't forget ginger ale is the mixer of choice for many who prefer dark spirits. Bottom line: so long as TW stays fit the share price has still got a lot of steam in it, just MO.

[martywidget] 16/5/2017 09:09

Do you think that maybe I should buy some Fever-Tree shares someday now, LOL!

I think a lot of folk who got in substantially at £1.60-£2.00 range may have offloaded a few by now and be putting the profits to work elsewhere to multibag elsewhere and in here for the free ride perhaps now.

[sogoesit] 16/5/2017 08:57

You need to check your figures, as you say, christh.
Current ratings do NOT assume doubling of revenue for 2017 imv.
Your profit range would then be commensurately lower.

[christh] 16/5/2017 08:56

MartyWidget,
good find.

totally agree.
No wonder many funds have raised their holding on Fevertree.

I will not be surprised if is not taken out by a bidder.
A growth company,a unique brand,sold in prestigious supermarkets/hotels/airlines,
in 27 countries....
Maybe like Craft when they bought Cadburys....


What do you think?
Buy in your ISA so the taxman will not be on your back.

Good luck.

[wetdream] 16/5/2017 08:56

christh,
No point keep quoting 2016 info-that's history.
If yesterday's nutty opening's ignored, after a positive update, the sp's dropped about 5%-which surely isn't unusual (sell on news...etc).
It looks to me like about £1 of the share price is 'froth'(short term, takeover speculation, exaggerated growth expectations) so a drop to c.£16 may be on the cards.
After all, it's all happened before. All IMHO.

[christh] 16/5/2017 08:48

This is a buying opportunity.This is a growth stock.


Big7,
the profits should be around £70-£80 millions according to revenue been doubled.
I have not checked the figures but a rough estimate.

Possible bid?
Maybe from an Indian or a US conglomerate....

you heard it here!

[martywidget] 16/5/2017 08:39

May 16, 2017 at 05:00
AIM-listed premium soft drinks company Fevertree Drinks (FEVR) is on course to beat expectations this year but Shore Capital says there need to be significant upgrades to justify the current price.

Analyst Phil Carroll retained his ‘hold’ recommendation on the stock, which was trading down 1%, or 18p, at £16.86 at the time of writing.

Fevertree issued a trading update which shows it is maintaining momentum. ‘Despite an exceptional 2016, momentum in the first four months of 2017 is strong enough to justify management guiding to an expectation that results for the current year will be comfortably ahead of market expectations,’ said Carroll.

‘Following discussions with the company we expect to increase our revenue and profit before tax expectations by c.5%, noting our forecasts are starting ahead of consensus.’

An increase in forecasts would equate to profit before tax rising from £38.7 million to £40.6 million this year, which Carroll said would ‘imply the shares are trading on a full year 2017 price/earnings ratio of 59.6 times’.

‘Our analysis shows that the valuation requires significant upgrades to justify the current share price. Therefore, we retain our “hold” recommendation,’ he said.

[trt] 16/5/2017 08:39

I fear this has had an exceptional run and we could be in for some biggish profit taking. Might take some off the table now to be on the safe side.

[big7ime] 16/5/2017 08:28

Profit should be 100m not revenue! Have you any idea how revenue needs to grow to maintain this sp?

[sogoesit] 16/5/2017 08:27

Thanks your feed-back staverly.
Ok, I work on P/E of 50 for my forecasts but then I may be generous on revenue growth.

Looks like I will pick some up this morning as 1650 was my last target price prior this end of year.

Cheers!

[christh] 16/5/2017 08:22

Posh mixer maker Fever-Tree has fresh cause for celebration

Management has been working to find new distribution outlets in the key UK market but also overseas. It recently struck a deal with British Airways to serve its tonic water across the entire fleet and for passenger to be able to buy its Naturally Light Tonic Water on budget airline easyJet flight.

It is also growing rapidly in the US while its 'rest of world' division now includes 27 territories including the larger markets of Australia and Canada.

The company has recently set its sights on expanding further into mixers for the thriving dark spirits market after enjoying another “exceptional” year of sales growth in 2016.

In its preliminary results for 2016, Fever-Tree said profits before tax had risen from £16.8m in 2015 to £34.3m last year, an increase of 105pc.

The upmarket tonic water maker, which was last year’s best performing stock on London’s junior Aim market, also enjoyed a revenue hike of 73% from £59.3m in 2015 to £102.2m.

There was particular success in the UK market, where revenues increased by 118% as the company’s fortunes were boosted by a spectacular growth in demand for gin, which has enjoyed a renaissance in recent years.

Gin sales surpassed £1bn for the first time last year, while bars, pubs and retailers sold the largest volume of gin on record, according to the Wine and Spirit Trade Association.

SEE HERE

[jimbobaroony] 15/5/2017 23:56

Big, who you thinking of?

[big7ime] 15/5/2017 23:51

Thing is if you're going to invest at this price, the upside is small say to £20
There's many better value shares that could multi bag, why risk it for 15%

[christh] 15/5/2017 22:18

Fever-Tree fizzes as it upgrades full-year expectations once more
08:24 15 May 2017
This morning’s share price gains means Fever-Tree is now a £2bn+ company



London-based Fever-Tree said it had achieved “strong sales”so far in the year-to-date, although that was about as specific as it got.

Since it first listed on AIM back in 2014, every spring trading update has included a bullish statement on full-year earnings.

www.proactiveinvestors.co.uk/companies/news/177783/fever-tree-fizzes-as-it-upgrades-full-year-expectations-once-more-177783.html

[christh] 15/5/2017 22:12

FUNDS ARE BUYING

see here

[christh] 15/5/2017 22:10

Many funds already have pile in these.
I expect many more will invest in Fevertree.
Hope fully the price will rise to £20 to reflect the growth.



see here