Finseta Share Discussion Threads

[dupont56] 07/9/2024 09:16

FIN is definitely cheap and huge upside.

What will eps be if they get to £100m revenue with a 65% gross margin? 50p-70p?

[adamb1978] 06/9/2024 18:48

PEG ratios on a short-term basis are a very bad indicator of returns, particularly when coming from a low base. YOu need to look at longer term PEG ratios (eg 5 years) and need the base earnings level to be sensible for it to be meaningful.

That said, I think FIN is cheap and hold!

[dupont56] 06/9/2024 16:17

Check the PEG ratio for next year.

EPS growing 94% from 1.6p to 3.1p next year. PE ratio next year 12.7. PEG ratio next year of 0.14!

The share price would need to get to £2.90 for a PEG ratio of 1!

What are competitors PEG ratio?

[dupont56] 06/9/2024 07:50

2 days to buy before interims. From trading update they will show 42% revenue growth with 54% underlying revenue growth. We should get an update on outlook.

Sustain that growth for the year and forecast of 19% revenue growth will be smashed. Price target of 70p based on 19% growth.

[dorian12] 04/9/2024 15:16

Imo, FIN is growing earnings strongest among its peers and is the best value.Excluding interest, P/E for 2025 is about 13 on very conservative forecasts. This compared to 20 for Alpha for 2025.

[fft] 04/9/2024 13:52

The uncertainty surrounding EQLS must be having an impact. EQLS shareholders were expecting 170-175, but the indicative offer (not firm) of 135p after 1 year hasn't even got financial backing yet (!). Current price is about 114p so it would appear the market is sceptical even about 135. CSFS / FIN are the same sort of business although FIN are smaller (good or bad ?).As with ALPH who reported today, interest makes up a sizable % of profits. ALPH are on a P/E of 12 with interest and 22 without interest. How will interest rates change in the next 12 months and how does FIN compare to that ?

[dupont56] 04/9/2024 13:45

Less than a week until results.

Last year the share price went up 16% on the day of the interim results, 11.75p to 13.6p. It went on to 18p over the next two weeks, 53% up.

It then consolidated for a couple of months and then pushed up into the 30s.

Similar this year would be 60p in the next few weeks and then on to £1 by the end of the year.

[adamb1978] 02/9/2024 08:07

Thanks for the reminder of next week Dupont. Am optimistic too.

[dupont56] 02/9/2024 07:16

I'm expecting a big run in the share price up to results and more afterwards.

Results are next week and the presentation. I just listened to the last presentation.


hxxps://youtu.be/wXx5irOGxyU


At 36 minutes the CFO states that if the jurisdiction expansion goes to plan then revenue would VERY QUICKLY edge to £50m and then £100m.


Alpha group are set for £130m revenue this year and have a £1.1bn value (8.5x revenue).

At £100m revenue that would be a share price of over £14 for FIN! 35x the current share price!

[thepopeofchillitown] 23/8/2024 10:11

Looking good.

[dupont56] 20/8/2024 09:30

You can sell loads at 38.8p. Someone wants shares.

[dupont56] 19/8/2024 09:31

There has been very little on offer for the past week and you need to pay full offer price.

You can sell a huge amount though. Someone wants shares.

Looking very strong for the next leg up.

[nico115] 14/8/2024 14:16

Why we up ? Cos of results date ?

[adamb1978] 14/8/2024 13:22

Ignore him chatchat. He keeps mentioning this even though myself and others have posted the text from teh annual report multiple times showing that he's incorrect

[chatchat] 14/8/2024 13:00

PATT - the share based incentives were for the initial 2 year period re O Brien & team(a golden hello if you wish). These covered the two years ended Sep 2023- albeit that the bulk was expensed in the Sept 22 financial statements.

What is your rationale for stating that the same level of remuneration for them is going to be repeated? There is no mention of this in 2023 report for the post September 23 period, nor any mention of such an agreement being entered into post year end - either in the 2023 report or the H1 2024 interims RNS.

Can you provide a link to any supporting evidence from Finseta that supports your claim that a new agreement exists given the last one ended Sept 2023?

[eggbaconandbubble] 14/8/2024 12:24

That would already be priced in!

[purchaseatthetop] 14/8/2024 11:26

The results are going to be excellent. Mostly because H1 24 is the last period before they have to start accounting for staff costs again! They took $6.1m into the 18 months to 31/3/23. Then free run no staff costs for 18 months. This is time to exit before people realise.

[eggbaconandbubble] 14/8/2024 11:12

Probably a leak about the results.

[qs99] 14/8/2024 08:43

How "real" is the rise though, just did dummy buy and was offered 38p to buy, 2p below Offer price on spread? DYOR

[andrbea] 14/8/2024 08:41

just the rns I reckon

[mattafc] 14/8/2024 08:31

Seems to be on the march this morning, has it been tipped somewhere?

[chatchat] 26/7/2024 17:32

Complete article: hxxps://www.thetimes.com/business-money/entrepreneurs/article/fintech-sokin-raises-31m-from-investors-enterprise-network-zd6lzprq0

[chatchat] 26/7/2024 17:31

Interesting post friom Masurenguy on the Equals board re Times Article

A one-time apprentice accountant has raised $31 million from investors led by the private equity arm of US bank Morgan Stanley and hired a former PayPal executive to help him build his international payments business. Vroon Modgill, founder of London-based fintech Sokin, said he believed it was the first time that a top-tier investment bank had made an investment in such an early stage financial services company. Sokin is profitable and made revenues of $11m last year, said Modgill, 37. It is on track to hit sales of $30m this year.

[adamb1978] 24/7/2024 13:57

I'm not too worried about whether the £100m is right or wrong, just good that they have the ambition to grow. No investment is a certainty but I think the risk/reward balance here is massively favourable

[thomas11] 24/7/2024 10:07

For large payment companies the approx. Ratio of MCAP to sales is approx. 4 for smaller companies (eg Finseta) the ratio is approx. 2.

For a revenue of £100m that would give a range of between £200m - £400m for MCAP against a current value of approx. £20m.

This shows the potential (upper limit) potential of between 10x and 20x returns over 5 years.

How realistic is the CEO??? Even if he is wide of the mark (and I suspect he is) it still shows the potential of share price growth over the medium term.