Fletcher King Share Discussion Threads

[rivaldo] 10/1/2006 08:08

Usually it's 2p, which is fine, especially considering you can usually trade inside it anyway! No-one's going to be complaining about the spread if the share price is 70p in 2-3 months' time.

[ydderf] 10/1/2006 05:11

rivaldo sometimes the spread is 4p!

[rivaldo] 09/1/2006 22:41

Meshiey, the forecasts I've seen recently, as per the Times above, are for no let up in commercial property for some time to come - and if 2006 is going to be a bumper year then FLK is in exactly the right place.

I'd prefer FLK to be making earnings-enhancing acquisitions or building up the business with their £2m of cash. But you're absolutely right - last year saw a 3.5p divi, and FLK could easily afford to increase that to, say, 5p.

Still, even a 4p divi would represent a 7.1% yield tax free in my ISA - lovely!

[meshiey] 09/1/2006 19:23

rivaldo

results may be good but it should be expected with bouyant commercial property market. the future is not looking so rosy though and i'm unsure about the management too so therefore i did sell out a few weeks ago. may be a bad call but didn't want to wait for results

i reckon you might see a special dvidend payout though!

[rivaldo] 07/1/2006 17:14

I repeat my post of a few days ago re 2006 for a start! According to the Times, "Commercial property set for another boom year"....


Intro:
"BRITAIN is on course for another bumper year for commercial property investment in 2006, after a record £50 billion of offices, shops, leisure outlets and industrial buildings changed hands in 2005."

FLK now has a £5.2m m/cap, with £1.9m of cash at the last finals and making £546k PBT to April'05. Interims in 2005 were out on 21st January, so less than 3 weeks to go.

Results last time included a one-off £105k profit. But trading in the last H2 was better than anticipated, and was good across all divisions. FLK made £300k PBT in H2. If repeated, with say a lower growth rate of 10%, FLK would make £660k PBT this year without exceptionals.

A PAT of £460k, plus cash of, say, £2.1m, would on a P/E of 12 support a m/cap of £7.6m, 46% higher than today's m/cap.

[ydderf] 07/1/2006 11:50

this is a cyclical....so where are we in the cycle do you think!?

[rivaldo] 04/1/2006 18:40

Meshiey, what are your thoughts on my post 207 above for a start?!

[meshiey] 04/1/2006 18:03

any views on the forthcoming results?

[rivaldo] 03/1/2006 18:39

Hmmm...20,000 shares bought at the full ask this afternoon should have cleared out any loose stock...

[rivaldo] 02/1/2006 15:43

According to the Times today "Commercial property set for another boom year"....


Intro:
"BRITAIN is on course for another bumper year for commercial property investment in 2006, after a record £50 billion of offices, shops, leisure outlets and industrial buildings changed hands in 2005."

FLK now has a £5.2m m/cap, with £1.9m of cash at the last finals and making £546k PBT to April'05. Interims in 2005 were out on 21st January, so less than 3 weeks to go.

Results last time included a one-off £105k profit. But trading in the last H2 was better than anticipated, and was good across all divisions. FLK made £300k PBT in H2. If repeated, with say a lower growth rate of 10%, FLK would make £660k PBT this year without exceptionals.

A PAT of £460k, plus cash of, say, £2.1m, would on a P/E of 12 support a m/cap of £7.6m, 46% higher than today's m/cap.

And all tax-free in the ISA too :o))

[rivaldo] 20/12/2005 21:19

I know charts are pretty meaningless at this micro-cap level, but we're almosr at a breakout. It shouldn't take much on top of the 20k of buys today to take FLK up to a new level.

[rivaldo] 20/12/2005 14:38

Good luck Soggy. Only a month till results - perhaps you can get back in before then?

Nice 10k buy at 57p today.

[soggy] 12/12/2005 20:24

I have to confess that I'm the small sell (7173) at the start of the day below the bid. I need the money for something else and I couldn't get a quote at market price, so put in a fill or kill at 54. I know, I know, you'll all say I'm mad, but I needed the cash, like, right away and couldn't risk what happened to me last week when I toyed with selling - I kept putting in a sell oder and it just ended up being unfilled. Had to go out knowing the cash was in hand.

If there's a retracement at some point and I've got some spare wonga I'll be back in - this is a good story share. Good luck all.

[rivaldo] 12/12/2005 18:46

There's two buys at the end of the day, with one buy at 57.7p. Come on FLK - one bit of news or a decent trading statement should see the price zoom over 60p.

Apart from anything else FLK should now be a company with well over £2m cash on a £5.1m m/cap making perhaps £500,000 PBT this year.

[rivaldo] 12/12/2005 12:26

Yep, looks like there's a buyer in the background - did you see the 50k sell at 55p last week, after which the offer price went up?!

I assume there are buy transactions in the system which no doubt will be delayed so we stand a smaller chance of noticing them.

[jwe] 12/12/2005 10:58

Also interesting that the 7k sell below bid hasn`t moved the price down,this could look interesting.Due to the illiquidity of the stock any good news could send this very sharply higher.

[rivaldo] 12/12/2005 08:20

Ticking up first thing on a small buy - maybe a trading statement due soon as suggested earlier. The chart is certainly looking good now.

[rivaldo] 04/12/2005 17:26

Lauders, from memory it dates back to May. But it's interesting in shedding some impressive light on what's been generally quite a publicity-shy company imo.

[lauders] 04/12/2005 12:17

Thanks for that rivaldo.

What date was that issued on? How current is it please?

Cheers

[rivaldo] 03/12/2005 19:01

I thought this article from Property Week was interesting (pretty sure it's not been posted before). Impressive stuff for a company that has an enterprise value of only £3m after deducting the £1.9m of cash, yet made £546,000 PBT last year...

"Fletcher King, the London-based property services firm and private investor fund manager, has reached its £10m equity-raising target for the Stratton House Investment Property Syndicate.

Stratton House Investment Property Syndicate 2 (SHIP2), named after the firm's Mayfair headquarters, is the second indirect private investor fund Fletcher King has launched and closed in the last two years.

After gearing, the money raised for SHIP2 will allow it to invest up to £40m in any commercial property sector across the UK. The fund is tax-transparent and has a five-year life from full investment. It aims to deliver a distribution yield of 5% and overall return of 12% a year.

David Fletcher, chairman of Fletcher King, told Property Week: 'We've worked with many private investors and wealthy individuals in the past and believed that this sector of the market was poorly catered for. We aim to help these people gain exposure to types of property that a typical £250,000 investment would not achieve.'

Since the close, Fletcher King has also completed the first investments for SHIP2. It has bought a portfolio of three industrial properties from Rugby Estates for £7m, at an initial yield of 6.75%. The assets provide more than 75,000 sq ft (6,965 sq m) and are located in Leeds, Hatfield and Crawley. The buildings are fully let to Jewson on 20-year leases.

Contracts have also been exchanged on a 15,000 sq ft (1,395 sq m) office at 201-203 West George Street in central Glasgow for £3m. The property was sold by a private vendor and is fully let to tenants including Countrywide, Allied Dunbar and Clerical Medical. The price reflects an initial yield of 6.5%.

Fletcher King has co-invested around £250,000 in both funds and more than half of the 25 investors in SHIP1 have invested in SHIP2.

Fletcher added: 'People have asked us whether it would be easier to raise money for a specific property sector, but this is not what we have invested our hard cash into. What we look for are income-producing, wealth-protecting assets and if they offer potential for added value in the future, that's a bonus.'

The company's first property syndicate, Stratton House Investment Property Syndicate 1, closed in early 2003 after raising £6.25m of equity from a range of private investors including charities, pension funds and self-invested personal pension investors. SHIP1 is a third of the way through its five-year fund life and is believed to be on course to deliver an 8% income return to investors this year."

[soggy] 30/11/2005 15:41

True. I was just top-slicing to have a bit more to put into TMC which has had a good day and looks set to rocket in the next few days and weeks. But I'm happy to hold FLK.

[rivaldo] 30/11/2005 12:19

Perhaps the MM's were being kind to you Soggy! Why sell now with results not far away which should reinforce FLK's bargain value?

Took a look at this week's IC. Just to summarise:

- FLK advises blue-chip clients
- UK institutions have increased their property weightings
- FLK expects property to be a "strong performer" in 2005/06, despite the problem of supply of quality properties
- FLK has two in-house funds invested in £50m of property offering protection

Conclusion : "Good value".

[soggy] 30/11/2005 10:24

I tried to sell a small quantity at market through TDWaterhouse - they couldn't quote me a price. So I tried a kill or fill at 54 - still, the order failed. Any idea why no-one would buy my shares, even a penny below the current quoted bid?

[ydderf] 29/11/2005 14:11

its another penny punter stock crookney.....it won;t break the bank but neither will it bank roll you....shouldn't really be quoted imho!

[cockneyrebel] 28/11/2005 20:20

moves a lot in the past on very little volume imo.

Still, at least it moves and in the right direction rivaldo! :-)

CR