Flowtech Fluidpower Share Discussion Threads

[edmundshaw] 18/9/2018 08:32

Personally I think the reaction is a bit harsh. Obviously there is (was, now) a growth rating on the shares, but the CFO is still in place, they already have a new CFO and one contract is only marginally material to the profits full year.

So we are left with discomfort on Brexit and the vague feeling that something else bad will transpire or growth will stall. Causing a 30% share price collapse!? And now, the yield is 5%!

[edmundshaw] 18/9/2018 08:23

Uncertainty of Brexit and a contract (£1.5m) going pear-shaped. Plus the CEO is stepping down. The three together are more frightening thatn the sum of the parts...

[peter27] 18/9/2018 08:12

There's two separate profit warnings buried at the bottom of the text.

[mshafiq] 18/9/2018 08:09

Looks like the market doesn't like the results.

[jakedog2] 18/9/2018 07:30

Stegrego stopped investing immeadialty after Brexit.
Sold all his holdings days afterwards

[petewy] 17/9/2018 10:34

Results tomorrow. Hope it stops the fluctuation. This post was started by Stegrego
in '14 and he stopped posting on boards two years ago. Anyone know what happened to him.

[thorpematt] 04/9/2018 23:14

melody9999, Thanks for posting the article.

FWIW I would concur completely with the final paragraph of the above cut and paste.

However, to be perfectly honest if you are going to entitle an article "...growth and dividend stocks..." I'd expect it to account for cover and for PEG as significant considerations.

As far as those other stocks go I can only assume it was the divi that was seen as attractive. But on that basis there is a clear distinction between the other stocks and FLO. Neither of the other 2 have good cover at all.

In fact REDD looks likely to have to delve into its own reserves to pay out any divi growth in the next 24 months and GTLY will need t shell out 2/3 of its operational profits to meet divi payments. FLO on the other hand should comfortably cover the divi 2.5 times. Hence an M and A strategy is more than affordable.

Simple PER shows FLO as bein far more attractive. Don't even get me started on fPEG.

[edmundshaw] 04/9/2018 16:52

Interesting article. Of the three suggested stocks, FLO though is the only one I would say is obviously good value. The other two look fair and a bit expensive to be, though only at a first glance of course...

[melody9999] 04/9/2018 09:57

Its so quiet that I couldn't resist sharing this!

This piece looks at another handful of cut-price corkers, but this time from London’s Alternative Investment Market (AIM). Some of these you may not have heard of, but I am convinced that all of them can keep delivering brilliant earnings and dividend expansion.

Flowtech Fluidpower

Now dividend yields over at Flowtech Fluidpower might not be the biggest on the market, but the chances of the business providing strong and sustained payout growth long into the future still makes it one to watch for income investors.

Helped by predictions of a 32% earnings advance in 2018, the engineering play is expected to lift the dividend to 6.2p per share from 5.78p last year, leaving a decent-if-unspectacular 3.5% yield. What’s more, with earnings expected to step 9% higher in 2019 the yield is predicted to rise to 3.6% thanks to the estimated 6.4p payment.

At current prices Flowtech Fluidpower can be picked up on a forward P/E rating of 11 times. I find this low reading hard to fathom given the progress with which it is making in favourable end markets, revenues having streamed 66% higher during January-June to £56.5m, not to mention the impressive strides that its M&A-led growth strategy continues to make.

[melody9999] 03/9/2018 23:51

I'll keep stumm then!

[sharw] 24/8/2018 14:06

Yup - re-issued in correct form. That could even have been due to me - I filled in a message on their IR site last evening and had a reply at 23 44 (impressive!) saying that she would bring it to management's attention.

[edmundshaw] 23/8/2018 23:14

Oh. Thanks. They should really re-issue that then, it is misleading.

[sharw] 23/8/2018 23:07

That is what I thought until I realised that it was a very badly completed form. They actually SOLD 6,712 shares taking their holding from 10% to 9.99% and requiring an RNS. They put that in box 11 failing to complete the second part of box 7 (previously notified 7/7/17). The annual report shows them at 13 April 2018 with 6,224,186 shares = 10.43%.

[edmundshaw] 23/8/2018 20:39

Chunky buying from Close Asset Management - over 60m shares, 9.99% of the issue. I realise there must be balancing sellers, but... weak hands to strong hands...

[mfhmfh] 17/7/2018 12:14

Finncap today reiterates 215p target price.

[thorpematt] 17/7/2018 08:30

Yes can't help but be encouraged by those numbers.

I am also pleased to here that the wider industry in the UK remains positive. It looks like a good sector to be in right now and certainly FLO are a great play on that.

Given the large number of acquisitions of late I anticipate some increased synergies to develom in the next 12 months with relation to both sales and operations. In other words revenue growth and margin improvement.

Should be a good mid term hold this one and its even supported by a nice divi whilst things develop.

[mfhmfh] 17/7/2018 08:29

excellent update IMHO. GLA.

[podgyted] 17/7/2018 07:51

Very encouraging trading update. 66% increase in revenue - including 9% organic.

[thorpematt] 16/7/2018 11:42

It is....it really is (holds index finger and thumb together to make circle, pouts and squints into camera).

[edmundshaw] 14/7/2018 19:09

Monday 15th is early July. In a Trumpian sort of way... Monday 16th though is pushing it a bit...

[petewy] 13/7/2018 21:06

Got my divi today. Irrelevant I know but a happy investor. (4.5%)

[sharw] 13/7/2018 17:01

Monday 10th last year