Galliford Try Share Discussion Threads

[bugle4] 11/12/2018 09:17

With net tangible assets at just over £600m and market cap at just over £650m the business is "only" worth £50m.

What am I missing? I understand the Aberdeen by-pass issue is weighing on share price and Brexit is a worry......But still this seems like good value.

The dividend is well covered, there's a decent order book.

I haven't pulled the trigger and bought yet, just worried (paranoid) that I'm missing something glaringly obvious in the accounts or elsewhere.

Can anyone advise?

[nori_wasabi] 11/12/2018 08:02

Hope you are right, Morgoth1. GFRD's fundamentals are OK. Also, yesterday PH cut price target to 885 (1165) but reiterated "BUY" assessment. We should hold our nerve.
BTW, right issue done in Apr was a smart/ lucky move after all. Just imagine if they tried it now, the share price would go to £4 or less !

[bisiboy] 11/12/2018 08:01

Vdry fair comment nori

[morgoth1] 10/12/2018 19:04

IMHO
it could be because of the Aberdeen bypass claim if they were win it may
return a substantial amount of money to GFRD.
and it could be construed as inside trading if they bought their own shares now.

[nori_wasabi] 10/12/2018 18:33

None of GFRD has bought @ sub £6/ share, why should we ?

[essentialinvestor] 10/12/2018 17:43

careful,you could e-mail their IR contact and ask..

If Irv went under, they would surely have to inform the market
of material contracts where they would need to assume liability-
If indeed these exist.

I doubt they would comment before the event on a hypothetical though.

[profitaker] 10/12/2018 16:33

10% short ? I've got it at 1% !

[careful] 10/12/2018 16:18

No real information on this thread.
Are GFRD tied in with Interserve or Kier as they were with CLLN?
We are desperate for some reassurances.
The shorters are having a great day, 10% makes fall must indicate something.
Share price halved in a few weeks.

Does someone know something?
The annual statement was impressive.

[salpara111] 10/12/2018 15:42

I was tempted here when the share price was in the low 800s but didnt push the button.
I am unclear why they have been hit so hard. I realise that the Aberdeen Bypass has been a saga in several acts but compared to many of its competitors like Keir, GFD has a much smaller debt pile which has to be good at present.
The current valuation would seem to price in a major negative event.
Having said that I am mostly in cash at present awaiting the next Brexit debacle.....which appears to be happening as I type this!

[scrwal] 10/12/2018 13:27

I think the exposure to the construction sector is the problem. The mkt seems to have doubts about the company's ability to achieve good contracts which was sold as part of the rationale for the rights but if there are unexpected costs of whatever nature then these are perceived as having a major impact on the business as the cash outflows impact the far more profitable house building side.

[dr_smith] 10/12/2018 12:28

TheobaldR.
Grrrrrrrrr - You are right. -5.86%
It is Monday and macro stuff going on.
Holding and observing ...from behind settee!

[gabsterx] 10/12/2018 11:16

Galliford seems to be getting hit harder than other housebuilders, could it be because of the exposure to the construction sector?

Long term holder so picking up more of this massive yield while I can!

[careful] 10/12/2018 09:46

we could do with an update to reassure in view of the sector chaos.

[marky60] 10/12/2018 08:23

So, how does this "credit squeeze" in the construction industry affect GFRD?Should be fine I think.

[theobaldr] 09/12/2018 18:36

Dr Smith, I agree with your comments.Experience tells me that if you think a share has reached rock bottom it's probably got further to fall.I own this stock and am holding for the long term.

[dr_smith] 09/12/2018 17:47

Theobald.
>don’t see anything positive on the horizon to increase share price
Fair comment, but how about doom not happening?

Sector and GRFD have tanked on Brexit uncertainty and GFRD has (hopefully) legacy hit of Aberdeen by-pass.

Even allowing for rights issue share price is below recent history and a PE of 5.5 is a very good figure. IMV the negative view of sector and GFRD is way over done, but aware of those with a less positive view.
My view is with a long term horizon.

Then again, I wouldn't have guessed share price going this low, so don't listen to me. ;-)

[theobaldr] 09/12/2018 17:10

I think Interserve will survive but will be owned by it's debt holders thus wiping out the private shareholders.Don't think this is going to impact GFRD too much as company seems well funded but don't see anything positive on the horizon to increase share price Might consider buying more if there are further falls. All imho.

[essentialinvestor] 09/12/2018 14:28

If IRV go under, do other construction companies have any shared contracts?,
as happened with CLLN. Liability for uncompleted work?.

Domino dancing ?.

[profitaker] 09/12/2018 14:17

"Brexit is weighing heavy"

That, and the prospect of a Corbyn government.

[montycat11] 06/12/2018 17:43

There have been a lot of big buys put through after hours..not just today..from my own experience,these could well be sells..my top up on Friday was put through as a sell, happened many times to me before (other shares). Does anyone have level 2 and can confirm that.?if they are indeed sells,it would bare out the fall..at least .. withstanding the obvious global issues at moment...

[careful] 06/12/2018 16:02

It takes nerve but this could be one of those opportunities.
Brexit chaos, Dow falling.

odd really , the FTSE 100 index is about 15% down from this years highs,
but many domestic shares, and GFRD is one, have fallen 40% or more.

Brexit is weighing heavy.

[morgoth1] 06/12/2018 15:56

Topped up today.
Taken a punt that the Aberdeen bypass claim will succeed.

[deb81e] 06/12/2018 15:23

Why is this constantly down?????

[careful] 06/12/2018 11:21

light selling but down almost 5%.
how these markets fix prices is a mystery.

[value hound] 05/12/2018 20:51

I hope Hargreaves get my divi reinvested double-quick while we're still <£7.