Gama Aviation Share Discussion Threads

[rivaldo] 19/1/2018 07:14

A good year end update in terms of trading - nicely in line with 24.6p EPS expectations, good cash conversion and lower net debt, and confidence looking forward to 2018:



Muddied somewhat by the exceptionals relating to Dryden and his "affiliated entities". It's striking that GMAA feel confident enough to be able to state they expect to receive net cash inflows from all this.

The bullish outlook statement gives reassurance to the almost 27p EPS expected this year.

[rivaldo] 05/1/2018 07:23

Very impressive new NED appointment today - should improve City confidence here given RS' record in founding and building Synergy Health PLC. And the new director/COO is also impressive as a former COO of Detica, which was sold for £500m to BAE:

[rivaldo] 03/1/2018 10:33

GMAA are due to announce their year end trading update very soon if the last couple of years are anything to go by.

Last year's update was on 9th January. I'm hopeful this year's will be good given the outlook in September's interims.

The latest forecast is historic 24.61p EPS for last year, rising to 26.92p EPS this year.

A P/E of 8.8 and a confirmed positive outlook in the next couple of weeks would help the market notice the potential upside of anywhere from 30%-100% from here:

"Marwan Khalek, Chief Executive of Gama Aviation said:

"The first half of 2017 has seen the Group maintain the positive momentum generated through last year to deliver a good performance in line with our expectations. In all divisions and all regions we achieved strong revenue growth and encouraging improved margin performance.

The integration of the BBA aircraft management business into the US Air division is progressing well and benefiting from a buoyant US market. The 2016 acquisitions of Aviation Beauport and FlyerTech, in Europe Ground and Europe Air respectively, are performing above expectations. Gama Aviation is well positioned to continue to benefit from the opportunities that this highly fragmented market presents.

Based on our performance to date and contract visibility, the Board is confident that the Group will meet its full year expectations."

[rivaldo] 12/12/2017 12:21

Hi au2. It's difficult to describe ACSO and IQE as "value" shares :o)) They're both terrific, very profitable companies with top management who have excellent growth prospects for years to come, so I'm happy to hold them. But, like KWS or FDEV which I also hold, they're all growth rather than value shares at their current ratings.

[aimingupward2] 11/12/2017 16:35

Surprised you didn’t mention either ACSO or IQE, rivaldo.

[gswredland] 08/12/2017 16:59

Thanks very much for taking the time to respond rivaldo.

[rivaldo] 08/12/2017 12:08

HI gswr. apologies for the delayed reply, I often don't keep up with threads unless something interesting's happening!

Apart from GMAA (obviously) and WJG, it depends how you define "value" I suppose. I'm finding that there are a number of quality shares which are very solid growth companies on P/E's in the mid-teens or slightly higher, which have deathly quiet threads and are performing beautifully. DSCV (formerly Acal), IMO, IGR, IOM and SCH spring to mind.

Then there's VLE, which is trading at hugely under its true NAV. And there are very profitable small/micro caps (with short-term blue sky potential) like SDI and ODX. Or larger entities which consistently produce the goods like IDEA and RNWH. Or recovery situations like CAR, which is really now oversold imo. Or CTO, which is on a tiny P/E despite having a cash pile, presumably because a seller is holding things back.

Hope that helps :o))

[gswredland] 04/12/2017 08:30

Ah thank you

[3500sr] 03/12/2017 14:39

If you click on someone's name you can see which other share threads they are posting on and perhaps also therefore have an interest in

[gswredland] 03/12/2017 08:15

Rivaldo
Is it ok to ask you what other value shares you hold/ recommend as I respect your views? I know you are also a fan of WJG.

[rivaldo] 29/11/2017 23:50

That is good news.....the caveat being that GMAA themselves announced it earlier this year. So not really "less vocal" at all, but all PR is good PR anyway :o))

[igoe104] 29/11/2017 19:44

Cheers Dan, here it is.

Stock market-quoted Gama Aviation likes to talk of how it flies the world’s super-rich on private jets. It is less vocal about a more sensitive piece of work: a £4 million, four-year contract to service a new breed of police surveillance aircraft. In January, the first of four new Vulcanairs, capable of staying in the air for 10 hours at a time, will be delivered, kitted out with the latest surveillance gadgetry by Airborne Technologies

[dan_the_epic] 29/11/2017 18:56

FWIW small mention in the Evening Standard

[rivaldo] 29/11/2017 14:11

GMAA is just so volatile. Ticked up today on three tiny buys, and the buying price has moved up to near the full offer price. Hopefully a sign of not much stock around.

[napoleon 14th] 24/11/2017 14:18

Might get to fair value one day!
& to think, it was 120p year ago.........

[rivaldo] 24/11/2017 11:37

Encouraging to see a £5k buy at 270.97p - well above the published 270p full offer price. Looking good for new recent highs hopefully.

[rivaldo] 22/11/2017 15:36

Looks fairly unexciting - particularly for those who can afford to use private jets :o))

On the other hand, in researching the Budget I just came across this from the last few days which may equally well give GMAA's operations in the USA a very nice boost indeed.

I wonder if this has partly caused the recent share price rise?



"Democrats blast GOP plan’s tax break on private jets

By David Sherfinski - The Washington Times - Sunday, November 19, 2017

Republicans billed their tax overhaul as a way to clear out special loopholes from the bloated tax code — but the bill that will hit the Senate floor after Thanksgiving actually adds a host of new breaks on everything from private jet operators to citrus farmers.

The jet plan, which would exempt private airplane maintenance payments from a transportation excise tax, has quickly become emblematic of the GOP’s bill in online forums, with opponents saying it shows the plan is skewed toward the wealthy who can afford to use such planes.

The aviation industry says that’s a misunderstanding, and said the provision is intended to make sure private plane managers don’t pay a 7.5 percent “ticket tax” applied to commercial flights.

“Tax reform legislation has a long way to go, but this is an important step and small aviation businesses are appreciative of the inclusion of this provision, which provides them the tax certainty they have long sought,” said Martin H. Hiller, president of the National Air Transportation Association."

[mfhmfh] 22/11/2017 13:33

This from the online Guardian from today's budget:

'From April he will again freeze short-haul air passenger duty, and long-haul APD for economy passengers. This will be funded by an increase on taxes for private jets.'

Any bearing on GMAA?

[rivaldo] 21/11/2017 13:57

Agreed. Nice intra-day turnaround today after some profit-taking recently.

WH Ireland forecast 25.61p EPS this year rising to 28.02p EPS next year (plus dividends).

Much too cheap imho.

[aimingupward2] 15/11/2017 12:35

Still invitingly cheap on a single digit p/e - probably around 9 for the year almost ended and well below that for y/e 2018.

[someuwin] 14/11/2017 14:57

Impressive rebound.

[rivaldo] 14/11/2017 14:30

Just noticed GMAA's JV partner BBA issued a good trading statement this morning - most relevantly, their Signature division is trading very well, which bodes well for GMAA:



"The Group's trading performance remains in line with expectations, with revenue up 10.2% year-on year for the ten months to October, reflecting good organic growth in Signature and the contribution from acquisitions.

In Flight Support, Signature revenues in the ten months to 31 October grew 14.2% and on a like-for-like basis (organic, constant currency, adjusting for higher fuel prices) were up 3.8%. US B&GA flight movements have grown 3.7% over the nine months to 30 September, with improved growth of 4.3% for the three months ended 30 September. Signature like-for-like revenue growth for the same three month period ended 30 September was 5.3%. The Signature outperformance during the three months ended 30 September in part reflects good progress with our commercial renegotiations for the enlarged network.

The recent hurricanes: Harvey, Irma and Maria, caused minimal impact overall across the Signature network and we were able to re-establish services quickly and provide support for the rescue and relief efforts.

Signature has recently signed a Signature Select licence agreement with Fly Across at Toluca International airport in Mexico, our first location in Mexico and the closest B&GA airport to Mexico City. This increases the Group's affiliate FBO programme, Signature Select, to 19 locations....

....Wayne Edmunds, BBA Aviation Interim CEO commented "The Group has traded in line with expectations during the period. We are particularly pleased with Signature's performance since the half year, which in part reflects the positive customer response to our enlarged network proposition."

[igoe104] 14/11/2017 11:25

I'm MORE than happy to hold here, I can see big growth in the middle-east and far-east for GMAA over the coming years.