Game Digital Share Discussion Threads

[tiltonboy] 12/7/2017 14:35

Woodford is out as well.

[investment dave] 12/7/2017 14:28

back to 40p in quick fashion now. Seller well and truly gone

[sphere25] 12/7/2017 14:06

Monster volume going through! 44 million and 33 million hit the book following that 11million earlier. Largest exchange of volume since float and likely cleared overhangs.

Could be a bid coming also

[glawsiain] 12/7/2017 13:48

GMD had £69m in cash at the last count (in Jan)

Interesting thread on GMD on stockopedia recently. In particular, bestace's comments give food for thought:

"I was surprised to read in their last interims that they only had one store out of 316 in the UK portfolio that was loss making"

"The core retail business is, for the time being, still profitable and generating cash. If it can continue to at least wash its face for a few more years, and taken together with the existing cash balances and lines of credit available to them, there appears to be some breathing room to allow management to execute on the transition away from high street retail towards their other activities"

"they received 121 million visitors to their website in FY16 with online sales accounting for 17% of gross transaction value. Digital sales exceeded £110m of gross transaction value in FY16 and has been growing at around 18% per annum."

"So I'm sticking a finger in the air by saying I could envisage them turning over £50m within a few years from EED, making a profit of say £3-4m. Adding another £5m from digital/online retail profits and applying a multiple of 10 (more fingers in the air) would get to an enterprise value of around £85m.

That would be upside of around 70p per share, a trebling from where we are today ignoring movements on cash balances. Clearly the execution risk is high and my fingers in the air may be way off base, but given the enterprise value is negative at today's share price, and given the overwhelmingly negative commentary on the company's prospects, it seems to me at least arguable that the risk/reward lies considerably to the upside."

hxxp://www.stockopedia.com/content/small-cap-value-report-30-june-2017-gmd-tni-fjet-196927/

[investment dave] 12/7/2017 13:47

blast of to 40p. 40p is only the cash in the bank value LOOL

[investment dave] 12/7/2017 12:40

Just keep buying another winner at 20p

[sphere25] 12/7/2017 12:17

It's hardly a Buffet business, but it looks potentially interesting this one with the balance sheet dwarfing the market cap and short leases.

Add to that the large volume coming in and chart turning, and I'm buying it up for at least a quick trade. Book has been strong and abit of buying pressure could see a decent profitable spike up.

[monts12] 12/7/2017 11:52

Very Oversold.
If overhang is cleared this looks to be heading towards the 40-50p range over the short term.

[pj0077] 12/7/2017 11:49

Thanks Warren Buffet!

[brx7] 12/7/2017 11:44

This is a pile of dung will go bust again.

[pj0077] 12/7/2017 10:45

Looks like the Invesco 12million share overhang has been sold.. Should get confirmation tomorrow..

[monts12] 12/7/2017 10:23

Massive buying going through today.

[gfrae] 11/7/2017 21:28

PJ, you are correct 83p is their price target, I mis-remembered. Their sum of the parts valuation is 86p, which is what I was referring to .

[investment dave] 11/7/2017 21:02

83p price target!! Nice

[pj0077] 11/7/2017 19:44

gfrae, 83p is Edison's price target, not the NAV

[gfrae] 10/7/2017 10:24

PJ, The Eddison note says that net assets are currently 83p.

[pj0077] 09/7/2017 23:30

"cash in bank double mkp"!Two things David:1. the last reported cash balance was at the usual post Xmas seasonal high i.e. not representative of available cash2. Game Digital also have liabilities - you need to deduct these from assetsHope this helps

[investment dave] 09/7/2017 13:14

Great write up ! There is big value here

[monts12] 08/7/2017 23:52

Not a game changer | Game Digital from Edison’s Tweet

[opodio] 08/7/2017 18:28

Investec dumping

[investment dave] 08/7/2017 18:24

These are likely to bounce hard with cash in bank double mkp!! Every dog has its day and Friday did see don't pretty big buying

[investment dave] 07/7/2017 14:49

Massive buying now

[kazoom] 05/7/2017 11:08

There's a certain inevitability in our paths crossing CJohn ;-)

bleeding cash might be a bit strong - but we certainly need to recognise that the £65m is measured at a time when they have all of the Christmas & NY cash in the tills, but have yet to pay for the stocks.

I think they are ordinarily cashflow negative and unprofitable in the quieter 2nd half of their year - the profit warning won't make that any better!

With the very short leaseholds they have, I do think there is probably value here, but I'm tending to the view that this one might be "too difficult" to assess.

[cjohn] 05/7/2017 09:21

Be careful with this company. It looks to me that - reading between the lines of the last update - that they are bleeding cash. That 65m will be a lot lower now gfrae.