He bought 253p per shares for 100k shares , he owns 25% now |
Short memory. I recall George buying some last year. |
The buyback isn’t big enough IMO. This is so cheap that I’d rather them 4-5x it and boost FCF per share later down the line. I’m fine with no divi for now but agree with Pine that it will be needed going forwards if this is to get the rating it wants. |
Good point. The question then becomes 'how would they benefit from having more shares?' |
Could we have had a dividend though? Do they/will they actually cancel these shares...I'm always a bit suspicious that buy backs somehow benefit those with their snouts in the trough. |
RNS today, they've started buyback |
People with money to spare looking for a place for their new ISA allowance? Let's see. Either way very welcome rise. |
If the buyback has started, it's possible that it was today but we should find out tomorrow with an rns I suppose if that is the case. |
I just did a dummy order and it seemed easy enough to sell? It let me sell up to 15,000 shares no problem and offered me 93.2p, which tells me that they are confident they can shift them. |
Easy to buy but difficult to sell |
Not selling mine, they'll have to find them buyback shares from elsewhere |
Having a good crack at 92p again. |
I think well footed, possibly not wanting to do a divi but at least a token buyback to add value. Good time to adjust any limit orders I suppose. |
Appears to be well footed on the numbers. |
10 day MA about to pass through 50 day MA. 10 day and 50 day MA above 200 day MA which is also trending up. Larger volumes than normal recently, average 10 day v 3 month volume much higher (70% up). RSI not overbought. Bullish broker comments, recent positive trading update, share buy back announced.
Things looking mush rosier here. When this moves it can move quickly. GLA. |
 "Well placed to weather even the harshest of storms"
New research report (free & accessible):
Gattaca reported in line H1’23 results (6M ending Jan’23). Underlying NFI climbed +5.2% to £22.7m (£21.6m LY) thanks to two new client wins and strategic price initiatives (+9% contract & 6% perm).
On top, there were standout performances (see note) from defence (+32%), energy (20%) and infrastructure (7%) - partly offset by the shedding of low margin business (2 large accounts) and a not surprisingly less buoyant TMT backdrop (-43.5%, tough YoY comps). We believe the group remains on track to achieve both its ongoing turnaround and longer-term targets, after raising fee earner productivity (+14% revs/head), employee engagement and EBIT/NFI margins to +4.2% (-0.5% LY). This has delivered an H1’23 adjusted PBT and diluted EPS of £0.9m (-£0.3m LY) & 2.0p (-0.8p) respectively.
Despite the economic conditions, we’ve held our conservative FY’23 and FY’24 PBT forecasts at £1.8m (£256k LY) and £4.25m respectively on NFI up 5.3% (£46.5m) and 8.9% (£50.6m), along with reiterating the valuation of 130p/share. |
On the tube. Will look at later when I get home. |
These are the results we'd hoped for last year. |
No dividend |
Difficult to sell |
Thanks Boystown. Haven’t heard of them. I have added to the watchlist and will do some digging. |
"That said, I would prefer more exposure to blue collar work"
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RTC? Comes with risk, and management have awarded themselves too many shares, but still potentially very lowly rated indeed. |
I have been looking for a reason to buy the listed recruitment agencies for a while as I think they’re decent inflation hedges because they ought to correlate nicely with wage price growth. That said, I would prefer more exposure to blue collar work rather than white collar / professional services. Whether the cash pile is £15m or £20m, this is still pretty lowly rated and I think the new CEO will be extremely motivated to turn the ship around and stamp his mark on the business. He’s been there for over twenty years so will know the business well and its failings. Recruitment is very much a people / services business so if he can revamp the culture, I think shareholders will do very well - especially at this sort of entry valuation. Lets see what happens but at a paltry EBIT to EV multiple, I fancy my chances and am happy to roll the dice. Good luck to everyone here! |
I wouldn't attach too much to the sudden increase in cash. Their sales are c10x their NFI so the timing of collections around period end can hugely inflate the cash and finance departments everywehere push for collection around reporting dates. You've got to look at the average cash over the year. 25p per share of extra value hasn't just appeared out of nowhere, especially since the company said at the end of July that DSO's had returned to their long-term level. They still have a lot of cash mind. |
it was profit warning this morning, hence the big drop. glad i didnt buy based on the IC tip and NT comment on stocko |
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