Gattaca Share Discussion Threads

[otemple3] 09/6/2020 11:05

Added this morning as been thinking exactly the same. Could move quite quickly from down here....

[sphere25] 09/6/2020 11:04

Stock has popped 12%. Threatening a significant break out.

[sphere25] 09/6/2020 08:44

Noted this edging up this morning so watching for a breakout. It could pop well if it does breakout as it has consolidated for a while.

[stemis] 08/6/2020 22:04

A lot of their costs are payroll (£43m out of £66m last year) so it depends how they are managing that. In terms of cash, reduction in activity will free up lots of working capital so I imagine their cashflow will be pretty decent. The question is whether they will then have the capacity to finance the eventual recovery. I suspect the biggest risk isn't insolvency but a pretty big fund raising at some point. Current market cap is £15m so raising anything decent will involve a lot of dilution at this price. However if they avoid that then the upside should be considerable.

[arthur_lame_stocks] 08/6/2020 21:13

They must be really struggling at the moment though, no one is recruiting.

[value hound] 08/6/2020 17:07

A friend asked me earlier to pick one share that was pretty good value as it stands - but which also has the potential "to go some" (his words). FWIW, GATC was my selection. I hope I'm right and that the some it goes is northwards :-)

[edmonda] 27/3/2020 09:03

And full note out from Equity Development, looking at company's good record in dealing with macro challenges and low current EV/NFI rating vs sector

Free access to note here:

[stemis] 27/3/2020 08:53

More reassuring than I feared

[brummy_git] 27/3/2020 08:14

Latest commentary here wrt GATC's interims today

[quepassa] 16/3/2020 09:15

Is this going to be the end-game of already embattled Gattaca?

Perfect storm.

Weakened position. Weak recent Trading Update. Massive generalised reduction in overall market recruitment due to COVID. Credible market forecasts of Global recession.


Good Luck ALL

ALL IMO. DYOR.
QP

[quepassa] 11/3/2020 11:12

Many, many companies across the UK are temporarily suspending recruitment for obvious reasons.

That's going to hurt.

ALL IMO. DYOR.
QP

[quepassa] 04/2/2020 22:46

What a disaster zone this share has been.

All time low under the name of Gattaca (what a daft name).

Ten year low under the Matchtech/Gattaca umbrella.

Don't know if it even got as low as this in the '08/09 crash.

They must rue the day that they changed strategy and Adrian Gunn left.

So happy to have sold out near 600p after Gunn departed and never once been tempted back in.

With the last update, cannot rule out the possibility that this will fall significantly further.

Good Luck All - but carry a hardhat and shamrock just for safety and fortune's sakes.

ALL IMO. DYOR.
QP

[daz] 29/1/2020 15:02

The trading statement highlights the IR35 change as a key risk. I would argue it's more than a risk and will certainly affect H2 and beyond.
I know several large companies, who are saying they will no longer use contractors and have plans in place to end such contracts ahead of April 2020. While some of this will be replaced by supplying people to software houses instead, this will only be a proportion of the existing business and in all likelihood at lower margins.

The board of GATC must know about this and if they don't they have their head in the sand. They may have plans in place to mitigate this but have not communicated that in the trading update.

The IR 35 change will have a big impact on all recruitment agencies and I think it will take time to readjust to a different way of working.

In my view another profit warning looks likely

[pugugly] 29/1/2020 09:12

edmonda - but remember that Equitydevelopment are paid by Gattaca (if I have my facts right) to produce and issue the research note -
However interesting note with lots of comparisions with othe participants in the recruitment area - Well worth a read - Thanks for posting link.

[stemis] 29/1/2020 09:05

I guess if any of the industry players who've been stake building in GATC want to bid, now is the time to do it...

[edmonda] 29/1/2020 07:58

Yes - other players have noted 'challenging' conditions in sector.

UK NFI fell 11% in the 5 months to Dec’19, and FY20 adj PBT now seen by Board at c. £6m vs previous consensus of £10m

But their markets should improve next year: Equity Development have updated forecasts and their new fair value / share is 135p (down from 160p, but still above trading levels).

Free access to full research note here:

[value hound] 10/12/2019 16:39

Did any posters make it to the AGM?

[spooky] 15/11/2019 07:43

Sharp move into the close yesterday, something obviously happened somewhere.

[wapper] 06/11/2019 09:26

Quite pleased with that.MM's will play then onwards & upwards if broader market holds up

[trogerswinning] 06/11/2019 09:20

COO leaving was very abrupt... worries me.

[cwa1] 06/11/2019 08:41

The announcement re the COO is...interesting...

[edmonda] 06/11/2019 07:59

FY results: underlying PBT and EPS slightly ahead of expectations, and debt significantly cut.

CEO cautious about current macro headwinds, but sees 'significant progress' internally via Improvement Plan.

Updated research note from Equity Development shows fair value of 160p/share: free access here

[nw99] 09/9/2019 08:34

Worth watching this one