Gore Street Energy Storage Share Discussion Threads

[spectoacc] 21/5/2024 16:35

Smoke, mirrors, and 11% ;)

But IMO the more relevant point is the energised assets that will be earning in this financial year. Still won't get them to full coverage IMO, but it's getting close.

[stemis] 21/5/2024 16:31

The dividend is so poorly covered it's almost a misrepresentation to call it a dividend...

I presume the 11.6% dividend yield highlighted in the update is based on an 7.5p dividend and a share price of 64.5p. A dividend of 7.5p costs £37.9m. They claim it's 0.56 covered at fund level. They don't, as usual, show their workings. What we do know is that the porfolio generated £28.4m. Last year holding company costs were £9.9m (including £7.4m paid to Investment Advisor, Gore Street Capital Limited). That would get it down to £18.5m, off which comes depreciation (which for an asset based business can hardly be immaterial) and tax. On any normal measure of dividend cover, 0.56 is a borderline misrepresentation.

Smoke and mirrors...

[williamcooper104] 21/5/2024 14:40

And if they do cut the divi after promising to not then likely it's wind up time

[waterloo01] 21/5/2024 14:30

Good to see the company come out fighting and also being more transparent as to divi cover (and thanks goes to a poster on here for pushing them). They are differentiated by their geo spread, which was a good strategic move

I stuck with/added to GSF in the low 60's, but my experience with trusts, and esp wind downs, which seem ever present in some sectors, is one of caution.

VSL - has been terrible since the wind down voted on. Sold half, but still see some decent value, so not out. I looked at GABI, but don't like the profile, so have opted for RECI and Volta. I hope I've chosen well. (I have much larger positions with the likes of AV. as I see both capital growth and a very decent growing divi around 7%)

[spectoacc] 21/5/2024 13:34

Suspect there'll be a tip or two coming - an 11% divi, which they've promised to maintain, and that may even be (finally) covered in due course. Just the sort of thing the scribblers like.

75p+ on a decent one IMO.

[leadixon] 21/5/2024 13:23

Ye I’ve got to say this is certainly one of my luckier timing the markets @61p entry, but happy with the update and will continue to hold for the foreseeable

[alan pt] 21/5/2024 11:48

Quick 10%+ profit if you bought at the lows, not surprised to see a bit more selling. But creeping slowly back up to re-establish somewhere in the 70's seems feasible. Interest rate mood music continuing to trend positively will hopefully help

[cc2014] 21/5/2024 11:34

I have to say I'm a little disappointed with the share price today. There's still plenty of time of course but it seems that every penny move up is met with a large lump of selling. Perhaps unsurprising given how long the share price has been in the doldrums but annoying nonetheless.

I remain ever hopeful

[bountyhunter] 21/5/2024 07:43

"Across the sector, it is increasingly apparent that the range of strategies employed by asset owners are yielding increasingly different financial outcomes, with Gore Street producing revenues c.3x of our peers and lowering the volatility of those revenues by 50%."

International diversification is paying off.

[spectoacc] 21/5/2024 07:35

Agreed - key lines for me are that Avg Operational MW only rose from 291 to 311, but that during the period Energised Capacity rose from 291 to 421. So this year should see a huge rise in Operational, with corresponding bump to Revenue.

Depends on AR per MW so won't be entirely linear, but it should transform that divi cover.

[cocopah] 21/5/2024 07:30

Bravo! A lot more clarity in the RNS this morning. Still a ways to go on the dividend cover so I don’t expect much positive movement on the share price in the short-term. The next bit of math will come this time next year at the 2024 year-end when the financial impact of Big Rock is known (increased income offset by servicing the borrowing). It might just result in 1.0 dividend cover.🤞995;

[george stobbart] 21/5/2024 07:27

If this not moves above 70p I am calling my lawyer and my mommy to ask for further actions

[cc2014] 21/5/2024 07:25

I'm happy with that update.

[spectoacc] 21/5/2024 07:15

Seems pretty comprehensive from GSH this morning. Can quibble the divi cover but the 7% of NAV target is maintained.


"o Increasing dividend cover: The Company's dividend cover continued to trend upward, with the estimated operational dividend cover being 0.78x and an estimated fund-level dividend cover of 0.56x, achieved from the average operational capacity during the period of 311.5MW. As the prioritised portfolio is built out, the Company expects a material increase in dividend cover."

[nickgrant2] 20/5/2024 10:31

Thanks Rik

[rik shaw] 18/5/2024 13:47

UK Investment Trusts are able to treat certain dividends to investors as interest distributions, enabling the ITC to claim a corporation tax deduction in related to the interest distribution

Try 'interest streaming regime uk' in Google if you want to know more.

[nickgrant2] 18/5/2024 10:21

I have a DRIP set up for these shares in my II SIPP. I queried why there were two separate dividend payments with only a small amount being re-invested automatically.

"Gore Street Energy Storage Fund dividends to shareholders may take the form of either dividend income or qualifying interest income, which may be designated as an interest distribution for uk tax purposes. Of the 2.0 pence per share declared, 1.76 pence was treated as qualifying interest. This is confirmed in the company's dividend declaration which can be viewed in the link below.


hxxps://www.gsenergystoragefund.com/content/news/archive/2024/120324


As the £16.11 was designated as a dividend payment is was reinvested as per your existing instructions. The £118.16 payment was designated an an interest distribution. Please note that interest distributions are not eligible for dividend reinvestment on the ii platform. "

In my ignorance, I was not aware of this. Can anyone advise whether this is a crafty scam from GSF or exactly what the purpose of the split is?

Much appreciated.

[clissold345] 17/5/2024 09:02

Cocopah - You make some good points. Last year GSF published Audited Full Year results for the year ended 31 March 2023 on 17th July. There's nothing much to discuss until GSF publish the full year results this year (though we'll get factsheets in May and June that tell us little?)?

[george stobart] 16/5/2024 09:43

please sir make the stock go up, i want money. more money

[probablynotphil] 15/5/2024 20:50

Personally I would be hesitant to invest in GRID due to their asset concentration in the UK. Hugely risky. I like how GSF is focussed on generating returns from multiple countries. Makes a lot of sense when you see how different energy systems/balancing works across the world and how volatile it can/will be.

[livewireplus] 15/5/2024 15:53

I think he meant the lady in the hall ie. his spouse:-)

[cc2014] 15/5/2024 15:47

I'm sure that's a typo. I'm sure you mean the lady who you were talking to in your cell.


Anyways it seems the pattern has at least changed and we are on our way.

I expect GRID to follow as well shortly.

[george stobart] 15/5/2024 15:27

the lady in the call said I would make guaranteed 1000% gains, if I gave her £5k to buy this stock.

I gave the money and she doesn't respond anymore and I can't see the stock in my account

I want my money, where is my money

[panshanger1] 15/5/2024 15:22

Feels like that Might get a clear run now Fingers crossed!!

[cc2014] 15/5/2024 13:50

It looks to me like whatever stock the MM were sitting on, either for themselves or for a client has gone.