Gvc Share Discussion Threads

[loganair] 20/9/2016 15:26

Simon Davies, an analyst with Cannacord Genuity, said: “The acquisition of Bwin has started well, with hard evidence of material revenue synergies coming through already, through more efficient marketing spend, improved VIP retention and a step-up in the trading platform.

“GVC has been significantly the strongest performer in the online gaming sector this year, up by 55pc since the start of the year, or by 81pc in the last 12 months. Current trading remains strong, with revenues up by 12pc in the first 11 weeks of the third quarter, or over 15pc on a constant currency basis,” he added.

GVC CEO: We will not sell any BwinParty assets but more M & A could still be on the table for us.

[ecoover] 20/9/2016 14:53

srpactive

What is your divi forecast ???

[dr knowledge] 20/9/2016 14:51

Mister MD - Re buy and hold. Yes definitely (along with PTEC and MCRO). ;-)

[powerpack] 20/9/2016 14:44

Reach out for the stars!!

[srpactive] 20/9/2016 14:38

Per half, yes.

[trentendboy] 20/9/2016 14:36

nice post popper - good spot and good business (farily standard actually in the business)

The 10x valuation is just too low. Even taking that to 12/13 would mean a serious share price uplift.

To kick off with the 3% dividend would also be a pretty nice start

[mister md] 20/9/2016 14:33

today ? ;)

[garycook] 20/9/2016 14:07

£8 next target

[mister md] 20/9/2016 14:02

if ever there was a share to buy and hold, this is it ...

[mylands] 20/9/2016 13:37

IG

Looks like a lot of other broker targets are going to have to be revised, and very soon. Especially, the one at 1045p!

[popper joe] 20/9/2016 13:27

I listened to the presentation and there was one item that Kenny referred to on a couple of occasions that made me smile. He was talking about what they had found on taking over BPTY and referred to a number of betting accounts in Gibraltar that were showing regular high wins. Kenny's words were something to the effect of: we soon put a stop to that silliness and closed the accounts! Betting turnover for the year was slightly down and one of the reasons was that they had closed a lot of winning accounts.

[investmentguru] 20/9/2016 13:03

My 750 month end target was reached a little early, not complaining mind...

[festario] 20/9/2016 12:17

Henderson will have been a forced seller surely? Having held millions from the pre SBT days, there fund targets will have been reached and exceeded.Nice to see other funds are confident enough to take them on over 700p, with a new target for those funds.So, what will that be? 900p or so?In the meantime, there will be other investment funds who will need to offload GVC shares which they bought in the 400p to 600p range. That's just the way it works, and they'll hopefully be snapped up 'off market' by other institutions.

[woodhawk] 20/9/2016 12:03

"This puts it on a price-to-earnings growth (PEG) ratio of just 0.2, which indicates that it offers excellent value for money as well as significant upward rerating potential."

Nice.

[loganair] 20/9/2016 11:52

Edison - GVC Holdings PLC’s (LON:GVC) interims demonstrate the rapid progress it is making integrating bwin, with proforma EBITDA up 42%. In a confident statement management believes the group’s organic growth potential is greater than originally anticipated; it plans to increase marketing investment to take advantage of new opportunities. Our EPS estimates have increased, as has our 2016 EBITDA forecast (up 3%), but our 2017 EBITDA is unchanged to allow for regulatory and tax headwinds. Management is delivering on its ambitious targets yet the 2017e EV/EBITDA is below the peer group average at 10.1x.

Bwin synergies are coming through slightly ahead of target and management is confident that the integration will be complete by end Q217 and full €125m of cost savings secured. With both GVC and bwin labels delivering H116 top-line growth, marketing cost is to be increased from the current 21% of revenues, with plenty of scope for revenue synergies through improved cross-selling. Meanwhile the senior management team has been strengthened, product enhancements are underway, the New Jersey gaming licence has been confirmed and a B2B deal with Betfred (the UK’s fourth-largest bookie) demonstrates the value of the group’s IP.

GVC is forecast to report a fall in earnings of 23% this year, followed by growth of 89% next year. This puts it on a price-to-earnings growth (PEG) ratio of just 0.2, which indicates that it offers excellent value for money as well as significant upward rerating potential.

Edison are also estimating 25 euro cents for the 2017 dividend, yield 3.1% from a dividend that’s forecast to be covered 2.2 times by profit.

[speedsgh] 20/9/2016 11:48

Would prefer to see GVC steer clear of traditional high street betting shops. Their expertise lies elsewhere imo.

[srpactive] 20/9/2016 11:46

Spreading it around their city friends before the ftse250 inclusion,
that is all.

TEB

I think gvc will end up with 888 and wmh and a ftse 100 listing
in the next few years.

dyor

regards

active

[hillbrown] 20/9/2016 11:44

Henderson a seller now below 5% holding.

Just noticed your post. I'm late as usual.....

[mylands] 20/9/2016 11:41

RNS just out about Henderson reducing their holding to 8,394,920 shares, below 5%.

From the company website of major holders, last updated on Sept 1st, it shows Henderson with 14,760,634 (5.05%). So Henderson have off loaded a massive 6,365,714 shares in the past three weeks!

Even with that selling the share price has remained firmly on the upward trend.

[trentendboy] 20/9/2016 11:33

I think PTEC need to do something to counter the GVC threat - of course they are not the only B2B player - 888 are the other.

I think it makes more sense for GVC to takeout 888 now unless they want to go "bricks" and take on the big boy left - William Hills.

Still, all good fun as the share price rises

[timanglin] 20/9/2016 11:16

Current Cash generation will easily pay a handsome dividend, especially with the reduction in interest payments, maybe even a special dividend. The big question in my kind, is will PTEC take over GVC in Feb 2017, or will GVC takeover PTEC...dyor

[nurdin] 20/9/2016 11:13

Indeed :o)

[woodhawk] 20/9/2016 11:11

Unbelievable - whingeing about the divi when the share price has increased by 50% over the last six months alone, and with plenty more to come?!

[cheshiremoggie] 20/9/2016 11:03

The divi.......2017!!!!