Gyg Share Discussion Threads

[czar] 21/12/2003 09:23

Thus far the shares remian in a down trend but the bottom of the trough looks close now. I'm tempted to buy a bit at this level and either average up or down later.

[ok,yah] 19/12/2003 15:36

Its only natural for people to want to sell now as they see their stake diminishing in value and perceive better opportunities elsewhere. But now is probably the time to be buying not selling. Buy the fear and sell the greed!!

Theres nothing fundamentally wrong with Gyrus in the public domain and they look set to remain a rapidly growing company..

[pearlfisher] 19/12/2003 15:17

Nilip, I agree with you totally. However, I know that the day I exercise a stop loss the share will immediately recover!

Well done on your timing with NSB.

[nilip] 19/12/2003 10:33

For the longer term holder GYG may be a good investment, Personally I didn't want my cash tied up in a company whilst I wait for the US econnomy and the strength of its $ to recover, and on top of that the time it will take after the $ recovery for it to have a knock on effect on GYG figures. It's all looks like a long wait, but no doubt it will eventually come.

The money raised from the sale of my GYG shares yesterday went straight into buying some shares in NSB. I was lucky, NSB has risen 10% today on the back of an excellent announcement... but it just goes to show the value of stop losses,
you mustn't fall in love with a share and just hold with the thought that it will rise again ... it may be better to re-invest the funds elswhere where there is more potential.

Sometimes it pays to cut your losses - You can't choose winners every time.

That's not to say that GYG is not a good investment, it just means that while GYG is going through a prolonged depressed state (who knows how long the price will be depressed for?) it's often wise to re-invest somewhere where your money can grow and then, perhaps at a later date, consider looking again at GYG.

Just my views.

[pearlfisher] 18/12/2003 14:33

Boneseed, whilst acquisition write-off's will reduce the 'FRS4' eps it will not affect the 'normalised' eps which is the true measure to consider.

With GYG down more than 35% from its recent peak, not surprisingly stop losses are being triggered, depressing the price even more. Whilst the present situation is uncomfortable, if you are in for a long term gain (as I am) the dollar's weakness will not last forever and I am sure GYG will return to c.200p although I expect this may take some time.

[optimum] 18/12/2003 11:53

Any L2 data on GYG

What is the consensus on the likely low point?

This is starting to look like a buying opportunity if you are in for the longer term.

[nilip] 18/12/2003 11:30

boneseed, I fear that what you say is unfortunately very true.

I triggered my stop loss at 165p and cut my losses.

Gyrus has fallen through all support levels at this stage and there is no telling how far it will fall.

Due to the continuing weakening of the US dollar into 2004 and the realisation of reduced sales I fear we could see Gyrus fall as far as the 120-125p mark in the run up to the quite xmas period.

[boneseed] 12/12/2003 08:18

unfortunately, both estimated sales revenue will be proven "wrong"; the company said that the sales for current year will be lower than last year due to weaker US$; the estimation did not also consider "write-off" from acquisitions; the write-off will reduce net profit; that means lower eps;

[pacman88] 11/12/2003 16:28

Medical Equipment
Registered No 2285918. Authorised and Regulated by The Financial Services Authority. A Member of the London Stock Exchange
09 December 2003
Buy
179p
Target Price: 216p or 19
times 2004 eps
Gyrus*
Update
Gyrus has a strong technical capability across several areas, and has built a good
niche position in the US medical markets. Significantly negative currency
movements, the costs of a number of product-launches, and adverse movements
of customer inventory, mean that 2003 profits are likely to be less favourable than
expected earlier. These factors, and the uncertainty generated by management
changes, have caused share-price weakness in recent months. Even so we
expect a good advance to £7.8m pre-tax, up 15%. The strong range of new
products should increasingly benefit profitability, and we expect also a build-up
in non-US markets, helped by small acquisitions. By 2006 we are looking for profit
of £16.4m pre-tax, as the business advances over a broader front.
Table 1.Year to December Sales (£m) PBT (£m) EPS (p) Tax (%) Net cash
(debt) (£m)
PE
2002 75.0 6.8 8.1 - (17.9) 22.1
2003F 76.3 7.8 9.4 - (14.4) 19.0
2004F 85.7 10.5 11.4 10 (9.9) 15.7
2005F 98.7 13.2 12.7 20 (3.2) 14.1
2006F 112.9 16.4 14.8 25 5.2 12.1
Source: Numis
We believe that operating margins in the current year should improve to 12.2% (11.1%)
helped by cost cutting and operational efficiencies. Similarly this trend to improved
margins of14.0% should continue in 2004, with new products coming through and
currency hopefully not being so adverse. As a result of improved production
efficiencies, and a growing contribution from new products, margins should continue to
grow to 14.4% in 2005, rising to 15.0% in 2006.
The company has broadened its position in the last few years, and now has a range of
new products, plus a number of market opportunities in the US and elsewhere. In our
view, the company has a range of technical and marketing abilities, which should
enable Gyrus to build further on its current business base, and develop a number of
profitable new business areas.
The management have changed positions in recent months, with Mark Goble stepping
aside from his Managing Director position, to build further the new product range in
conjunction with Colin Goble. Brian Steer, who has provided much of the strategic and
marketing drive for the company, remains as Executive Chairman. Roy Davis moves
from a non-executive post to Chief Operating Officer, and Simon Shaw joins as Chief Financial Officer.


Analyst
Robin Gilbert 020 7776 1561
[e-mail]
Specialist Sales
Edward Husband 020 7776 1616
[e-mail]

[boneseed] 08/12/2003 11:28

P/E ratio > 20 already; potential lower sales revenue due to lower us$ exchange rate; not convincing

[czar] 07/12/2003 11:56

For the uptrend to be sound we probably need a move throught 190p but if the brokers are right with eps growing at 33% followed by 34%, a pe of 13.8x and a PEG of 0.4 will not be there for too long. Something around 20x giving 258p looks reasonable with a good chance of using free cash flow to pick up more bolt ons and further accelerate eps growth. The translation effect of a weak dollar is not a cash issue and at some point will go the other way.

[johnroger] 05/12/2003 17:51

Is this a new holding?

RNS Number:9302S
Gyrus Group PLC
05 December 2003

Gyrus Group plc (the "Company")

Notification of Major Interests in Shares

Disclosure under section 204 of the Companies Act 1985

The Company received two notifications on 4 December 2003 from Alliance Trusts
on behalf of The Alliance Trust PLC and The Second Alliance Trust PLC informing
it that by reason of its own beneficial interest and the operation of section
204 of the Companies Act 1985 it has an interest in 3,050,414 shares,
representing 3.66% of the Company's issued Ordinary Share Capital.

5 December 2003


This information is provided by RNS
The company news service from the London Stock Exchange
END

[felix99] 02/12/2003 17:28

bought back today too. Sold at 230 ish or lower can;lt remember now.

Pile dback in at 187p ish and got out even a few weeks back when stopped out.

Trying again today - in at 175p. Lets see if she bounces decently from here.

Be very happy with £2

[pacman88] 02/12/2003 11:51

topped up at 177p this am

[orvis] 02/12/2003 11:47

All buys so far today

[gzr] 02/12/2003 08:21

I was lucky enough to sell at 235p, thought they might come back to 200p. I'm surprised to see how much these have fallen. I got back in for the bounce this morning, they look well oversold to me.

[johnroger] 01/12/2003 22:04

Techinvest comments on the results with a "continue to buy" recommendation at 171.5p

[kermit] 01/12/2003 17:13

Orvis dont try to work out what it was just be happy that there is volume down here. Buyers and sellers. and seeing as we are looking to clear a seller then we would all hope that the buyers will soon have the upper hand

[orvis] 01/12/2003 16:32

Oh. correction : a 575,000 T trade at 166.13p has just appeared (the 200,000 could have been a buy then)

[orvis] 01/12/2003 16:26

Yes there it is - 200,000 at 170p.

[orvis] 01/12/2003 16:03

Well there's our answer. Everything was going well then the bid drops 5p with no sell reported. So largish sell as T trade expected to apppear at close.

[kermit] 01/12/2003 13:38

Lets see if the overhang has gone now.

Charts okay ish....
Brokers are positive
Results were okay

Should move north if the seller has gone

[ok,yah] 01/12/2003 13:05

Well looks like some serious buying is helping to clear or has cleared the overhang - could we be finally moving north?

[pacman88] 28/11/2003 20:13

WestLB Equity Markets is a brand name of WestLB AG
24 November 2003
Life Sciences Daily
Pan European Equity
Europe
Life Sciences
abc
axyz
EQUITY MARKETS
Gyrus Group
New research note: fundamental growth intact
Gyrus continues to deliver profitable growth. We believe investors have
over-reacted to both the management changes and forecast downgrades.
The former we see as evolutionary steps, the latter is an inescapable
impact of the strong US dollar and Gyrus' exposure to that market.
Currency has had an adverse impact of 13% since the end of 2002.

In the financial year ending 30 June 1997, the last full year of accounts before
Gyrus' IPO in November, Gyrus made a loss of £2.4m on turnover of £1.5m. The
contrast with a company we forecast to make pre-tax profits of £8.3m (pregoodwill)
on a turnover of £78m in 2003 could not be greater.

Contrary to perception, we believe management changes amount to nothing
more than a logical evolution associated with the transformation of the
company. We believe investors have over-reacted to changes which had been
flagged in the previous preliminary report.

In forecasting 2003 results, we have expected the US dollar to weaken. This has
not happened and at £1=$1.69 the effect of currency, particularly on the sales
line, is an adverse 13% compared to the end of 2002. We expect sales at a
constant exchange rate to show strong growth.

Gyrus is now able to generate significant amounts of free cash flow and it has
acquired three businesses during 2003 out of free cashflow. We expect EPS
growth of 21% 2002-2003 and 33% 2003-2004 and a 34% CAGR 2002A-
2006E.