Hargreaves Services Share Discussion Threads

[castleford tiger] 02/6/2023 19:00

You should of popped in.
Transport is busy and costs ( well fuel ) falling.

i think a trading update next week


tiger

[mexico man] 26/5/2023 20:23

Hi Tiger they have just set some one on from suttons to help with the running of the transport as they have plenty of contracts

[red ninja] 12/5/2023 10:58

Downing Strategic Micro Cap I.I (May 2023) Results :-

Hargreaves Services PLC (Hargreaves) (8.52% of net assets)
Cost: £2.56m Value as at 28 February 2023: £3.27m

Background Hargreaves is a diversified group delivering key projects and services to the industrial and property sectors. The Distribution and Services division aims to generate sustainable profitability through operations across the energy and infrastructure sectors in the UK, Europe and Asia. The Property and Land division aims to generate value through the development and/or disposal of the company’s significant land bank which includes planning for residential, logistics and industrial space.

Update to the investment case
► Strong trading with profitable growth across business sectors.
► Pre-tax profits up 80%.
► Strong balance sheet.
► Potential reduction in trading opportunities in the German commodity business.
► Numerous strategic catalysts available to unlock value.

Progress against investment case Hargreaves reported interim results for the six months to 30 November 2022, and highlighted strong revenue growth in Services, leading to an overall increase of 53% year on year, primarily due to HS2. Pre-tax profit was up 80%. The group increased the dividend by 7.1% to 3.0p and the balance sheet remains robust, with £18.1m in cash, up from £8.5m in November 2021. Hargreaves has developed a strong platform from which to create value for shareholders. The core Land and Services businesses are well positioned to generate slow and dependable growth and there are numerous strategic catalysts to unlock value, including from the renewable asset portfolio and the German associate which we expect could play out sooner rather than later.

[red ninja] 12/5/2023 09:03

The NAV estimate here is on the low side as land is valued at cost and the renewable schemes are not reflected in the NAV value.

Downing Strategic Micro-Cap Investment Trust PLC Investor Letter for March saw consensus value here at £7.10.

However, the main unknown factor here is how fast iron ore prices are going to fall and does the EPS consensus for next year adequately reflect that.

Having said that I agree I'm not a seller at these levels. I've slightly upped my holding.

[castleford tiger] 09/5/2023 09:54

With EPS current year consensus 72p and 63p next year i fail to see the point in selling?

The p/e ratio at 400p is under 7.
The dividend yield is just over 5%
NAV per share is 603p some 50% higher than current price.
Net cash was 18m but might be 25m plus when we see year end figures.

Current slowdown in land sales will reverse in 24/25 and price of land will start to rise again.


This looks rock solid at these valuations.

Tiger

[harrogate] 05/5/2023 09:42

Who's the big holder who is selling? Given Downings stated desire to have some more I would have thought any selling would be taken up.

[castleford tiger] 05/5/2023 09:35

a steady drift down with a big holder continuing to reduce.

With EPS over 50p in the first half . The current 400p valuation is well covered.

The difficult part is looking at next year and trying to work out a eps figure for the yuear

tiger

31-May-23 200.00 200.00 n/a 200.00 209.00 209.00
31-May-24 209.00 n/a n/a n/a n/a n/a
Earning
31-May-23 71.72p 71.72p n/a 71.72p 63.90p 63.21p
31-May-24 63.21p n/a n/a n/a n/a n/a


If the MAY 24 figure is still reasonable the shares are trading around 6x current year.

Backed with a 5% dividend

[charlotte2020] 30/4/2023 18:42

That's correct. They will push for a splitting up of the business and a sale. That's more like the MO

[gargoyle2] 30/4/2023 18:27

Not by Harwood imo. Not their MO. Sure, they see it as undervalued, but do they want to own the whole company? I doubt it. And the three businesses are too diverse for an industry player to be interested at this stage. The separate businesses might get sold off, but a takeover of the company seems unlikely.

[charlotte2020] 30/4/2023 17:22

Wouldn't be surprised

[mexico man] 30/4/2023 17:03

Any thoughts on Harwood investments nick Mills is on Hargreaves board possible take over

[mexico man] 29/4/2023 06:40

S and b utilities Knaresborough taken over as well

[mexico man] 28/4/2023 20:23

Greenford aggregates that's who they have taken over

[mexico man] 28/4/2023 20:18

They have that much work on They want trucks running out Sunday and bank holiday Monday with ammonia nitrate fertiliser mad busy

[mexico man] 28/4/2023 20:06

Hello tiger Hargreaves have just bought a quarry out up Durham way

[mexico man] 28/4/2023 19:50

Hello tiger Hargreaves have just bought a quarry out up Durham way

[mexico man] 23/4/2023 19:07

Also they have loads of work moving Ash out of energy for waste incinerators

[mexico man] 23/4/2023 19:01

They have sections on hs2 bicester and Aylesbury Buckinghamshire been past alot massive job dump trucks everywhere and 360s

[harrogate] 06/4/2023 16:30

Good to see Tungsten West get their funding away today. At least we should get the £1m mine lease payment this year. But the longer term mining project seems to be hard to move forward.

[castleford tiger] 10/3/2023 13:37

Bought last 2 days

[harrogate] 09/3/2023 11:15

Seems to be the northern sections not the section south of Birmingham that is currently being done. Nothing in any HSP numbers for anything on the northern section. Of course I am sure that they wanted to do work on that when it happens.

[podgyted] 09/3/2023 11:07

HS2 to be delayed.

[gucci] 08/3/2023 15:18

a buying dip today