High-Point Ren. Share Discussion Threads

[ken50] 22/8/2003 21:15

Oops.
.

[dina] 18/8/2003 11:54

Dropped back again -how many can one buy on line?

[glass half full] 18/8/2003 11:25

0.5 p rise on no trades or news and then a 2p spread! What is going on?

[biomax] 18/8/2003 08:43

STRONG BUY!

[easymoney03] 11/8/2003 22:12

iantc,how low can it go???

[iantc] 11/8/2003 17:30

may have to wait till september ken50 but should be worth it might top up with a few in the meantime if i can get them for less than 5p

[ken50] 11/8/2003 17:22

No trades for the last two days.
Just a matter of waiting to hear the £2.9m loan has been repaid.
10p should be easily achievable if this happens.

[hooley] 07/8/2003 17:24

Ian Reevws and his cronies could quite easily replace the borrowings which the banks have with the Company. I would be surprised if there isn't an understanding and the borrowings will be rolled over as long as it takes. servicing the £6m will have cost under £0.4m for the year. The interims showed operating profits of £0.6m - £1.2m annualised - implying a cover of 3X. Shareholders have seen the shares fall from 140p to just 3p, and in the previous cycle they fell to under 10p. Following the recently completed restrusturing, the business should be capable of a profit recovery - perhaps towards the £3m level seen 3 years ago. This one is a bet on whether the private big, very long-standing shareholders will let it go for want of a guarantee to the bankers. I just don't see that happening. Further, the auditors have taken the view that theere is almost £5m of recoverable revenue, which would almost clear the debt.

[daneth] 07/8/2003 14:36

wot stok will make me lots of muney before end of week off on holiday and need muney to spend on fish and chips

[hooley] 07/8/2003 14:34

Rockbottome - Apologies, I got the point one placetoo far to the left. I think the heat's getting to me. With £1.25m pretax profit, taxed at 30%, the eps comes out at 3.4p, an implied share price of 51p if a multiple of 15 is applied.

[rockbottomone] 06/8/2003 16:28

Hooley, think your maths is a bit wonky. As far as I can tell there are 26 million shares out there (correct me if I'm wrong, I went back to 2001 accounts and have seen no RNS indicating further shares). £1.25m = 5p/share. EPS of 15 gives = 75p/share. Thats if it doesn't go A.O.T. :)

[hooley] 06/8/2003 15:40

If this business can turn in £1.25m before tax, clean of restructuring charges, which it did in the first half, and assuming the debt is largely cleared, then fully taxed eps come out at 0.7p. Valued at 15X eps the shares ought to reach 10p. Anything beyond that level would a bet on the prospects for margin improvement - which the recent restructuring should help the company to achieve.

[panagos] 06/8/2003 11:39

I think this bb will be busier when we are at 10p+.....

Debt is 6? Bank bebt?

[panagos] 06/8/2003 08:29

Yep

Will this 7p resistance hold for long?

[biomax] 06/8/2003 08:24

STRONG BUY!

[panagos] 06/8/2003 00:02

Why do you think double 6 still holds these?

[hooley] 05/8/2003 22:44

This business has always been undercapitalised and constrained by the banks. At present it is back to bind they had a decade ago. Escape came when the business taken on was profitable. The share price reached 140p, but once again they are in the lenders hands. In the first half operating profit were £0.66m , before restructuring costs of £0.41m. It's not that the company doesn't generate profit, it's a problem of being too reliant on the banks. The company has been here before and made it through - maybe it will repeat the trick. Worth a modest punt, even though the risks are high

[biomax] 05/8/2003 21:36

60 p is based on potentially achievable profit 1.5-3 mln,
which HPT did enjoy in the past

[garth] 05/8/2003 20:00

Biomax, 60p+ was on the back of Surepower excitement which in turn was against the backdrop of the US energy crisis. Surepower looks suspect (they haven't sold one in over 2 years of trying).

Highpoint are clearly a quality outfit but just don't have the capitalisation to be able to cope with defaulters on the massive contracts they are undertaking. They are victims of their own success. As I understand it, it is by no means certain that they will ever recover money owed. And if they do, it still doesn't cover all the debt - as I understand it.

But I say again - well done to the bold who have made money here. Don't be greedy though - skim the profits, IMHO.

The debt is £6m Panagos.

G.

[iantc] 05/8/2003 19:58

well the banks seem happy enough to renew for 2 months not the 1 month as they have done before ,they have a lot more facts about the company than us so happy to hold myself for a lot longer even though showing a healthy profit at the moment ,biomax i agree that there is a lot more upside to come but your 30p is a lot more realistic in the next 3/4 months

[biomax] 05/8/2003 19:07

Panagos,

60p coresponds to a resistance on charts

also, on fundamentals 60 p corresponds to
a market cap about 14 mln which is not outrageous
for a company with turnover 24 mln
(and potential for pre-tax profit 1,5-3 mln)

so my max target UP TO 60 p,
although 30 p is more probable,

but then again, risk going bust still remains,
dyor,etc

STRONG BUY!

[panagos] 05/8/2003 18:46

biomax i'll hold you to that

;-)

[panagos] 05/8/2003 18:46

btw how did you come up with 60p?

[biomax] 05/8/2003 18:44

if the loan is repaid by September and
the results are any good in November,
then HPT could hit as high as 60 p