Holders Technology Share Discussion Threads

[cjohn] 09/1/2014 11:51

Arthur's making the point that the current assets are of "low quality" i.e. it's nearly all inventory - not much cash. This makes the current assset position less atrractive to asset players like me.

[donemyhomework2] 06/1/2014 11:29

Well they have £3m in inventories and sales in the year of £15m.This translates to less than two and a half months.I can't see the basis of saying that this is too high.

[arthur_lame_stocks] 02/1/2014 20:26

I had a quick look at these and what puts me off them as a net current asset play is that they have so much in inventory. I doubt this is worth anything like book value in a fire sale so the discount to assets does not strike me as that attractive.

This coupled with the permanently marginal profitability means this is not an attractive investment to me.

Just my 2p worth.

Arthur

[donemyhomework2] 02/1/2014 06:15

We were due an update last month. Let's hope we get it soon and it's positive.

[diku] 31/12/2013 17:51

This is showing signs of life...

[cjohn] 09/12/2013 11:07

Hi Liarspoker,

Of course, the discount to current assets is terribly tempting, but there are still some better opportunities out there. So I'm still passing at the current price.

I don't see that there's a cyclical element to the poor trading. And then there's the risk it's taken private. That's not always a complete disaster - I agree with you on this, I think? - but it does tend to cut down on exit strategies.


All best regards.

CJohn

[donemyhomework2] 29/11/2013 07:38

We should be due a trading update soon.

[liarspoker] 17/10/2013 11:31

Yep, markets are higher so fewer opportunties CJohn.

I tried to buy a few more HDT a week or two ago but there's not much stock around at the current price. I was quoted well over 70p for my trade.

I still like HDT as a part of a diversified net-net portfolio.

[cjohn] 17/10/2013 10:25

Well, I stayed on the sidelines - in spite of HDT's net-net status. And here we are 8 months after my last post and after an outstanding period for the sort of asset-rich stocks I invest in - several in my portfolio ( I have about ten different companies in total) have bagged or doublébagged - and HDT has gone nowhere.

Why? Plenty of current assets, but not much cash and not generating any at the operational level and unlikely to given its troubled markets. The dividend, which is nothing to write home about, is uncovered by operational cash flow. Things here could go pear-shaped quickly.

On the other hand, there are many fewer decent asset-plays around than when I commented 8 months ago.......

[donemyhomework2] 27/7/2013 08:52

How do you see that? Clearly they refer to growth in 2014 which is 6 months away !!M

[diku] 26/7/2013 19:56

Think there is a disguised profits warning but trying to offset that with the news of cost cutting by bringing admins of both business into one....

[donemyhomework2] 26/7/2013 09:36

Even if it was a £1 ; its still a massive discount to the share price

[jeremyd] 26/7/2013 08:26

TNAV would seem to be 125p per share

[donemyhomework2] 26/7/2013 08:11

They look slightly better than expected and dividend coming soon!!

Interesting to see how much the net assets per share are!!

[donemyhomework2] 11/7/2013 17:43

Are we expecting half year results next week?

[liarspoker] 03/5/2013 07:52

Let's hope these options vest fully at 127p or over. :O)

[donemyhomework2] 17/3/2013 17:00

Good find Sammi.

[sammy_smith] 15/3/2013 12:16

Listen to the Group FD giving a company update, click the link to listen.

[donemyhomework2] 15/3/2013 08:28

I suppose you can buy 2k at a time!!!!

[britishb] 15/3/2013 08:24

Looks to be entirely the wrong price assuming they bring home the anticipated improvement this year. Shame you can't buy any!

[liarspoker] 15/3/2013 07:22

Broadly in line with my expectations.

20p per share cash and no debt. Nice!

[donemyhomework2] 15/3/2013 07:21

Actually better than I thought !!!! Margins improved and LED up 27 per cent ( be it from a lower base) and 1p dividend.

[liarspoker] 14/3/2013 22:37

Well we will find out about that tomorrow morning Donemyhomework2. :O)

[donemyhomework2] 12/3/2013 07:15

Agreed liars poker and so long as the dividends continue its a very good play.

[liarspoker] 08/3/2013 12:48

Yes CJohn but it's a classic net net and even trading at discounted inventory (by 50%) and receivables (by 25%) plus cash less all liabilities.

In my experience such valuations do not last too long.

HDT was actually included in my last free Email

(see here: )

and I might include it as a small segment of my next newsletter though I am tempted to add more myself (for obvious reasons I can't cover the stock for a while if I buy myself).