Ig Design Share Discussion Threads

[netcurtains] 01/3/2022 07:37

JFTM: The directors and family are doing what I am doing HOLDING. I would be concerned if any director or family sell at these levels but there are no sells.

On friday this share had a MACD BUY (eg some key technical signals stated buy). The fact that this share is pretty steady while there is a war going on shows loads.

[justiceforthemany] 28/2/2022 22:00

Has anyone contacted Investor Relations? Where are those Director buys?
Hedlund founding family also not adding here it seems

[netcurtains] 28/2/2022 10:44

WST and BH: Agreed, in fact using Friday's MACD this is a BUY.

[wall street trader] 25/2/2022 12:49

it's certainly a waiting game at this level let's hope it can regain some ground in the next year - Im hanging on for a few years as am not over exposed and can wait

[blackhorse23] 25/2/2022 10:55

Best stock in LSE

[netcurtains] 24/2/2022 14:37

darrin1471: I dont think blackhorse was ramping, he was stating his opinion. It "is" a dividend share (eg they have a history of paying dividends).
Share prices can often recover before the company. Thus for example, if the market sees transport costs reducing or similar companies growing this will be fed across to IGR.
If there was a "right way" to invest then everyone would be doing it and we'll all be millionaires.
Unless you're a self-made multi-millionaire in penny shares I would say your opinion is as good as blackhorse.
For me I think IGR is a STRONG HOLD.
For Blackhorse its a DOUBLE UP from time to time.
For you IGR is a STRONG WATCH (eg you're watching closely - I can tell).

[darrin1471] 24/2/2022 13:59

IGR is worth more than their share price currently suggests.
Those who bought IGR as a growth share have lost out. Some will have sold or be selling as it no longer matches their investment criteria as a growth share in the short term. Some will wait for fair value. Buyers wanting to buy a recovery share can afford to wait until new management is installed unless they want a big stake.

My position is that there is likely to be more bad news before good news and therefore a lower entry price. If I had bought earlier and was sitting on a loss then my emotional strategy would be to hold, where as my logical strategy should be to sell and buy back at a lower price.

Experience has shown me that on these boards you can find information that adds to your knowledge. Time 2 retire used to work for IGR and posted here that Gideon Schlessinger had left on 07/02/2022. I did not see that information anywhere else until IGR announced it on 21/02/2022

NAV is one indicator of long term value but it is not an indication of where the share price is heading over the next 6 months. I think IGR used to trade well below its NAV for many years when it had higher levels of debt.

Ramping claims of high growth, high dividends and a brokers price target of 550 is not going to move the IGR price but in may sucker in a very inexperienced investor reading this board.

There is information and opinions out there that if shared can help us all to make better investment decisions.

[netcurtains] 24/2/2022 12:51

darrin1471: I cant see anything fundamentally wrong with a target of £5.50 a share. It depends on what ASSETS the company have.

On their books their NAV is about £3 a share..... So I personally have a target of £3 a share (Eg its worth its assets).

"if" its worth more than its assets (like a "normal" company) Then £5 a share seems fair.

I have no idea if it will reach £3 a share or what time frame, but risk:reward ratio (3 to 1) seems fair - especially at this current price. I mean there is no talk of it going bust soooooooo.... worth a SOLID HOLD until further info is available

[darrin1471] 24/2/2022 11:39

Who's got a price target of 550 and when did they give that price target or last adjust it?

[blackhorse23] 24/2/2022 10:34

Excellent value to buy , brokers target price 550p

[netcurtains] 24/2/2022 09:37

So really whats good for this stock is if the pound goes down against the dollar.... Thats probably too simplisitic as there are so many variables.
I'm more than happy to HOLD to see how story unfolds.

[darrin1471] 24/2/2022 09:05

Revenue in $
Market cap in £
exchange rate 1:1.35

26/01/2022
revenue "up 12% like-for-like on the prior year"
"FY22 adjusted operating profit to reduce to a breakeven position"
"no final dividend payment"

[blackhorse23] 23/2/2022 23:48

Revenue 1B , m cap 89m , dividend stocks & high growth ...

[blackhorse23] 23/2/2022 23:46

Best stock to buy

[netcurtains] 23/2/2022 20:05

Thanks darrin1471, that's a better explanation.

[darrin1471] 23/2/2022 19:58

IGR have little if any spare cash to fund any M&A.

Trading update 26/01/2022 "current expected year end net cash position is forecast to be around $40 million."

Full year results 15/06/2021 "finishing the year with $76.5 million net cash balance and zero average leverage which leaves us well positioned to pursue further growth opportunities." (FY20: $52.4 million).

So strong cash generation of $26.5m has turned into cash burn of $36.5m

15/06/2021 share price £5.86 Outlook: Growth Plan targets driving revenues beyond $1.5 billion c.30% organic growth, balance from M&A

No cash generation = no cash for M&A
No timescale was given to the growth plan in the full year results, but without M&A, growth is cut from 50% to 15%.

IGR appear to have enough working capital to fund organic growth of 15%. If things go well IGR may be generating enough cash and have a strong enough share price to return to M&A in 18 months.

[netcurtains] 23/2/2022 16:34

HOLD:

A correction to what darrin1471 said "it has no cash".

In the accounts, IGR has 96m cash so not sure where that phrase "has no cash" is coming from.

IGRs assets are also THREE TIMES its liabilities - In fact, IGR's NAV is three times its current share price - eg if they were to sell the company as a going concern its possible that they would get 300% more than the current price and that would be a "fire sale".:




Valuation:
Simply Wall Street says fair value is about £8.50p a share:

[darrin1471] 23/2/2022 16:28

High growth through acquisition which took IGR to £8 will have to be put on the back burner until IGR sorts out the CSS business. IGR have no cash, a weak share price and will find it more difficult to fund growth through acquisition.
No profits = no dividend.
Profile of the company has changed from a growth share to a recovery share so the profile of those holding the share is also likely to change.
CSS looked like a struggling business with a 5 year falling share price until IGR bought it. There may be lots of skeletons in the stockroom. Those involved in buying CSS have sold their shares at £5 plus and are now leaving the company.
The CSS purchase still makes sense. IGR design capabilities with CSS ranges and customers.
New management will want to get rid of the skeletons and get in some nice options at a low price. So I would now expect write offs and at least another profits downgrade before the IGR share price turns the corner.
Founding family are unlikely to want to sell at such a depressed price if they can see a 3 to 5 year turn around plan.

[blackhorse23] 23/2/2022 08:21

Excellent opportunity to buy, high growth , high dividend & good value.. 500p company target SP

[netcurtains] 22/2/2022 15:11

They aren't seling any either - sooooo.... Perhaps they dont know either.

[justiceforthemany] 22/2/2022 14:12

Surprised founding family are not adding to their stake here.

[blackhorse23] 22/2/2022 11:10

It's a good stock

[netcurtains] 22/2/2022 11:06

I tend to agree, but its a very slow burner. Needs a bit of positive news to get this going ....

[blackhorse23] 22/2/2022 11:04

Bought some excellent value

[grantley] 22/2/2022 09:01

The impression was that issues were mainly post covid related to shipping costs and delays so short term but this is a longer term decision re Fineman. He seems to have done well over the years taking the share price up 20 fold to £8.00 at one stage but the Chairman Stuart Galliland and UK/International CEO Lance Burn both seem to have good experience. This has been a big lesson for me holding all the way up to £8 and still when Fineman sold all his shares - from my largest profit in a share to a loss having bought a load more at £5 when was on the up.