Iomart Share Discussion Threads

[soundbuy] 01/11/2017 07:48

Peel Hunt raise

Iomart Group PLC IOM Peel Hunt Buy 354.75 354.75 Old PT 388.00 New PT 405.00 Reiterates

[petewy] 28/10/2017 12:42

Anyone know of a site that gives daily brokers forecast (free.) puhlease.

[aishah] 25/10/2017 08:05

iomart Group plc (AIM:IOM), the cloud computing company, expects to report half yearly results for the six months ended 30 September 2017 on Tuesday, 5 December 2017.

[top tips] 23/10/2017 09:18

Growth and now a dividend!!!!

[aishah] 15/10/2017 11:17

Latest Techinvest says continue to buy.

[rivaldo] 12/10/2017 09:11

Indeed Mas :o)) My entry here's been unusually well timed! Hopefully a lot more still to come.

[masurenguy] 12/10/2017 08:16

The rise continues - fancy seeing you here Riv :-)

[rivaldo] 11/10/2017 12:19

Nice surge to new highs.

[gargoyle2] 10/10/2017 21:16

Ditto, thanks.

[robow] 10/10/2017 12:33

thanks SoundBuy

[soundbuy] 10/10/2017 12:15

Excellent summary from Panmure (above) of Iomart's attractions...............

[soundbuy] 10/10/2017 12:10

Panmure (HT FT AV)

While iomart’s share price is roughly where it was in 2013, it has since then
doubled revenue and profits through a combination of organic growth and bolt-on
acquisitions. Including potential future acquisitions (not in forecasts), we think it
should maintain mid-teens growth in revenue and EBITDA consistent with the past
few years making the shares attractively priced at 9.4x FY’18 EBITDA. This
compares to other UK Technology midcaps at 16.0x on the same expectation of 15%
EBITDA growth p.a. We initiate with a buy rating and price target of 430p.
 Competitive threats overblown: Our checks in the industry confirm that iomart has
an established role to play in the cloud computing market segment, which has
recently been dominated by hyperscale public cloud vendors Amazon (AWS), Microsoft
(Azure) and Google (GCP). This is echoed by public cloud provider’s offerings in the
marketplace which are more tailored to larger companies.
 Share price roughly the same despite the company doubling in size: Despite the
share price being only slightly higher than it was four years ago, iomart has doubled
revenue and profits (both pre-and-post tax) and seems to have settled into a
consistent level of high single digit organic growth, complemented by acquisitions.



 High quality revenue and a potential acquisition target: While we think iomart could
grow faster if it wanted to, it only takes business where it can add the most value
which thereby keeps its margins high. Now that the company is tipping the £100m
mark in revenue, we think it could become more attractive to a private equity buyer.
 Increasing asset efficiency and cash generation: Since FY’14A, the amount of capex it
spends has been decreasing as a portion of revenue as it gets more out of its datacentre
assets with a focus on higher quality revenue and has also produced increases in free
cash flow.
 Compelling valuation: With 90%+ recurring revenue, c40% EBITDA margins, expected
growth in the mid-teens, a 7.5% maintenance FCF yield and a 2.0% dividend yield we
think iomart's shares are attractively valued at 9.4x EBITDA. Our initial price target of
430p equates to 12x FY’18 EV/EBITDA and is supported by discounted cash flow
analysis and a comparable company analysis. Our valuation does not include the
value of potential future acquisitions and we therefore feel it is conservative.

[soundbuy] 10/10/2017 12:07

N+1 (HT FT AV)

recent note on update

'iomart issued a positive pre-close trading update indicating it continues to perform well and is trading in-line with expectations. We are making no changes to our forecasts. The group indicated that it intends to pay a maiden interim dividend this financial year. We recently upgraded iomart to a Buy as we believe its 8.8x Mar’18 EV/EBITDA under values its revenue growth (20% CAGR last 5 years), profitability (EBITDA CAGR of 22% and PBT margins of 24-26%) and cash flow generation (over last 5 years, average operating cash conversion of 97%). Today’s update shows continued solid execution and we re-iterate our positive stance with a 388p TP.'

[soundbuy] 10/10/2017 09:40

Twitter

Panmure Gordon & Co‏ @PanmureGordon 30m30 minutes ago

.@iomart has outgrown its valuation & deserves a re-rating, writes our #Tech analyst, Peter McNally, in an initiation note today $IOM #cloud

Wouldn't mind a butchers......

[rivaldo] 10/10/2017 08:48

Panmure Gordon have today initiated coverage of IOM with a Buy and a 430p target....

[soundbuy] 06/10/2017 09:17

GLASGOW, Scotland, October 6, 2017 /PRNewswire/ --

iomart company Cristie Data has won a five year contract with Stone King LLP to help the national law firm transform the way it protects its data.


Cristie Data will provide Disaster Recovery as a Service (DRaaS) and managed cloud backup to Stone King, enabling the specialist law firm to provide a continuous and high level of service to its valued clients.

[soundbuy] 06/10/2017 08:53

Few yrs here too - top 3 holding..

Finncap reads well.......

[rivaldo] 06/10/2017 08:45

Nice one nurdin. Good to see others doing long-term investing :o))

The Naked Trader bought more IOM per last night's report, so could see some more buying interest here from his followers:

"What's not to love about Iomart? (IOM).

It just gradually goes up and made me a packet. And after this week's trading statement I struggle for a reason not to buy more. I couldn't find one.

This cloud computing outfit does everything right. The growth keeps coming and its recent acquisition is bedding in well. To reward shareholders the company has nearly doubled the dividend.

It says cash generation is high. And it has been bid for before, now I think we would be looking at 450p!"

[nurdin] 05/10/2017 13:50

High Riv..just checked my trading history here

My first purchase was on 14/12/09 at 45.7p

-sold the lot on 1 june 2011 @88.25p

-bought back half on 22 june 2011 @102p...and have held them since.

So not quite 8 years but near enough on my original purchase.

[robow] 05/10/2017 13:40

I've been here for a good while too. First bought at 187p

[rivaldo] 04/10/2017 23:17

New highs now.

No probs nurdin. Great to see long-term investing paying off - what did you first buy at if you don't mind me asking?

[nurdin] 04/10/2017 12:15

Cheers Riv...a great write up there by Finncap. Have held IOM for more than 8 years and it has served me extremely well in that time.Think I will add more now that the landscape for their business is changing quite radically now imo

[rivaldo] 04/10/2017 12:03

FYI this is what Finncap had to say after the trading update - "unfathomably cheap", with a 400p target:

"Interim trading update – on track

iomart has once again reiterated the high levels of visibility in the model with a trading update for the interim period to 30 September, confirming performance is in line with expectations. As ever, continuing operations are boosted by appropriate acquisitions to fill in territorial or skill set gaps in the model with the May acquisition of Dediserve, while the underlying business remains predictably strong – the level of recurring revenue (85%+) meaning differences from expectations are only ever low single digit % if at all. The dividend is now to be split between interim and final payments, otherwise there are no changes to expectations in a tightly managed consensus range.

As a champion of hybrid cloud delivery, all scales of business from SME to enterprise are now moving elements of operations to a mix of private and public cloud, and iomart has positioned itself excellently in a market of relentless demand where reputation and scale of service delivery are vital.

Target 400p reiterated, the stock being unfathomably cheap despite its standout quality, with a free cash flow yield of 4.9% rising to 6.9%, and EV/EBITDA of only 8.3x – despite the best adjusted PBT margins in the sector."

[farhorizons] 29/9/2017 12:17

I have been a long-term fan and this faith is now fully justified.

[apfindley] 29/9/2017 11:14

Looking good here finally. BLU is also turning upwards right now...!!!! Trades piling in. Great news and more to come..