Kainos Share Discussion Threads

[sunshine today] 27/5/2022 09:03

TRD, same sector, tiny market cap, reported yesterday.

Profit growth 69%

Dividend doubled.

Not in the same league as KAINOS, but PE a third of sector.

Good luck here.

[roguetraderuk] 27/5/2022 08:41

profits down margins down, expected due to pull fwd and inflation, but the reaction to the results pointed to fact that st mkt was oversold and due a bounce. can they follow the mkt lower one more time after a bounce. sure, but for now mkt seems done with tech selling which includes saas and crm in particular. if they can hold the gains for the week then mkt might drag these a bit higher next week too.

[franco321] 27/5/2022 08:24

Yes Monty, you got it wrong. The dividend for 22 is planned at 22.2p. The dividend for 21 was 28.2p, BUT the 21 dividend includes special bonus one time dividend of 6.7p. This was granted because the 2020 dividend was cancelled due to fears of covid. However after good performance though the covid times, the board decided to give a special dividend in 21 in lieu of the cancelled 2020 one.
Obviously there is no special bonus dividend this year so this might appear as a cut, but in fact if you substract that 6.7 special dividend last year the figures are: last year dividend - 21.5p, this year dividend 22.2, which is 3.3% UP.

It's all explained in the results. You guys need to understand the data in the context not just look at the raw figures.

[montyhedge] 24/5/2022 18:49

Looking at figures, have I got this wrong dividend cut 21%.

[mrbeaky] 24/5/2022 08:43

Bit of a rollercoaster ride this!

[xtomo] 23/5/2022 13:03

Everyone is entitled to their view on the figures, personally speaking I'm very happy the way things are going and my recent purchase is looking good. However, tech is generally on a downward spiral so I've sold half of my holding just now and will reconsider other options in the next few days. Good luck to all whatever your opinions.

[por997] 23/5/2022 11:50

Sorry good call ?

[por997] 23/5/2022 11:50

Could call my friend!

[mrbeaky] 23/5/2022 10:44

Well said and interpreted

[ali47fish] 23/5/2022 09:52

franko next update get up earlier and post

[franco321] 23/5/2022 09:20

What do you mean figures were not brilliant?! They are brilliant! Revenue 29% up! Profit not so much, but you do realise, that profit calculations include mupltiple aquisitions that costed money right? Was a once time investment that will only bring more revenue in the future. Also the outlook looks great. You guys need to learn to understand data more if you are surprised by the marked reaction. Also, the number of emplooyes?! over 30% up?! That only means rapid growth. Maybe even too rapid.

[montyhedge] 23/5/2022 08:20

I'm amazed shareprice reaction figures we're not brilliant. Must be bear closing.

[ali47fish] 23/5/2022 08:11

sp reacts poistively- i am relieved

[fuji99] 23/5/2022 07:49

Muted results with dropping profit due to lower margins but importantly guidance on future outlook missing. Let's see how the market will digest the results.

[montyhedge] 19/5/2022 12:06

Looks like your target may be right.Tech so out of favour.

[por997] 17/5/2022 14:06

Exactly 69 days ago I mentioned £10 it's weird the bounce form this price and not on the monthly FIB. If 10 breaks next buy at 804p. £10 was just the psychological number rather than any technical analysis.

[sunshine today] 17/5/2022 13:28

Hats off to you both, a very quick recovery !!

[por997] 16/5/2022 12:33

Just topped up myself!

[xtomo] 16/5/2022 10:52

My money is on Kainos. Bought in earlier and up already. If brokers were so good they'd all be retired now after having successfully invested in their "well researched" promotions.

[sunshine today] 16/5/2022 09:18

My money is on tiny TRD ( Triad Group Plc ), to outperform by a massive amount within this sector.

PE half the sector average and can grow 100% , 75% , 50% over the next 3 years in my opinion.

25% of the share price is cash

Premium listed

Staff numbers doubled over the last 18 months

Most of all the U.K. government is pushing SME”S to win 33% of all U.K. govt contracts .

TRD are one of just 25 companies to win both lot 1 and lot 2 on framework agreement RM6263.

£4BN spend over the next two years.

To put in prospective KAINOS are also one of the 25 but are at a large disadvantage not being an SME.

[mrbeaky] 16/5/2022 09:10

We don’t know of any bumps in the road yet - last trading update was positive. Might as well hold now anyway, 40% down

[montyhedge] 16/5/2022 09:02

Cut to Hold we all know that's another word for sell.That's the trouble very high p.e stocks any bumps in the the road, they get hit.

[johnsoho] 16/5/2022 08:53

Given their recent trading update, which I’ve cut and pasted below, I think this share price write down is, in my view, well overdone…̷0;I’m expecting large bounce back when they release their results.

RNS Number : 4954I

Kainos Group plc

19 April 2022

19 April 2022

Kainos Group plc

("Kainos" or "the Company")

Trading Update

Kainos Group plc (KNOS), a leading IT provider, operating across two specialist business areas, Digital Services and its Workday Practice, today issues a trading update for the year ended 31 March 2022.

Trading in the period continued to be very strong across both business areas as new and existing clients maintained or increased their levels of investment in digital solutions. As a result, for the full year ending 31 March 2022, the Board expects revenue and adjusted profit to be in line with current consensus forecasts.

Against a backdrop of strong market demand in the UK, our experienced Digital Services teams continue to deliver major transformation programmes to new and existing clients across the Public, Commercial and Healthcare sectors. Our international engagements continue to grow in scale, with positive progress in both Europe and Canada.

In the fast-growing Workday services market, our Workday Practice continues to benefit from our well-established global presence. This has been enhanced through the year with the expertise of our new colleagues who joined via the acquisitions of Cloudator (55 people, Europe), Une Consulting (42 people, Argentina), Blackline Group (50 people, USA) and Planalyse (6 people, Netherlands).

Our Smart Product Suite for Workday has maintained its very strong growth trajectory. Smart Test, our automated testing platform for Workday, continues to expand its international client base, signing a record number of new clients during the year. Smart Audit, launched in August 2021, has already established a strong cohort of customers, from our existing client base as well as securing new clients.

Our performance has been underpinned by our long-term customer relationships, and we remain extremely grateful to our customers for the trust that they have placed in Kainos to help them deliver their ambitious digital projects.

Our success is generated by our people, who continue to excel in delivering high-impact solutions to our customers. Despite the increased global demand for digital talent, we continue to retain, develop and attract high quality people; we now have 2,692 colleagues based in over twenty countries (31 March 2021: 2,024 people), an increase of 33% on the prior year.

Looking ahead, our robust pipeline, strong balance sheet and significant contracted backlog underpin our confidence in our outlook. As a result, we believe that we are well-positioned for further growth and remain confident in our strategy.

The announcement of our results for the full year ended 31 March 2022 will be

[mrbeaky] 16/5/2022 08:47

Berenberg cuts Kainos Group to 'hold' (buy) - price target 1,200 (2,100) pence

Big cut

[roguetraderuk] 16/5/2022 08:39

yes this crm area seems to have had a lot of pull forward, the risk is a soft year for the sector. might have to fill that july gap before you can take a look at these. salesforce reports this week, they are going to guide lower so the reaction to that needs to be watched.