Michelmersh Brick Share Discussion Threads

[jhan66] 21/10/2016 17:34

Less than 41% voted to leave.

[my retirement fund] 21/10/2016 16:02

Patronising ? More than half the country voted to leave, by process of fekking common sense then that's more than half the readers and posters on ADVFN !!!

[my retirement fund] 21/10/2016 13:37

To enlighten the ignorant. Since the banking crash our debt has ballooned from 500bn to 1.5trn and if you care to switch the news on today you'll see its still rising as this year's spending has just been published.

What does it matter? Since we are no longer paralleling the largest trading and monetary union on the planet, we can no longer set our interest rate policies with those of other major developed economies, especially the reserve currency majors such as the dollar, euro or yen.

Why? because we still need to remain solvent and to continue to borrow otherwise our economy stops dead. How? By making sure we pay off existing debt maturing by ensuring new debt gets successfully issued to do so by ensuring its attractive. There is really one single policy to do this, increase interest rates on the debt offered whilst providing some credibility it may get repaid by raising taxes and cutting spending.

[my retirement fund] 21/10/2016 13:29

You lot voted to leave the EU. Are you all that thick? Surely some of you have some basic economic knowledge and have been following events since 2008 ?

[amoore70] 21/10/2016 13:11

Why do interest rates have to rise? I totally disagree, I think interest rates are years off having to rise.

[renixus1] 21/10/2016 12:45

..likely they will let inflation outrun interest rates letting things run hot for a while (so effectively pays to borrow) but could all be disastrous or great depending on how its done, who knows? One things for sure lots of moving variables means high risk and big discounts. Ideal conditions for making money in the markets.

[my retirement fund] 21/10/2016 12:28

Interest rates will have to rise here in the UK, so private housebuilding will be squeezed and so will margins. At the same time having bottomed at the start of the year the largest input cost for MBA are set to rise substantially.

[anley] 21/10/2016 11:20

This is what interests me from the statement this morning............

"Due to the above events, the Board has revised its financial expectations for the current year and believes revenue and profit will be at or around a similar level to that report for the full year 2015. The Board is pleased to report that the Group's order book remains strong, 5 per cent. ahead of that at the half year and cost savings have been identified that help to mitigate the effect of negative market trends. The operational issues at the Michelmersh site reported at the half year have also been addressed and the site is moving back to full operational capacity.

Cash flow is also strong and the Group expects to meet or exceed the Board's previous cash expectations at the year end".

At 40p I would be willing to buy the business if I were 25 years younger....which I am not but quality bricks will always earn good money and the big shareholder I am sure is waiting.

[warranty] 21/10/2016 11:10

Too early for me yet. I like the company but like MRF I see this going down further before it recovers, probably sub 40p. There's no sign of a pick up in their markets so I wouldn't anticipate a floor for the share price just yet.

[anley] 21/10/2016 09:56

and I have bought this morning at 53p because I am buying "assets at a discount" and those assets are attractive.

[trewinney] 21/10/2016 09:29

A possible target at this price.They have solid assets

[my retirement fund] 21/10/2016 08:44

Can see this headed to fresh multi year lows certainly likely test of 40p first. As a fellow private investor all I can say to everyone is sorry for your losses and hope you manage to gain them back on your other investments.

[anley] 08/10/2016 10:48

Bought at the close...........

[my retirement fund] 07/10/2016 12:15

I'll wait for 55p then reassess myself.

[anley] 07/10/2016 10:30

Need another 1p off the price and then I will buy again..........looking at their land bank.....interesting as an ex land buyer.

[my retirement fund] 04/10/2016 13:44

me too, i shop at lidle.

[anley] 04/10/2016 13:29

I am not surprised but I bought in at 67p this morning and will continue to carry on if it falls further.

I do like assets at a discount............

[my retirement fund] 04/10/2016 12:24

headed down

[anley] 22/9/2016 10:38

A small quoted company with a capacity to produce about 70 million quality bricks per annum via 5 quality market leading brands.
This compares with ONE Ibstock brick plant that is able to produce 100 million bricks per annum.

So you have quality V quanity................

MBH came to the market about 4 years ago and had two share placings which enabled it to acquire more volume and all that goes with expansion but since then the shares have doubled and a small dividend payment has now started. Not very exciting...........

However, what is more interesting is the shareholder list:

Directors with 36%
Hosking with 22%
Institutional with 7% and the balance of say 55%+ as free float.
The total number of shares in issue are 81,234,656 so in some ways a difficult stock to buy blocks and that is why, if there should be, a stalker the price could suddenly jump........that is my view having had some experience in take-overs.

At 70p the company has a value of some £56m so that is worth bearing in mind as the shares have been as high as 85p which would value the business at some £68m.

It looks to me that Hosking is the clue. Who are they and why did they buy into this company? There stake must have been built up by other large shareholders selling out of a small listed business. This has left Schroders with 4% who may well back the management if a take-over came about. Charles Stanley on the other hand may well be acting for a client who wants to keep the name out of the lime light be can see potential for making money on an asset play.

So where can MBH go - expand or be bought out.........I think bought out and their brands folded in to a bigger business such as Ibstock with their transport and marketing might..........we shall see but I am a buyer on any slip in price and I don't think for one moment that any purches I make will move the market.

[anley] 21/9/2016 15:47

I bought more this morning and on any slip I will buy more.

I spent last night looking at all the reports and who has been shareholders and just as soon as I have got my notes in order will post my findings........stand by.

[amoore70] 20/9/2016 16:20

Yes was surprised by these comments too. I thought there was a lack of bricks rather than an oversupply.