Micro Focus Share Discussion Threads

[volsung] 09/5/2017 14:33

Cheers monty. They've grown harder every year I've been in this game.

[montyhedge] 09/5/2017 13:44

volsung
Well done, you must have balls of steel.

[csmwssk12hu] 09/5/2017 13:28

I'm not in here but I have to say that is a great comeback from this mornings lows, also in fairness they knew revenue was declining when they bought it gla to the Bulls imho dyor

[volsung] 09/5/2017 13:22

Not every day you get a 12% discount on a FTSE100 share. Not a bad morning all in all.

[montyhedge] 09/5/2017 13:17

Just checked on shortracker, looks like the shorts have closed.
Wow, look at the volume over 3m traded already.

[ringer12] 09/5/2017 12:27

Is the remains of the Autonomy takeover fiasco included in the HPE software division!

[montyhedge] 09/5/2017 09:11

Those hedgies who took short positions recently spot on.

[montyhedge] 09/5/2017 09:09

Oh I said priced to perfection and it was. High pe companies cannot afford any slip ups.

[volsung] 09/5/2017 08:43

Doubled my holding. This is an opportunity not to be missed.

[volsung] 09/5/2017 08:24

Ffs. Not the best news. Oh well. In for the long haul now.

[sogoesit] 09/5/2017 08:22

10% off for the 10% HPES sales decline.
RoC up $100million.

[steeplejack] 09/5/2017 08:15

When the last line of the Executive Chairman's statement contains the word 'disappointing",you can expect a rough ride!

[umitw] 09/5/2017 08:10

Wow, what's happened here? Here is your £2 special divi..!

[ade45] 09/5/2017 08:08

Amazon are not "going" into cloud, they are the cloud.

[steeplejack] 09/5/2017 08:06

Oops....called that right MontyH.

[steeplejack] 08/5/2017 15:11

Amazon are a very well managed company.Healthy returns will necessarily draw competition,that's the way things work in a capitalist society.

[montyhedge] 08/5/2017 14:17

steeplejack
Any thoughts on Amazon they are going into cloud in a big way.

[steeplejack] 08/5/2017 13:31

Ah the figures are in dollars!...well presuming they are in cents that takes us to a PE of around 25 for the year to April 17 on those consensus numbers employing an xrate of 1-30.Bit shy of that 45 multiple.

This is one of those companies with fully diluted,diluted,basic and basic adjusted earnings that can lead to big disparities in analyst forecasts.Just as well I'm more focused on the cash generation here than PEs then!Looking at reported basic eps on the website,I reckon the prospective multiple is in the 30s.The 45 multiple is calculated on basic eps of 75.4 cents to the year end April 2016.....but yes I can see where the 45 PE comes from and now find the Barclays forecasts need explanation.

A historic multiple of 45 is as high and as unappealing as one can get to.I suspect that suits your book Monty H.Yet,looking at all the adjustments that can be made and indeed can be calculated and taking into account excellent cash flow from operations,you can come up with much more attractive data.I've never slept easy with tech stocks since they started banging on about EBITDA a couple of decades back!

[montyhedge] 08/5/2017 12:49

I know this probable is a silly question. Amazon who are going into cloud in a big way, could they take any of Micro Focus and HP's slice of the cake ?

[montyhedge] 08/5/2017 12:25

On Shortracker, I see another fund shorting Micro Focus, Starboard Value LP position 0.68%, that along with OZ management mean 1.30% of shares being shorted.

[montyhedge] 08/5/2017 12:19

Thats dollars, every analyst I have seen says around p.e 45, even Advfn say p.e 45.
I think you and Sogosit must be living in dreamland or miss calculated.

[steeplejack] 08/5/2017 11:55

ForecastsYear Ending Profit (m) EPS P/E PEG EPS Grth. Div Yield30-Apr-17 323.11 140.68 18.8 1.0 +19.52% 70.88 2.7%30-Apr-18 331.81 144.47 18.3 6.8 +2.70% 72.64 2.8%30-Apr-19 389.55 169.61 15.6As an observation,newspaper PE ratios are never reliable.Looking at a consensus of broker forecasts for the year to end April 2017 (as given on the Barclays broker website)they are around 18.8

[montyhedge] 07/5/2017 15:32

The Sunday Times said p.e 45 at the moment. Sogosit so you think that's good value.

[sogoesit] 06/5/2017 06:10

A strange remark given you referred me only to 4-traders.com
But the corollary, that ALL the analysts' forecasts are right, would be acceptable in your mind?
Even stranger then for a purported trader not to understand arbitrage and its existence.

[montyhedge] 05/5/2017 09:48

Yes all the analysts must be wrong and you must be right.My view priced to perfection.