Morgan Sindall Share Discussion Threads

[jadeticl] 08/8/2011 16:08

Today's results are not bad (considering all that is going on around these results). If a hold in interim divi signifies a hold in final as well, then at 42p the divi is good at share purchase price of below 620p.

[ryandj2222] 08/8/2011 12:26

Tipped by the fool today!

[nellie1973] 06/7/2011 12:43

Tipped by press today:

Construction group Morgan Sindall, which issued an optimistic trading statement yesterday, operates across a range of sectors including infrastructure, social housing, fitting out completed developments and project management. It sits on a very undemanding valuation of just 7.7 times this year's forecast earnings, falling to 7.1 times next year. Management say they believe that 2011 will be their worst year, after which things should steadily pick up. If that is the case, these shares could look like a real bargain in 12 months' time. Buy, says the Independent.

[theoldcodger] 06/7/2011 11:35

Hi jadeticl

RBS are forecasting a held divi (12p/30p = 42p total) for the current and also next financial year, with a 43.5p payout the year after that.

A good solid company, which a healthy yield, I'm happy to accumulate on down days as a long term holding.

Good luck
TOC

[jadeticl] 05/7/2011 16:41

What are the forecasts for dividends this year, anyone? Is anyone out there?

[wallywoo] 30/6/2011 13:04

Agreed deadly, just picked up another few for my ISA. Nice solid company with improving outlook, nice divi, cash rich and relatively cheap share price

With the pre-close trading statement due next week and results in early August this feels like a good time to buy.

[deadly] 30/6/2011 11:36

This has got to be undervalued now. Forward P/E 7.9 yield 6.6%.
From the statement 5th May:

The Group has made a positive start to the year and is on track to meet its expectations for this year. Our cash position remains strong and the Group's forward order book has increased slightly since the start of the year.

Overall, the Group's forward order book has increased since the start of the year from £3.6bn to £3.8bn and Group's development pipeline has increased by £350m to £1.8bn. The financial position of the Group remains strong, with average cash for the year to date increasing slightly over the level achieved for the comparable period in 2010 and is above the average level expected for the year.

[piedro] 15/3/2011 10:47

Compendium Living, a joint venture of Lovell and housing association Riverside, has been chosen to deliver the £100m Castleward Urban Village scheme in Derby.

[piedro] 04/3/2011 10:39

Contractor Morgan Sindall is pulling out of piling. It has begun talks with the 40 or so employees of its piling division about possible redundancies or redeployment ... ...

[alter ego] 25/2/2011 11:41

that's a very nice contract if they confirm it.

[piedro] 25/2/2011 10:52

Morgan Sindall has been selected as preferred developer for a £450m regeneration scheme in Southampton docks.

The Royal Pier Waterfront regeneration is situated between the Eastern and Western Docks, next to the main operational areas of the Port of Southampton.
The 20-year scheme could potentially include a major mixed-use development with leisure and tourism, specialist retail, boat facilities and residential and office accommodation. It will also provide better public access to the waterfront, an extended park and an improved site for the Southampton International Boat Show.

[spob] 23/2/2011 03:50

Plenty of work for Morgan Sindall



Created:22 February 2011Written by:Jonas Crosland

Investors Chronicle

Morgan Sindall had a busy year integrating its construction and infrastructure services operations into one division. It also acquired service and maintenance group Powerminster Gleeson and a number of contracts from the now defunct Connaught. Despite that, three of the divisions increased operating profits and the total group forward order book grew 13 per cent to £3.6bn.

The affordable housing division grew profits 8 per cent to £16.1m and the operating margin there rose from 4 per cent to 4.2 per cent. The unit's order book grew from £1.3bn to £1.5bn - thanks to fresh work secured through the Connaught acquisitions - and further work is expected to come through as the group's response maintenance capability is expanded. Meanwhile, office fit-out saw turnover jump 43 per cent to £415m and profits rise to £14.8m, although strong competition as a result of fewer offices to fit out meant that the operating margin fell from 4.7 to 3.6 per cent. But margins improved on the construction and infrastructure side, and the order book there grew 21 per cent to £2bn, although operating profit did fall slightly.

Numis Securities expects adjusted pre-tax profit for 2011 of £45m, giving EPS of 79.8p (from £51.3m and 91.9p in 2010).


MORGAN SINDALL (MGNS)
ORD PRICE: 710p MARKET VALUE: £307m
TOUCH: 710-714p 12-MONTH HIGH: 784p LOW: 480p
DIVIDEND YIELD: 5.9% PE RATIO: 10
NET ASSET VALUE: 514p* NET CASH: £149m



Year to 31 Dec Turnover (£bn) Pre-tax profit (£m) Earnings per share (p) Dividend per share (p)
2006 1.50 47.6 78.2 28
2007 2.11 57.6 93.8 38
2008 2.55 62.3 106.0 42
2009 2.21 44.7 77.9 42
2010 2.10 40.7 70.5 42
% change -5 -9 -9 -
Ex-div: 20 Apr

Payment: 16 May

*Includes intangible assets of £230m, or 532p a share



Guide to the terms used in IC results tables.

More analysis of company results


--------------------------------------------------------------------------------

IC VIEW:
GoodValueMorgan Sindall boasts a diverse revenue stream and a strong balance sheet. Margin pressures are likely to remain in fit-out and construction but, with a tasty yield and a forward PE ratio of just nine, the shares remain attractive. Good value.

Last IC view: Good value, 679p, 29 Oct 2010

[piedro] 16/2/2011 16:31

Morgan Sindall has been awarded a £26.2m to build the Maurice Wohl Clinical Neuroscience Institute for King's College London.

[jadeticl] 09/2/2011 13:03

Results on 22nd Feb. No correction to Statement of 15th Dec so should be good results in this climate.

[jadeticl] 05/2/2011 17:48

No answer deadly. An update would be most welcome. I have done well out of this company so £7 is OK by me. Maybe I should have cashed in when the Connaught news was announced but I did not. Could have bought back much cheaper.

[piedro] 04/2/2011 10:43

It all adds up ...

[piedro] 25/11/2010 13:27

Lovell awarded social housing regeneration schemes valued in excess of £30m

[gopher] 23/11/2010 17:49

It would not be in the Governments interest to squeeze Serco and Capita like Tesco do their suppliers (i.e. recent Serco letter). The question is around PE ratings - they are higher than warranted.

With Rok and Connaught gone the remaining players in this sector should be able to expand margins eventually. Social housing is a necessity now people arte priced out of mortgages.

[jadeticl] 22/11/2010 12:26

kibes, after your question (effectively how do we know that MGNS will not go the same way as Connaught) I have taken the trouble to re-examine the last few years reports, including the good years and then 2008, 2009 then H1 2010. To me they look solid enough. Cash balances and free cash flow look sound. The recent progress in some areas of the business is slow or stagnent, but in others it is showing up well. All told I am happy that this company has weathered the present crisis, and, if we are climbing out of this recession, then I expect MGNS to prosper. If there is an about turn and the economy dives I cannot predict how any company will suffer!

[kibes] 19/11/2010 18:21

alter ego - yes people thought that about Connaught as well. Some writers on the Connaught board were saying it was the safest investment in their portfolio! However, I haven't done any research on CPI, but have noticed that the chart has just taken a very nasty hit suggesting serious trouble brewing. People are worried about cuts in government expenditure. I made the same point on the Connaught board in April and was just laughed at. Keep laughing by all means!

[alter ego] 19/11/2010 15:30

kibes, If I were you I would change my advisers if they reckon CPI are going bust - ROTFLMAO