Ncc Share Discussion Threads

[igoe104] 13/12/2016 15:31

yes very good to see, £334k is no drop in the ocean. they must be confident of turning the corner.

[rivaldo] 13/12/2016 14:45

The CEO and Chairman have bought £334,000 of stock at 191p. Encouraging indeed.

Investors can now buy at somewhat below the price paid by the directors.

[simon gordon] 13/12/2016 13:46

Dow Jones Newswires - 13/12/16:

1038 GMT NCC Group PLC shares are down 7.4% at 190p after detailing lower profit expectations due to project cancellations, adding to the much heavier losses sustained in October when it first announced the cancellations. That said, overall trading remains solid, say analysts at Jefferies, who note that the company is continuing to hire staff having "taken the view that missing market estimates is more palatable thancompromising its ability to retain top talent amidst layoffs." Keeps its buy rating but cuts its target to 270p from 320p.

[ilovefrogs] 13/12/2016 13:42

I see Cotton has just purchased £250k of shares. Not the be-all and end-all of course, but an encouraging sign nonetheless!

[ilovefrogs] 13/12/2016 12:48

Having just had one tech holding (E2V) bought out for a 50% premium by a US competitor yesterday, I do wonder whether NCC might make a juicy little morsel for one of it's larger stateside cousins....? Still a decent entry price if not IMO, bot worth thinking about.

[aishah] 13/12/2016 12:47

TechMarketView:

Profit under pressure at NCC Group

In October, cyber security and risk mitigation provider NCC Group warned that its bottom line would take a hit following the loss of three contracts and problems with a significant renewal but at that point management was unable to quantify the impact. Now it can and has warned that adjusted EBITDA will be below expectations for the full year. It is now guiding for adjusted EBITDA growth of a maximum of 5% (£45.5m-£;45.7m).

The three cancelled projects were in the Assurance Division and would have delivered approximately £14m-£18m of revenue in the full year. Two of them called for specialist work so would have delivered “a considerably higher margin than for normal consultancy assignments”, which is why the bottom line is being hit despite Assurance delivering 42% revenue growth in H1 (although this was down on the 57% growth of the year ago period). Organic growth was 21% against 17% in the year ago H1 period. The deferral was also in Assurance. Escrow Division revenue was up 35%, compared to 7% in the year ago period.

NCC has been having a difficult time. It took a £13.7m write-off on the Domain Services business and integration of the high assurance part of the Fox-IT acquisition appears to be going slowly due to the complex nature of the work. Management says there are no structural problems within Assurance however and its long term outlook is unchanged. With security and assurance high priorities for enterprises, the prospects so remain promising.

The company did undertake a significant pivot into cyber security and will be on a learning curve, while management’s attention will also be focused on the expanded direction and integrating acquisitions. H2 will be be a tricky time

[rivaldo] 13/12/2016 11:03

Peel Hunt have reduced their price target to 245p (from 330p), which is fair enough.

Once NCC show they're back on track I'd expect price targets to be increased sharpish.

If NCC doesn't fall prey to a takeover bid first.

[markth] 13/12/2016 09:25

yes eddy it's bounced 10% since I bought it earlier this morning.

[eddyeagle1979] 13/12/2016 09:18

Disconnect between the short term sentiment and the long term fundamentals here IMO...

[markth] 13/12/2016 09:17

It says "The long-term outlook for our Assurance business is unchanged" and "Excluding the effects of the recent acquisitions, organic growth was 21%".

[tsmith2] 13/12/2016 09:13

Actually v encouraged by detailed update.Let's. See what analyst put out after call

[tsmith2] 13/12/2016 08:59

Agree. Excellent buying opp. Prone to a bid

[markth] 13/12/2016 08:54

This (cyber) is a consolidating market. At this price a non-sterling overseas buyer might get interested. If not, the share price fall is overdone anyway given that the actual impact of the contract cancellations on EBIT is minimal. Stock is now trading at half what it was eight weeks ago...

[markth] 13/12/2016 08:46

maytrees the normal market size for this share is only 1,500.

[ilovefrogs] 13/12/2016 08:44

Just my opinion of course, but this signals a good buying opportunity here. We now have some visibility for the year, and whilst down 10% versus previous expectations,earnings are still due to rise. Top line growth remains robust and 10x ebitda represents value for a leading company this sector. Clearly risk is heightened, but you don't get opportunities without uncertainty. I will be buying more this morning. GLA

[markth] 13/12/2016 08:42

I've bought at 203p and again today at 175p. Should bounce back a bit by the close - they've been marked down twice on the same bit of bad news.

[seans66] 13/12/2016 08:37

I have used this opportunity to increase my holding. There is much to like about this company if you are long term holder.

[9degrees] 13/12/2016 08:35

listen guys the market makers know how to make money . They have shot the price and know that Pi's will panic and sell out and others will therefore buy and MM's make money all ways round . This is a very good company and the price will soon rebound . IMHO

[ingroid] 13/12/2016 08:34

Ingroidmasurenguy thank you re holders how can one subscribe or get into this system. Just bought initial holding under 176

[igoe104] 13/12/2016 08:28

Here come the pumpers and dumpers ?

[blueball] 13/12/2016 08:26

I think they could fall to 150p in the next 3 months.

[igoe104] 13/12/2016 08:21

I`m sure most holders would have taken that trading statement, the pipeline looks strong. a good recovery play over the next 12 months.

[miti 1000] 13/12/2016 08:15

Melody,
Tech stocks that warn again deserve to get hammered despite the first warning and it has. Hope it stabilizes for you.