Oakdene Homes Share Discussion Threads

[spaceparallax] 27/6/2007 13:50

Certainly dipping badly today, although I'm only seeing C.36K traded at the moment and not all of those Sells.

[edmondj] 27/6/2007 12:30

Huntsman needs a stiff drink this lunchtime, if geared with a CFD!

[slapdash] 27/6/2007 12:22

in my view company only has itself to blame.... poor investor relations and lack of updates..

also gives the impression of being one person's fiefdom....

disappointed they raised cash too...

anyway, is under the cosh at the moment but should perform when doubts over interest rates/housing disappear

so this could be a buying opportunity but it depends how sentiment on a July rate rise plays out and how mortgage applications respond...

I have made a bad buy as it was the wrong time... the time to buy is when interest rates are going down..

I get we always get some wrong.... it is how we handle them....

Slapper

[spaceparallax] 27/6/2007 10:36

Yes, drifting a little; however, we have quite a few support levels close by.

[slapdash] 26/6/2007 16:38

tad weak... what... Slapper

[spaceparallax] 25/6/2007 10:52

Slap,

I'm with you on things coming right - we've seen before that OKD is a share that undergoes big corrections sporadically, rather than consistent growth month on month.

Huntsman,

I'm not into CFDs or spreadbetting - it's medium to long term investment that I'm into. It is rather ironic however, that the out and out gambling side escapes taxation.

[the huntsman] 23/6/2007 18:05

I do not understand the logic in making comparisons between Oakdene & Barratts.

The three big differences between the two companies as follows:

1. Oakdene is small company quoted on AIM with ability to grow in size significantly. Howeverer, Barratts is quoted on FTSE 100 and in terms of size is very large whichs brings limitations for Barratts to expand at same growth rate as Oakdene.

2. Oakdene is in niche market focusing in south-east where demand for property is very high which compensates for any rises in interest rates. However, Barratts does not solely concerntrate in 'highly lucrative' south-east sector which leaves itself more open to increases in interest rates.

3. More significantly the third point centres on Oakdene's broker forecasts for year ending 2007 of 67% increase in earnings per share and 89% increase in pre-tax profit compared with Barratts 3% increase in earnings per share and 8% increase in pre-tax profit.

From these three points I belive Oakdene will achieve high levels of success and look forward to prelims in May 2008.

The Huntsman.

[slapdash] 22/6/2007 23:25

barratts on a forward p/e of 7 so sector under the cosh..

1/4 a point rise in July won't destroy anything in my view....

current price of Oakdene and Barratts implies large housing falls... but that won't happen in the South East given Supply Demand imbalance...

market is edgy so needs reassurance from each results....

Oakdene has results Sept then March next year.... so I expect it to move up on each results...

Or alternatively will move with confidence/lack of on interest rate cycle and mortagage borrowing..

In my view this is a classic market disconnect... in the South East there is such demand prices just won't fall much if they do at all...

Look at New York in the states - such is the demand due to prosperity that prices aren't falling.....

So this is fighting against sentiment and market worries.... fundamentals will pull through in the end it is just a matter of timing...

Slapper

[edmondj] 22/6/2007 21:19

OK for holding but certainly not margin trading.

The rise in interest rates has dented confidence overall, towards house builders, so the shares seem riskier for short to medium-term trading. On a 2 to 3-year investment view, however, unless incomes fall in a recession it should be possible for Oakdene to exact value from the South East market.

Sober (currently) but I compliment you on your viticultural taste!

[the huntsman] 22/6/2007 21:03

O.K. lets start the debate on CFD's.

Would you feel safe buying Oakdene on margin, especially at these prices.

I certainly feel Oakdene is a very safe bet for CFD trading.

Any opinions most welcome.

Regards,

The Huntsman.

[spaceparallax] 22/6/2007 13:16

I have noticed that, in fact that was the case when I first read the relevant RNS.

[ffedup] 22/6/2007 11:19

Space: I agree. Have you noticed that the £ sign sometimes shows up as #. I think that it is something to do with a U.S. keyboard.

[spaceparallax] 22/6/2007 10:45

And it doesn't help when they needlessly place a 'p' after the £2.00.

[ffedup] 22/6/2007 08:18

Huntsman: yes you are right. I am wrong, I realy did think it was 2p! All is well then because the directors must be confident that the share price will be a lot higher in 2 years.My trouble is I deal far too much in penny shares.

[the huntsman] 21/6/2007 20:20

Come on gentlemen, let's be serious now.



Oakdene Homes PLC - Director Shareholding
Article text may be cut off to the right
Click to view article in a new windowRNS Number:6892Y
Oakdene Homes PLC
20 June 2007


Oakdene Homes plc

('the Company')

Grant of Options

The Company announces that it has granted in aggregate 440,000 options to
subscribe for ordinary shares of 0.1p each in the capital of the Company to the
following Directors pursuant to the Company's unapproved Share Option Scheme.

Unapproved Options

Name of Amount Exercise Date of Exercisable
Director Price Grant from:

Carl Turpin 240,000 Options £2.00p 19 June 2007 19 June 2009

Robert Boot 100,000 Options £2.00p 19 June 2007 19 June 2009

Ronald Fender 100,000 Options £2.00p 19 June 2007 19 June 2009

www.oakdene-homes.co.uk

For further information

[spaceparallax] 21/6/2007 16:28

Ah, but is it 2p or £2?

[ffedup] 21/6/2007 16:24

This is what holds the share price down. In two years time the directors will pay 2p each for 440,000 shares, and are then able to sell in the market. We have just been diluted.

[spaceparallax] 20/6/2007 11:46

And I thought the thread had gone quiet.

Huntsman,

Edj has been around here for quite a while and has generally been well-informed in the past.

On the matter of PER, I tend to agree that the sector does normally operate on modest values - however, OKD has shown and continues to show particularly good growth potential, plus the chance of a handsome buyout. This probably justifies an additional premium.

I'm pretty much anticipating a hike to just beyond £3 within a year.

Presumably this morning's RNS means that options will be exercised at £2 rather than 2p!

[the huntsman] 19/6/2007 22:39

EdmondJ - p.s.- I am indeed drinking a fine bottle of Brouilly 'cru du beaujolais' by Pierre Ponnelle. It is indeed a fine vintage in true Oakdene style.

The Huntsman.

[the huntsman] 19/6/2007 22:28

Come on EdmondJ, take a look at the situation.

Oakdene Homes as I am sure you are well aware is a company that is in a hurry to expand. It is indeed very ambitious.

The recent purchase in Southampton will net OKD £100 mil. in next 4 years. This is a strong indicator to me of boards intent not forgetting further purchases on the way.

Let's have a look at brokers forecast again for year ending 2007.

Turnover = £65 mil.
Pre-Tax Profit = £14 mil.
Earnings per Share (EPS) = 26.9

Even using last prelim P/E of 12 for next year will give us £3.22 using forecasted EPS of 26.9. As I have mentioned before, P/E is governed upon market confidence and increased turnover which indeed Oakdene will achieve according to broker forecasts which I may add have proved accurate in the past!

The Huntsman.

[edmondj] 19/6/2007 22:09

So, are the shares riding high on hopes?

We shall see!

[the huntsman] 19/6/2007 22:05

Edmondj - You quote - ' Moreover can anyone recall anytime when house builders have traded on double digit P/E's?'

Well Edmondj, take a look at Oakdene Homes, I think you will discover current P/E is indeed double digits. I think that answers your question!

The Huntsman.

[edmondj] 19/6/2007 21:38

Just look at any in Compamy REFS:

Barratt: 8.54
Persimmon: 8.85

Cite and I can quote!

Moreover can anyone recall anytime when house builders have traded on double digit P/E's?

[the huntsman] 19/6/2007 21:36

Edmondj - Where do you get average P/E of 8 for housebuilder?