Orchard Funding Share Discussion Threads

[battlebus2] 20/7/2023 19:53

I see where you are coming from but in my experience it can pay to wait if the company is well managed like I believe this one is but each to their own circumstances. I bought these with a ten year view with a chance of M&A at some point.

[gbcol] 20/7/2023 19:39

Except with this stock there is a reason for the low valuation - nobody knows what is going on in the company because Ravi can’t be bothered or doesn’t want to tell us because he sees it as his own personal plaything.

People go on about the dividend but it’s only a half decent yield because the share price performance has been so appalling. A year ago it was over 60p, 6 months ago it was 50p+, so a 3p dividend is hardly a reason for dancing in the streets with the share price where it is.

I’m 20% down on my holding. I put that squarely down to poor (zero) communication from the company. I agree share price should/could easily be 50p+ but what is going to shift it if nobody knows what is going on? The next RNS could easily be the final results in December judging by last year- although even last year we got a trading update early June that they haven’t bothered with this year.

Good luck if you want to sit here in the dark and hope for the best but I reckon I’ve got a considerably better chance of recouping my 20% loss elsewhere.

[battlebus2] 20/7/2023 18:26

Like a lot of stocks out there there seems no reason for the lowly valuation. ORCH is just another and when markets recover so will we. The dividend is a great cushion while we wait.

[konradpuss] 19/7/2023 20:04

If Ravi wants a banking license in the medium term then a listing might well help.

If he wants rid of us lot then he will have to go private and the offer would be at a higher price than 42p.

In the interim enjoy the dividend.

[davidosh] 19/7/2023 17:52

Why don't we request a meeting with Ravi so we can air our views? We probably have over 10% of the company so could even add resolutions to the agenda for the next Agm (which hopefully will not be on Christmas Eve again)

I think he needs to see that we also own the company and want a change in the communication and information coming from the company. Maybe we should try to appoint a non exec director. It is not quite so easy to ignore requests then.

Is it just Ravi that wanted the listing as it really does not seem to benefit anyone else as not growing by using it

[gbcol] 19/7/2023 13:57

Patience is one thing, and I’ve got plenty of it, but just sitting on a share for years hoping that things will turn is another, especially when you have a CEO that clearly has no interest in shareholders and engaging with them. This may well recover a bit at some point but I wouldn’t bet much on it recovering significantly.

Look at the chart, there cannot be a single shareholder that is in profit on their shareholding (unless you only happened to buy on the handful of days in March/April when share price was even lower).

Anyway, pointless going on about it, I made a mistake investing in this, for me it’s just a case of damage limitation or when I bite the bullet and move on.

Good luck to those that want to stick it out.

[cowie19] 19/7/2023 13:41

Patience is a virtue people. I guess there is not much of that going. I am happy to hold.

[gbcol] 19/7/2023 09:41

Here’s another projection- 0.25% on interest rates in August then that will be it (which would be at least one rise too many although knowing BofE they may well overshoot with another 0.25% after that), then we’ll get a few months with no move, then cuts starting early 2024.

I’m trying to lock in savings rates at >6% now cos they won’t be around for long. Shame I’ve got money tied up in this dog, going nowhere, but that’s life.

[konradpuss] 19/7/2023 09:07

GB, humm! I like your optimism about no recession or a shallow one.

I will eat my hat if there is not a deep recession starting fourth quarter this year.
There has been no bankruptcies for many years. With increased interest rates the zombies will have to be liquidated.

I might be wrong.

[gbcol] 19/7/2023 08:44

I’m only holding as I think it can get back to 46p anytime which would do me - previously I thought it might pop to 50p so missed the chance to get out in a month or two back (edit I keep lowering my expectations/target but it still manages to underperform them).

Banks will always be unloved now, too easy a target, I have reduced my Lloyds holding over last year or when it has risen to acceptable levels. I originally got this as a bit of diversity but it hasn’t worked out so prepared to move on.

BTW I doubt there actually will be a recession. If there is it will be very shallow and short lived. More likely extended period of stagnation.

[konradpuss] 19/7/2023 08:15

GB, my instinct is to hold on as these folk will do well in the coming recession.

Would I add? Basically they are an unregulated bank. I really don't like the economics of banks.

[gbcol] 19/7/2023 07:56

Totally pointless this being listed. It’s just run by Ravi as a private company for the benefit of him and his family. They have no interest in engaging with shareholders as they see them as irrelevant.

I regret getting involved here. I’m well down and will get out should there be any sort of uptick but may cut my losses sooner as this isn’t going anywhere anytime soon IMO, regardless of whether in theory it is undervalued or not. Yes there is a divi but not sufficient to have money tied up here.

[cwa1] 19/7/2023 07:37

Has ORCH been suspended when I wasn't paying attention?! It seems unable to break free from these price levels no matter what the market does :-(

Are full results really the next thing we have to look forward to news wise?

[konradpuss] 23/6/2023 11:15

Thank you CWA1.

[cwa1] 23/6/2023 10:52

IG Index and iDealing do DMA. Though, obviously, ORCH are not available for DMA :-)

[konradpuss] 23/6/2023 10:47

Rainmaker, if you still are here, a question.

You have previously recommended brokers who provide 'direct market access'. I am planning on trying to get this.

Interactive Broker seems to offer this. Do you use them?

[cwa1] 23/6/2023 07:14

If nothing else the dividend is a very satisfactory feature. Nice to see it in the account this morning

[battlebus2] 20/6/2023 21:06

🤣 as long as it takes 👍

[galles] 20/6/2023 18:17

Me neither as I'll have to find places to invest, but I get more communications from Evraz and it's been delisted! It's my manic depressive self getting downright negative about this. Need an update and need a positive update fast :)

[battlebus2] 20/6/2023 17:52

I’d hope not. Preferably it stays a listed Co. The value will be realised at some point.

[galles] 20/6/2023 16:26

If it drops any lower, I would question why Ravi thinks it is worthwhile keeping this company listed. Hardly any investor engagement, tiny market cap, and it must cost £200-300k a year to keep this listed. He and his family are already majority shareholder. Take it private

[battlebus2] 20/6/2023 11:33

6.8p for 23 and 6.6p for 24.

[davidosh] 20/6/2023 11:11

If no trading update then one has to assume the company is in line with forecasts although it would be better to update and say that to give some confidence whilst the share price is falling.

What is the eps expectation?

[battlebus2] 20/6/2023 10:40

Broker has sales of 8.1 million with PBT of 1.9 million for 23 and leaves those forecasts similar for 24 but says there’s potential for upside to this. Interest rates rising might knock those slightly but if revenues increase more quickly then it’s even cheaper than the 81p NAV