Orchard Funding Share Discussion Threads

[97peter] 02/12/2022 19:20

Ok, Davidosh I will chat with Ravi next week as I do some Cyber consulting for Orchard, plus I have quite a few shares in the company! GLA, DYIR, plus yes this is a good steady company!

[davidosh] 02/12/2022 18:43

97peter....Not just for current holders but a much wider presentation to serious investors (not traders) who may appreciate this type of safe hands, steady dividend paying company.

I can arrange it for our Christmas Mello show in ten days time and hundreds watch that. There are quite a few Mello regulars on here so it makes sense.

[97peter] 02/12/2022 17:41

Topvest, Belfry and others. I will have a call with Ravi next week and will broach the subject of an investors call and questions, market place type session for early January 2023. Watch this space and an RNS. I will keep you all informed!

[belfry17] 02/12/2022 17:32

They are a great company in terms of having trust in the business and the owners to run a good business, but I agree that the communications with investors is a bit pants.

[topvest] 02/12/2022 16:47

They need to make some effort with shareholders. An investor presentation is well overdue.

[gbcol] 01/12/2022 16:59

Personally I regret investing here. Currently about 10% down which is irritating but not significant, particularly with the dividends reducing that.

I came across Orchard by buying their 6.25% bonds which seems like a better decision.

Decent results today but it’s still bouncing around at all time lows so not sure what is going to get the share price moving up in the short to medium term. Currently I’m planning to lock in the next divi and then move on, hopefully share price will edge up a bit in coming weeks but not banking on it.

[topvest] 01/12/2022 16:09

I paid about £1 a share unfortunately, so well underwater. Its not a great share, as it requires too much capital. It's undervalued though, agreed.

[97peter] 01/12/2022 15:53

Topvest I don’t know what price you bought in? But even at 65 or 70p, you are not losing with the great divi’s paid for a share at average 55p!!!! Better than most FTSE100 and been paid at 3p for the last 4 years!
Onwards and upwards is the only place Orch are going, they are a great share and company!!

[galles] 01/12/2022 15:12

Decent enough set of results although I expected more considering their last update was rather bullish. 3p dividend is very welcoming

[davidosh] 01/12/2022 13:29

Does Ravi ever do a presentation so we can ask questions? Happy to host one on our Mello Monday show if anyone in contact

[topvest] 01/12/2022 12:25

Its a loss making holding for me unfortunately. Only a small holding though... thankfully. I don't average down on losers. Happy just to hold and await a better exit picking up the 3p per year.

[jonwig] 01/12/2022 12:25

The only real problem with a merger is Ravi Takhar with 11,458,333 shares, 53.66%. It's his say-so.

[97peter] 01/12/2022 11:13

Top east, I don’t know how many shares you hold, but if you ad been topping up with share price at 47 and 48p. Plus re-investing divis? Then the 3p a share for a 50p share is as good as Aviva, SSE, United utilities etc.
yes we would all like them to get to 75p a share, plus maybe a takeover, or for the LENDXP SaaS to be adopted and serviced to other big players in this arena??
This share is a steady edy in anybody’s portfolio and a hidden gem!

[topvest] 01/12/2022 10:37

I am still holding. It's been a disappointing investment for me. They have struggled to create sufficient growth. Not a bad business, but needs to grow or sell up. Fair value is probably closer to £1 at present, but not much of a trigger to get there unless it is acquired.

[cwa1] 01/12/2022 10:24

I think that's worth re-posting as a "clickable" link to assist the(people like me) indolent and lazy ;-)

[jonwig] 01/12/2022 08:50

Will do, thank you.

[valuewinsout] 01/12/2022 08:37

jonwig: Close Brothers is listed and part of the FTSE 250: premium finance is part fo their business, and Premium Credit Ltd is a private company, where premium finance is almost all of their business. If you want to know more about Orchard Funding Group, check out my write up at hxxps://realworthstocks.com/orchard-funding-group-a-premium-finance-lender-at-69-of-net-current-asset-value/

[battlebus2] 01/12/2022 07:48

End game could be a tie up with a major. Until then 6% dividend.

[jonwig] 01/12/2022 07:36

bb2 - thank you.

Yes, they do look pretty good - I wasn't aware of broker expectations. The retail bond might be good, too, 6.25% to 06/27.

[battlebus2] 01/12/2022 07:30

Close bros and Premium credit. Great results though slightly below targets. Tighter market means broker has cut its target to 64p from 81p. I’m happy to stay with them.

[jonwig] 01/12/2022 07:19

Here are the results. I'll let others judge them, as I don't know the company well enough:



They say, "We operate in a very competitive market, dominated by two very large and aggressive financial institutions."
Who are these, please? Provident, maybe?

[gbcol] 29/11/2022 09:25

They don’t seem too keen on releasing the results or indeed communicating with their shareholders. Very nearly 6 months since last RNS telling us year end results would be +25% uplift on prior expectations. Personally I like a bit more info coming out of companies I invest in. Hopefully results when they finally bother to release them will get the share price moving up again but as a fairly new shareholder here I’m not too impressed to date.

[belfry17] 24/11/2022 13:19

Same. A bit more volume today. Based on what time they usually publish the results and if they come this week, that leaves tomorrow morning ?

[galles] 24/11/2022 08:36

I thought it'd be first thing this morning but still nothing from them

[florence141414] 23/11/2022 17:38

You could even argue more than 65p. I see no reason that this should trade below it’s NTAV of about 17m. There is good reason for most second tier lenders to trade at a significant discount to NTAV which is because you are always at risk of large impairments. Orchard is different, they have miniscule impairments relative to their loan book because of the small size of the individual loans but also because of the way the loans are structured. If someone stops paying their car insurance, Orchard receive the remaining loan back from the car insurance company which means they don’t have to chase the private individual that is in arrears. I could potentially understand the valuation if we were making tiny returns but you’re getting the security on top of a 6.5% dividend yield and probably more like a 15-20% earnings yield (we shall find this out soon enough!)