Paypoint Share Discussion Threads

[linton5] 05/11/2019 09:35

Thanks guys

[linton5] 05/11/2019 08:12

Still canna buy under 9 come on guys a wee bit more

[woodhawk] 04/11/2019 16:20

GabsterX, decided to join you with a little nibble myself.

[linton5] 04/11/2019 15:02

Definitely but I’m wanting an 8 on front as I’m greedy gabster

[gabsterx] 04/11/2019 14:52

Just added 220 shares today at 906p, way undervalued at these levels IMO

[linton5] 04/11/2019 14:32

Come on down keep coming baby

[sturmey] 23/10/2019 11:39

Regarding the Woodford shares, look at the RNS of Oct 18th which shows that Link now own over 6% of the shares. I believe these are all or part of the Woodford holdings. If Link is winding down the Woodford Income fund, these shares may be still overhanging the market.

I am a holder and don't want to be negative but Woodford is still an issue.

[gabsterx] 23/10/2019 08:44

Interesting analysis on Paypoint, exactly a year old but most the data is still relevant.



It shows that Woodford was the major shareholder with 13.7M shares, now 0.

[trident5] 22/10/2019 20:44

He's no longer in a position to do so.

[gswredland] 22/10/2019 20:24

Wonder if Woodford has off loaded the lot yet?

[gabsterx] 22/10/2019 12:22

Well, just bought in for 270 shares at today's price. Seems undervalued as DCF gives about 13.5 GBP assuming almost 0 growth, nice divi for the next 2 years as well.

[gabsterx] 21/10/2019 15:58

You're right coops, I was mixing up 80M with 80p per share, total dividends paid was 56M which is only slightly more than the FCF of 50M. Might start a small position in PAY this week.

[crazycoops] 21/10/2019 14:45

FCF is 70p + per share, divi (incl special) is forecast for 84p per share. Once surplus cash returned, they will scale back the divi - no need for debt. I really dislike companies that over leverage in order to pay a high divi - I don't think that applies here.

[gabsterx] 21/10/2019 05:51

They mentioned the special divi programme will continue until December 2021. So paying about 80M in dividends from a FCF of 50M would put them around 60 M in debt after 2 years unless they can significantly boost their cash from operations.

[crazycoops] 20/10/2019 14:06

Why will it force them to start borrowing? Once the surplus cash is returned the divi will revert to being covered by earnings/FCF. The reason for the lowly valuation is a lack of growth - whether they can find much remains to be seen and of course, there is the concern of how the move to a cashless society will affect their business. I hold for the divi but whether I stick around for the long-term depends on how the company evolves.

[gabsterx] 20/10/2019 12:13

Looking for an established stable company to park my money in long term after selling off all of my tumultuous GFRD. I ran a quick screen in Sharepad for:

- 10 year+ dividend growth
- Yield over 4%
- Dividend cover > 2
- FCF dividend cover > 2

PAY met all the criteria (except for cover because of special divs) and as an added bonus is completely debt free which is a rarity these days. What I like about the company based on my preliminary research and annual report scanning:

- No debt
- Strong EBIT margins
- Dividend growth, shareholder oriented
- Fair valuation based on conservative DCF gives about 1400p, big margin of safety
- Big yield

Concerns I have is that the dividend has not been covered by free cash flow for the past 2 years and is eating into the cash reserves of the company. Not sure why they are paying so much in special divis when it's not covered.

Also revenue has been flatish for the past 10 years, didn't go into too much details yet but what is the reason? They currently operate in the UK and Romania, not sure if they have any expansion plans beyond that.

Any input from long term holders welcome :)

EDIT: Ok, had a quick look at the 2016 and 17 reports and understood the special divis are part of the return of surplus cash of GBP 125 M over 5 years. Still seems like a lot if it will force them to start borrowing and start paying interest.

[cordwainer] 10/10/2019 16:36

still tempted but i might try run a screen before i take the plunge here.

[trident5] 10/10/2019 16:17

Slow growth maybe, but modest income - where are you getting better?

[cordwainer] 10/10/2019 15:55

slow growth with modest income, imho.

[linton5] 09/10/2019 14:21

Now on my radar getting juicy

[rolo7] 08/10/2019 22:30

9% of shares woodford holds may take a while.

[cordwainer] 07/10/2019 16:12

Is there still too much of a overhang to buy in yet ?

[linton5] 04/10/2019 11:29

Woodford eeeking out his holding slowly I see

[runthejoules] 26/9/2019 07:28

Rns: PayPoint plc
(“PayPointR21; or the “Company”;)


Temporary Leadership Change

PayPoint today announces that its Chief Executive, Patrick Headon, is taking a temporary leave of absence from the Company to receive treatment for a medical condition. Patrick is currently expected to be on leave for approximately three months. The Company’s Chairman, Nick Wiles, has agreed to act as Executive Chairman to support the Executive team during this period.

There are no further disclosures required for the purposes of Listing Rules 9.6.11 and 9.6.13.

Get well soon Patrick.

If this drops I may pick up more.

[hsduk101] 30/8/2019 07:50

Where is this heading. 2 weeks ago it jumped to 1100 now its got passed a resistance band of 900. This looks bad for this company