Petards Share Discussion Threads

[rivaldo] 01/5/2015 12:18

Er....no more stock around? EDIT - hmmm :o))

[tiltonboy] 23/4/2015 15:46

I've seen it so many times before in the small cap space, where the house broker puts out a buy note, but supplies all the stock needed. The problem emanates from the placing they did 18 months ago, which I guess went to the "bucket shops". With an incredible amount of short-termism shown by others looking for a quick buck, I think it will take another buyer to the equivalent of Downing, to mop up the loose stock.

Would be nice to see the directors put their hands in their pockets as well.

[rivaldo] 23/4/2015 15:39

Don't be so miserable tilty, it'll finish at some point. Given PEG is such a micro-cap it shouldn't take long, especially with a little more news or a tip somewhere.

It's already ticked up on a mere 25k buy :o))

[tiltonboy] 23/4/2015 14:44

WHI are even worse, they are a constant seller!

[rivaldo] 23/4/2015 14:32

Lots hopefully :o))

[tiltonboy] 23/4/2015 14:31

....but how many will they buy for their clients!

[rivaldo] 23/4/2015 14:13

From Beaufort this morning:



"Petards Group (PEG.L, 11.50p) – Speculative Buy

Yesterday, Petards Group released its AGM statement highlighting the range of changes and developments in the company’s internal operations and customer relationships. The company’s long standing partnerships with the likes of Siemens Mobility, Bombardier Transportation and Hitachi Rail Europe, helped it bag additional contracts from the existing customers and some new ones as well. The company has obtained orders worth £3m after entering a five-year framework agreement with Siemens Mobility for the supply of Petards train related products and services. Moreover, the company expects supplementary retrofit work opportunities following the award of the new rail franchises. New opportunities may be expected from the Emergency Services segment despite its small scale of operations at present. The company has been trading in line with the expectations and the order book looks robust and includes the recent orders from Siemens and a major UK defence systems contractor totalling £2m.

Our view: The year gone by was a remarkable one as it marked the Petards’ return to profitability. The contract wins, customer acquisitions, tight control over administrative expenses, expanded product offerings, and technological innovation, together led to the overall growth of the company. With over 100% rise in orders from MOD, Siemens, Bombardier and Hyundai Rotem, we believe that the company is in a stronger position than ever before to bolster its prospects for more such contracts in the future. The UK rail operating franchise renewals are likely to more open new opportunities. Going forward, with a stable financial performance and some key contract wins in the past year, we remain hopeful of attractive shareholder returns. We retain a Speculative Buy. "

[tiltonboy] 22/4/2015 13:51

Can't see Woodford buying it, but you never know.

I reckon Peel's have still got a shedload on their books, and I would bet that there is still plenty of loose stock around that could be hoovered up to give somebody a decent stake. I just hope that the company isnt persuaded to have a fundraiser just to allow a buyer in.

All hypothetical, as they may not fancy it!

[ursus] 22/4/2015 13:46

Or might this be a suitable target for patient capital?

[tiltonboy] 22/4/2015 13:43

I wonder if Gervais Williams has PEG on the watchlist for his new Micro Cap fund!

[rivaldo] 22/4/2015 08:28

Indeed, it's perhaps a sign of PEG's confidence that the statement today is so long and full of enthusiasm - compare and contrast to the length of last year's statement!

Good to see that PEG are trading in line with expectations, order book is high and the Board are confident for the year etc.

Tradermel, the MOD £0.6m contract isn't to be sneezed at for a £4.7m m/cap company, but my main point was just being so impressed that little ol' PEG are at the forefront of the electronic countermeasures market and enmeshed with the best reference point customer out there.

[tradermel] 22/4/2015 07:32

Well a nice "steady as she goes" RNS today ... and yes Rivaldo for a small company £0.6 is of a noteworthy size

[tiltonboy] 20/4/2015 08:11

riv,

I agree, and added to my holding last week at 10.75p.

All well and good the likes of Beaufort and WHI putting out buy notes, but they dont seem to be putting their clients into the stock!

[rivaldo] 19/4/2015 23:57

I was most impressed with this week's contract win.

It proves up PEG's "market leading position in.....electronic countermeasures", which should be a moneyspinning sector to be in.

And it's a bit of a coup for a little £4.7m m/cap company to "provide test equipment for use on a UK Ministry of Defence ("MOD") programme". You couldn't ask for a better reference customer (other than the US Army).

Here's Beaufort Securities' summary:

[...]

"Petards Group (LON:PEG) 11.75p) – Speculative Buy

Yesterday, Petards Group informed that it has been awarded a £0.6m contract by a major UK defence systems contractor on behalf of the UK Ministry of Defence (MOD). The contract entails designing, manufacturing and supplying test equipment that would be a part of the Defensive Aids Suite system integration test rig. This rig would enable the customer to verify the electronic countermeasure configurations before they are installed on the aircraft. The expected delivery period for most of the equipment is H2 2015 while the entire project would be completed by 2016.

Our view: After securing a major contract from a prominent client such as the MOD, Petards has consolidated its position as a major provider of the electronic countermeasures in the market especially in this aspect. The test rig under the contract would enhance the MOD’s testing capability and bolster Petards’ prospects for more such contracts in the future.

While the company establishes its position in the market, the recent strength in the order book at £20m underpins the revenue growth that more than doubled to £13.5m in 2014. The company witnessed a rise of over 100% in orders from MOD, Siemens, Bombardier and Hyundai Rotem and swung to pre-tax profits of £620,000 in 2014, from a loss of £2.38m the year before. We maintain a Speculative Buy rating on the stock."

[tradermel] 14/4/2015 07:18

0.6 million contract win .... hmmmm

[tiltonboy] 10/4/2015 12:36

ursus,


lol...it wasn't one of my best investments, but thanks to the terms of the takeover, I have actually traded out of it far better than I could have imagined. Much of that was selling a good proportion of my holding on that spike up to 27p a time back. I have traded in and out of part of my holding a couple of times, but have been guilty of not sticking to my principals a couple of other times when I could have got out at 14p and back in at 11p...d'oh...

I really can't see the company gaining any real traction, unless it makes a complementary acquisition that takes the "lumpy" contracts out of the equation. In an ideal world they will either sell-out (I would take 17p) or they could be used as a "shell" bringing in vibrant new management (I would hold).

In this guise, I think they will trade between 10-14p, moving primarily on contract news, abd the occasional burst of ramping from new "pump and dump" merchants.

Of course I could well be wrong, but having been in Water Hall for over 10 years, I am not holding my breath!

[ursus] 10/4/2015 11:50

You seem to hate yrself for having invested here, tilton...

[tiltonboy] 10/4/2015 11:23

Noujay,

A number of issues that I believe contribute to the low rating:

1) Neither the company nor the current directors have got particularly good records.
2) With the exception of the new Institutional shareholder, the stock is generally in very loose hands
3) A broker that might put buy notes out, but does very little to support the price, and always seems to be a seller!
4) A lumpy order book coming from very few customers
5) No director buying at these levels that might give confidence

Could name a few more, but that will give you the gist.

[noujay] 10/4/2015 11:14

Seems odd to be deserting after it looks like the company has turned a corner. Presumably holders who have been in for a long while.Seems to me a very low market cap and I'm tempted to have a few at these prices (I used to hold but not currently).Any thoughts or comments as to why such a low market cap and inability to hold a better price. Current performance can't be it.

[tiltonboy] 08/4/2015 15:02

lol...looks like most on LSE have deserted the ship!

[rivaldo] 08/4/2015 14:25

Crikey....even PEG is up today :o))

[tiltonboy] 31/3/2015 15:17

About time their useless brokers did something as well.......

[tiltonboy] 31/3/2015 11:54

100k gone through below the bid. Could be back below 10p at this rate!

[steviebaby] 31/3/2015 11:09

No buying full-stop !
Which means this paltry selling can take the price down.
Not much over £4k sold and 5% taken off the market cap - ridiculous.

[tiltonboy] 31/3/2015 09:29

...and still no director buying. Hardly inspires confidence!