Polypipe Share Discussion Threads

[eggbaconandbubble] 19/4/2018 06:35

Mention in Telegraph today apparently.

Cut and paste anyone?

[keyno] 13/4/2018 10:55

PLP a "buy" again - @381p - in IC today.

[mfhmfh] 04/4/2018 12:15

bought in here earlier today. GLA.

[soundbuy] 04/4/2018 08:02

Substantial buys........reassuring..........

[soundbuy] 20/3/2018 07:27

Steady as she goes, on first glance.......(never gonna set the markets alight)....

[lucicavi] 07/3/2018 16:22

Perfect bidder for LUCE

[soundbuy] 07/3/2018 15:01

Cheers.......

[robow] 07/3/2018 10:14

and a very quiet bb. From todays Daily Telegraph

Questor: its modern products (and imperial measurements) give this pipe maker the edge
0

Polypipe makes recyclable pipes for use in areas such as infrastructure

Richard Evans
7 MARCH 2018 • 6:09AM
The continued use of feet and inches in Britain will strike many as archaic but it provides a key competitive advantage to one maker of plastic pipes.

Polypipe, which makes recyclable pipes for residential, commercial and infrastructure use, generates 90pc of its profits in the UK and some of its success here can be put down to overseas suppliers’ reluctance toproduce pipes in imperial units.

“New entrants from abroad find it hard to enter the UK market given the use of imperial as opposed to metric measurements,” said Charles Montanaro, who holds Polypipe in his Montanaro UK Income fund.


However, this is not the stock’s only advantage. Another arises from it being “the largest player in the industry and by far and away the most recognised brand”, said the fund manger, who has strongly outperformed his peer group over the past 10 years, according to FE Trustnet, the fund ana

“Polypipe has the broadest product range and a national sales, technical and support team that allows it to work closely with specifiers, contractors and installers,” he said.

“The firm works closely with architects to offer low-energy, carbon-efficient solutions with a high level of technical expertise to cater for the ever more demanding regulatory requirements.

Montanaro said the company’s strong growth – earnings per share have risen by about 30pc a year since it joined the main market in 2014 – should continue, “driven by the ongoing substitution of materials, increasing regulation and the need for carbon-efficiency products”.

Its plastic pipes are often used to replace legacy materials such as clay, copper and concrete. In addition, the Government’s £15bn road investments strategy has resulted in the award of significant road projects that need Polypipe’s products.

The fund manager also welcomed the appointment of Martin Payne as the new chief executive, saying he was “bringing a fresh view to the group’s strategy”.

This was already in evidence in January when Polypipe announced the planned sale of its French operations for €16.5m.

“This was a low-margin business operating in a more competitive market,” Montanaro said. “The disposal is a positive step to streamline the business and to focus on its core markets – although the UK represents about three quarters of sales, it generates 90pc of profits.”

At the same time as the disposal, management confirmed that trading was in line with expectations.

With the stock offering a free cashflow yield (the total cash generated as a percentage of market value) of 6pc, a forward price to earnings ratio of 13.5 and a dividend yield of 3pc, “there is a lot to like”, Montanaro said.

Questor says: buy

[soundbuy] 13/2/2018 09:59

None too bad on a shabby day...........

[soundbuy] 31/1/2018 07:42

That'll do...........small disposal.......

[monions01] 19/1/2018 10:28

This has always had a strange opening price action. There is nearly always a single trade at 8.00 that doesn't seem to have anything to do with the rest of the day's prices. Earlier this week there was a single trade at around 416-418 with around 40 shares traded, then down to normal price of 410-413.
Today there was a single trade at 392, but all 'real' trades seem to have been at 398 moving up to 403.
No idea what causes this - and it's certainly not a price that you could trade at.
After that, it seems to settle into a range of 2 or 3p.
I thought the sell off yesterday may have been related to Carillion - uncertainty of some large building contracts could be seen as affecting PLP's sales as would impact delivery of products to large sites. But that may have been people reading across too much or simply the markets being weak.

[arf dysg] 19/1/2018 10:18

Are the market makers playing games with this stock? Very often I see the price about 10p down on opening, then back up to normal trading prices, i.e. the previous day plus or minus about a penny. Are the market makers continually trying to trigger stop losses? It seems blatant to me.

[soundbuy] 10/1/2018 07:46

Move towards ATH - with mkts behaving...........

[robow] 03/12/2017 09:18

From The Daily Telegraph 2/12/17
This fund manager's last three tips gained 69pc in two years – this is what he's buying now
Two years ago Mr Baker identified three stocks that he expected to perform well in 2016 and beyond: dotDigital, IMImobile and Victrex. All three have performed strongly, returning 116pc, 48pc and 43pc respectively, compared with 31pc for the FTSE All Share index.

Now Mr Baker names three of the stocks he is backing for 2018 and reaffirms his view on dotDigital.

Polypipe

Market value £750m; turnover £440m; pre-tax profit £54m

Polypipe makes plastic drainage pipes for residential, commercial and infrastructure developments, in addition to ventilation systems.

Mr Baker explained that while Britain might officially use metric units, in practice imperial units were frequently used, making it hard for a foreign business to compete with Polypipe.

“No one wants to ship a lot of plastic and air to Britain either, thanks to the cost, so it dominates the UK market,” he said.

He added that government spending on housing projects, legacy clay pipe infrastructure that needs replacing and the increased attention paid to the risk of flooding should drive the company’s growth.

“It’s a mid-single-digit growth business with very high margins. It made a big acquisition a couple of years ago so is paying down debt relating to that, and has a generous dividend policy,” he said.

[lomax99] 28/11/2017 11:04

Recent fall looks overdone, adding.

[soundbuy] 14/11/2017 10:48

All reads well......reassuring update

[arf dysg] 26/9/2017 17:50

It looks as if the rise is specific to Polypipe. The UK small company index and UK medium company index both went down today. (a third to a half of a percent)

By contrast, Polypipe went up about 1.5%.

[soundbuy] 13/9/2017 10:57

Close to 3.5x average daily vols.....and not even midday

[soundbuy] 13/9/2017 10:55

Large vols on the rise.........

[soundbuy] 08/9/2017 16:32

Construction materials thingy or PLP? No notes that I've seen.......zzzzzzzz

[arf dysg] 01/9/2017 16:42

Ha ha ha, it got there!!!

[soundbuy] 01/9/2017 08:55

£4 by the weekend?

Aye, nigh on there.......... :)

[soundbuy] 01/9/2017 08:52

Polypipe Group Plc PLP Berenberg Buy 397.60 395.80 Old PT 360.00p New PT 470.00p Reiterates

[arf dysg] 31/8/2017 10:51

£4 by the weekend?