Prime People Share Discussion Threads

[albert3591] 27/8/2020 17:59

Oh dear shoddys hear

[hodhasharon] 27/8/2020 14:55

Ok, so I've had this tipped to 100p. I've done some initial research:

Valuation
Is Prime People undervalued compared to its fair value and its price relative to the market?

Undervalued compared to fair value
Share Price vs. Fair Value
82.0% Undervalued
Current Price UK£0.43
Fair Value UK£2.39

Short Term Liabilities: PRP's short term assets (£8.1M) exceed its short term liabilities (£3.5M).

Long Term Liabilities: PRP's short term assets (£8.1M) exceed its long term liabilities (£1.1M).

Ownership Breakdown
Institutions 16.9% 2,084,546 shares
General Public 22.5% 2,770,774 shares
Individual Insiders 60.5% 7,451,953 shares

Market Cap: UK£5.292m
Shares outstanding: 12.31m
Website: hxxps://www.prime-people.co.uk
Employees:138

Year ending: 31/03/2019 31/03/2018
Revenue (£m) 24.66 22.92
Profit before tax (£m) 2.47 1.19
Adjusted EPS (p): 13.72 8.67
P/E ratio 5.80 9.10
PEG 0.10 n/a
EPS growth (%) 58.00 (34.00)

16 Nov 2017 24 Nov 2017 Interim 1.75p GBP Paid
12 Jul 2018 27 Jul 2018 Final 3.25p GBP Paid
29 Nov 2018 07 Dec 2018 Interim 1.8p GBP Paid
18 Jul 2019 02 Aug 2019 Final 3.4p GBP Paid
21 Nov 2019 06 Dec 2019 Interim 1.8p GBP Paid
22 Jan 2020 29 Jan 2020 Special 16.3p GBP Paid

Would really appreciate a current investor's view prior to getting in.

[warranty] 22/1/2020 09:14

Agree Typo, if I’d had any sense I’d have sold out yesterday because I feared a drop like this and I actually think it will go further back towards the 100p mark.

[typo56] 22/1/2020 08:45

This morning's clonk seemed a bit excessive. The return of capital only 16p, not 28.5p?

Just goes to show it's not always a good idea to hold out for the dividend/capital return. I wonder how ALM will go tomorrow.

[warranty] 21/1/2020 16:58

Thanks plone34, my thoughts too! Fingers crossed it doesn’t collapse too much.

[pione3r] 21/1/2020 11:00

warranty

Answer to your question, yes this will drop on ex day and it may not reach current share price for a while.

[pione3r] 21/1/2020 10:53

Well this has dropped before ex-div

[warranty] 20/1/2020 17:22

Good finish to the day so let’s hope there’s no sell off tomorrow before ex day for the 16p payment on Wednesday?

[warranty] 09/1/2020 06:50

Since the share premium account is not directly affected by trading or paid out of profits like a normal dividend, is the share price expected to fall by the 16.3p payment to shareholders when they go ex on Jan 22nd?

[dangersimpson2] 18/12/2019 19:51

A positive move given that management tend to be quite cautious and their markets face some headwinds, must be confident.

[warranty] 18/12/2019 17:30

Excellent news and a potential 16p bonus too.

[battlebus2] 12/11/2019 18:26

It’s seen a bit of buying interest for a few days now so fingers crossed there’s good news. I had feared the opposite with the current situation in HK.

[warranty] 12/11/2019 16:59

Good unexpected rise today, maybe news to come?

[dangersimpson2] 15/7/2019 23:18

I noticed HYDG say they are still considering acquisitions so I think there still could be sector consolidation in the future. Directors and key stakeholders hold 55% here though so I think some kind of merger is more likely if they feel that they need greater scale to deliver their strategy rather than selling out.

[battlebus2] 15/7/2019 16:06

Could just be it’s a very cheap stock with a growing cash pile and currently pays almost 5% yield which goes x dividend this Thursday for 3.4p.

[skyracer] 15/7/2019 12:54

Share price rising today. Tipped ? Bid rumours ? XD 19 July ?

Well it could be this :

"the Group has the option to purchase CMD's remaining equity capital after 30 June 2018" RNS 11 October 2017

CMD has been an exceptional acquisition and Asia Pacific almost justifies the market cap of Prime People by itself, not even allowing for the value of the above option.

[battlebus2] 24/6/2019 19:06

Yes the cycle shows no signs yet as the say next year will be similar to this year. Operating profit in the UK was 0.9 million whereas HK it was 1.55 so far from a UK based company now after the acquisition of Command.[ 60%]

[warranty] 24/6/2019 17:39

It's the type of jobs MRF, not just the quantity and even then, not every country is like the UK. Plenty of steam in PRP yet to me.

[my retirement fund] 21/6/2019 14:33

This has gotta be the top of the cycle imo. Unemployment at a record low. Unemployment cannot keep reducing forever. Sooner or later the market has to loosen

[battlebus2] 21/6/2019 13:37

Yes it’s a bit unloved but at the current valuation it’s bound to come into focus for other companies looking for acquisitions etc. Plenty of consolidation in the sector.

[warranty] 21/6/2019 12:42

Been in this for a while and consider it one of the cheapest stocks around. Should now be looking forward to an increasing share price over the next 12 months. Not on many people’s radar but should soon be.

[battlebus2] 21/6/2019 10:31

No comments here for a while🤔. Anyway bought a few on the back of this mornings results. P/E of around 6 with cash and a 5% yield, looks cheap to me. 140p target. DYOR ETC 👍

[ntv] 13/7/2018 16:45

somebody steadily picking up stock

[my retirement fund] 22/6/2018 23:45

NB I see it nearly hit my 70p target earlier. I think a revision of that target needs to be made again. This time to 60p. Imo.

[my retirement fund] 22/6/2018 23:42

This is clearly a shrinking business with increasing overheads. Share buybacks have helped put some lipstick and powder on it but the dividend cannot be maintained forever.