Pcf Share Discussion Threads

[topvest] 26/7/2015 16:50

Am I right in my calculations for 1,000 preference shares held?

Market cap at mid = £1,400

If convert to ordinary shares at 8.5p = 11,764 @ 20p or so = £2,353

Interest foregone (max) = £90

Starts to look like a no brainer to convert into ordinary shares?

[graham1ty] 18/6/2015 23:49

PCF tipped tonight in Investors Champion

[bobthetrader] 17/6/2015 11:55

Does anyone know how long on average it takes for a 'Banking License' decision to be made?

I'm looking at taking my money out of 'PCF' and putting it in another stock, but would like to wait for the outcome of the banking license application. I think this could fly if approved.

Thanks in advance!

[solarno lopez] 15/6/2015 15:28

Agreed Graham

[graham1ty] 15/6/2015 15:22

hpcg, have seen reasearch from their own PR company that made a complere horlicks of the eps and balance sheet figures. Ditto, any piece of research that says PCF is a market cap of £11m is very misleading. All numbers should be done on basis of full dilution.

Solarno, am big holder. Cracking company

[hpcg] 14/6/2015 13:10

Graham - I only hold the convertibles myself. I expect then all to be converted, for obvious reasons. But don't forget when that happens long term debt plummets. This is already in the share price; there can't be any holder who isn't aware of their existence. I certainly knew about them when I held the ordinaries.

Having said that I see you haven't researched the convertibles because they cannot be converted at any time. The conversion periods are twice per year when the coupn is payable.

[solarno lopez] 14/6/2015 11:44

In which case Graham are you making a case that PCF is a sell ?

[graham1ty] 13/6/2015 18:16

Hpcg, watch out for the convertibles. Bank of Bermuda own a wedge which are in the money and will convert at any time. the true Market cap is therefore much higher and Need adjust NAV etc for inevitable conversion. Some sites pick up on undiluted eps, NAV etc and that completely distorts the numbers

[hpcg] 13/6/2015 14:48

r.e. stockopedia numbers. NAV is shown as 11.1M so we are still below that, Pitrofski score of 5 which is not fantastic but perfectly safe, trends for net profit, margin and ROE are good. Estimate for 2015 dividend, which presumably comes from the house broker, is 0.25p.

[fillipe] 12/6/2015 10:38

Excellent video - CEO comes over really well.....and for the future with a banking license.

Up 10% today.... I guess it's had a mention somewhere - the IC often have a spot for PCF.

f

[peteret] 11/6/2015 00:52

yeah small rise in share price made some money got bored and sold.

[ftseproactive] 09/6/2015 15:03

Private & Commercial Finance CEO speaks to Proactive Investors post full-year results

[hpcg] 09/6/2015 14:38

I'll check the Stockopedia figures but gearing is not a useful metric for financial companies so I'm not sure many would investors would look. I only hold the convertibles and their very existence will tend to hold the share price back. As everyone is going to convert that portion of the debt will ultimately become equity.

[solarno lopez] 09/6/2015 12:21

Graham your post is excellent and to those savvy ones amongst us prepared to hold will be well reward......why, because the market will eventually wake up to PCF and all its glory

[graham1ty] 09/6/2015 10:17

21 trader, this always gets misreported. So, the balance sheet has £78m of long term loans and £11m of short term loans( ie the money they have borrowed from banks to lend on) but have assets of £64m of long term repayments and £36m of short term repayments. Some of those repayments are due over the next few years ( as people pay back) which explains why money due is much larger than money borrowed.

Moronic websites say that gross debt is almost £90m......oh no, gearing of a million %, oh no, this is bust. of course that is not the case and is just the websites automatic "reading" knowing nothing about the business. Stockopedia says it has net debt of £85m and gearing of 772%. That is rubbish.

Thankfully people have not understood this ( there is also a Convertible) and the shares have been cheap for us to buy

[21trader] 09/6/2015 10:13

Sorry, 5 mins research during market hours :-))

Thanks mj

[mjcrockett] 09/6/2015 10:09

21trader, This is a loan company. They have to borrow a lot of money to lend it to others. If they didn't have big loans they would not do business.

[21trader] 09/6/2015 09:46

Am I reading that right the liabilities are massive ?

[solarno lopez] 09/6/2015 07:57

I have been a holder for 9 years and held the juicy loan stock which I think yielded some 13% all those years ago

Agree the growth story is well under the radar

[graham1ty] 09/6/2015 07:42

solar no this has been under the radar for a while. Noone understand the (very supportive) relationship with Bank of Bermuda. Very happy holder

[solarno lopez] 09/6/2015 07:37

Agreed Graham1TY this is a continuing growth story and glad to be on board

[graham1ty] 09/6/2015 07:18

Fabulous results. PCF was held back by the delays to its banking licence application. However, underlying results are spectacular. And they are flagging a dividend. This is a really high quality business, tightly run, margins up all over the place.

The long term target was a Return on Average Assets ( ROAA) of 2%. Well they have smashed that at 2.2% last year and have had to move the target up to 2.5%.

No wonder the Chairmaan bought 300,000 at 13.5p then 15p !!!

[fillipe] 15/4/2015 10:59

New target price today, from Westhouse - BUY....20p

f

[hpcg] 15/4/2015 08:15

Nothing like a nice ahead of expectations line and certainly explains the eagerness to buy.