Pcf Share Discussion Threads

[geraldus] 16/7/2017 20:47

Good to see some buying going through Friday,still looks great value to me as long as the bank deposits do start in the next two months or so.Car finance not getting the best of news coverage at the moment but PCF is a seasoned quality lender.Looking back at the Proactive interview in March Scott said they have only 1% of their market at present and don't have to grab a load more of that to make a big difference.The bank should open the doors to whole new areas anyway and I like his use of the word 'scaleable'.With what he has said about the tech side of the new bank and the background of the recent appointment this could get very interesting. GLA.

[graham1ty] 13/7/2017 11:23

I really do not understand who is selling at 22.5p ?

[graham1ty] 13/7/2017 08:35

Scott very upbeat at ShareSoc. He does not bat an eyelid when asked about the projections. The current lending book is £128m. They aim for £350m of deposits in three years and £750m a few years thereafter. With the NIM ( net interest margin) and ROE figures forecast to improve with scale, once they get going eps should rise rapidly. He kept saying "this is not exponential growth". In my book, £128m to £750m over c5 years looks pretty exponential to me.

Because of the set up costs ( and running costs) until they get past about £100m of deposits the new bank is a drag on eps. However, the last year forecast ( Sept 2019) has eps rising from c1.9p to 3p.

I am a very happy holder and somewhat puzzled by why the share price languishes below the recent Placing price

[sharesoc] 04/7/2017 16:25

PCF join the line up for our London company seminar on the 12th July This may be of interest to potential investors and current shareholders.

[che7win] 13/6/2017 14:50

Agreed TBF,
it looks a steal and PCF looks exciting, I took part in the recent fund raising.
Would like to accumulate here.

Sorry OT.

[the big fella] 13/6/2017 14:48

Very droll. TRIN will be just fine. My average their is well under 10p. If it falls below 10p they will be making their mkt cap in profit in about 18 months.

[che7win] 13/6/2017 14:28

just like TRIN ;-)

[the big fella] 13/6/2017 14:13

CC2014 - nice post. I too have taken a position pre results for those same reasons. This looks like the start of something big.

[netcurtains] 13/6/2017 14:05

I've been in this a long time and I think its beginning to see the right kind of day light!

[che7win] 13/6/2017 13:47

CC,
nice post, good potential here if they stick to their knitting and not diversify off into car sales like 10 years ago!!

Must be my longest held company this, although spent most of the time holding loan notes...

[cc2014] 13/6/2017 13:03

Market cap 53m

Net assets as at 31st March 27.4m
Fund-raise in April 10.5m
Total net assets as at end April 2017 37.5m

Profit for 6 months end March 1.7m. Add back 0.5m one-off bank set up costs = underlying profit 2.2m. So, underlying profit for year 4.4m assuming no growth.

So assuming no growth, no value to the bank and no reduction in NIM due to taking retail deposits we get the market cap = net assets + 3 years profits.


So, a few quick sums. Retail deposits reduce interest bill by £1.5m, so underlying profit = £6m based on current portfolio of £128m.

If you assume 5 year portfolio growth to £750m from current £128m as stated by directors, that's a factor of six, would give a profit of £36m a year.

I have bought a reasonable quantity. Price appears to have pulled back due to competitor in trouble with regulator over PCP, but PCF have no exposure to PCP finance.

Directors say will not offer any banking products outside current portfolio but I believe there's a value to the bank too, which will become apparent over time.

First post on this stock in 10 years so let's see how we go

Interim presentation and 3 research notes on company website. Article in IC as well last week although I haven't read it.

Finally usual warning about Brexit sensitivity although one would have though soft Brexit would help rather than hinder

[cc2014] 12/6/2017 11:40

Trades are most confusing this morning as price has been in reversion for some of the time. All those trades at 24.88 and 24.90 marked as sells are buys whereas the trades at 25.0 marked as buys are sells.

The MM selling stock at 24.90 appears to be running out of stock now, so let's see how the day progresses

[gersemi] 07/6/2017 14:53

Every little helps fella

[the big fella] 07/6/2017 14:50

Thanks. I would be more interested to see a FD purchase than some tip, but it all helps.

[gersemi] 07/6/2017 14:20

This has been tipped by the man himself at the IC, Simon Thompson. He appears to be able to move markets for some reason. He also tipped Bango which is also flying today

[the big fella] 07/6/2017 13:32

Oh yes. He clearly sees the value

[cc2014] 07/6/2017 13:17

Always good when the FD buys shares

[cc2014] 07/6/2017 13:11

And we hit the leaderboard. What a great day

[the big fella] 07/6/2017 12:24

Maybe been tipped somewhere. I wouldn't be surprised.

[cc2014] 07/6/2017 12:16

string of buys out of nowhere. How odd

[the big fella] 07/6/2017 12:15

Graham - looks like the overhang that has been holding us back has cleared. Price moving nicely now. These should recover to 30+ pretty soon.

[graham1ty] 06/6/2017 12:47

Pretty disappointing response to good underlying results. Everyone a bit distracted this week. Had hoped today would reverse the slide. Hope that they are seeing instos this week and can get some supporters into the market