Purecircle Share Discussion Threads

[troc1958] 28/7/2010 07:49

Positive RNS this morning on details of new "global" contract wins etc. RNS maybe in reaction to share price drop - to keep investor confidence. I liked their statement about being "absolutely confident" about their decision to go directly to the market. I still believe this share is an excellent long term investment.

[smarm] 27/7/2010 22:42

I'm not going to short it and suspect it will be some time before I'm long again.

S

[davidosh] 27/7/2010 22:37

I must admit I have been long in the past but went short first thing this morning as the guidance had been terrible and the placing seems almost engineered compared to this outcome.

[stegrego] 27/7/2010 21:37

I dont do shorts, but this does look like a doozy.

322 million market cap for what exactly?

[melody9999] 27/7/2010 19:54

Yes smarm - I bought in at 225 - I had not looked at PURE before so a bit of a punt based on reading the IMS and looking back at some previous research. was looking for 10% fairly quickly but got out at 229 in the end.

[troc1958] 27/7/2010 16:25

Seems like my entry point was a bit early, but on a longer term view (1 to 3 years) I do see these shares giving a solid return. I have done the research, looked at all the potential risks and come up with a valuation well in excess of 300p if all goes according to plan, including European Registration (and no production disasters). Obviously one cant factor in everything, but in my opinion this share is worth the risk. Will wait and see and if wrong will take a knock and move on.
T

[smarm] 27/7/2010 15:54

No. Bad move. Have taken a small loss.

S

[smarm] 27/7/2010 10:55

Well, dipped a toe back in. Not hugely hopeful but some good buying...etc.

S

[smarm] 27/7/2010 10:40

Troc - good post. It's just timing and the fact you have Cawkwell and his herd shorting it.

S

[troc1958] 27/7/2010 10:36

Been looking for a good entry point into Pure. The move down from near 300p to 230p over last month has created this entry point IMO. I was pleased to see a move away from the 60% "middle man" to become an end user supplier - lower risk. The long term return from this share is largely reliant on the global acceptance (and European registration) of Stevia as "the" alternative to other zero calorie products (Aspartame etc). I believe it is and thus am investing in this growth story. "Pure" is just the vehicle. Probably the best placed global company to benefit from it.

[smarm] 27/7/2010 10:25

Simon - am I right in recalling that your short entry was at circa 260?

S

[simon cawkwell] 27/7/2010 10:17

littleweed,

So far, I see no evidence of fraud. But I do see evidence of cash consumption without any clear improvement in sales.

Simon Cawkwell

[smarm] 27/7/2010 10:14

littleweed - porkies? timewarp? If you go back you will see I have been posting off and on since late 2008. I trade in and out. Don't you have anything better to do with your time.

S

[littleweed] 27/7/2010 10:02

smarm - 27 Jul'10 - 09:06 - 825 of 830

Simon - following note 820 I must eat some humble pie. You (and those bean-counters) appear to have been right. I bought PURE at £1 and sold it yesterday when you poked at it again. I guess I should thank you.

Someone telling porkies?. Or in some sort of timewarp?

[smarm] 27/7/2010 09:56

melody - I see your point but I think for now I will sit back and wait. PURE has not been the smoothest of shares to hold, which is why I trade in and out but one day I expect they will be huge.

S

[smarm] 27/7/2010 09:52

deltrotter - I am wholly behind PURE and what they are doing but I was not prepared to sit back while Simon trashed the price again. I trade in and out.

My note here was positive (and wrong) and my trades very much my business.

My last 5 round trips produced the following return (net of costs). The first of these trades was at 2.48 on 6/4/10.

19.27%
-4.36%
-5.75%
0.71%
13.10%

S

[melody9999] 27/7/2010 09:41

smarm - if they are onside and already in, seems a good time to tak profits on their shorts !

[deltrotter] 27/7/2010 09:40

smarm - 26 Jul'10 - 22:54 - 820 of 826

Cawkwell poking at it again. It will take quite an uplift in price to see him off. D'you know that he persists in shorting ASC and that has gone up...well, who knows, 3x I'm guessing, since he started shorting it. He seems a perfectly nice fella but on this one his bean-counters are way off the mark.

S

smarm - 27 Jul'10 - 09:06 - 825 of 826

Simon - following note 820 I must eat some humble pie. You (and those bean-counters) appear to have been right. I bought PURE at £1 and sold it yesterday when you poked at it again. I guess I should thank you.

S


Hmmm - so smarm at 11pm last night you say that the bean counters are way off the mark, but you did not mention that you sold earlier in the day.

The statement comes out today and you now say that you sold yesterday. Having more than doubled your money of course.

;-)

Cheers

Del

[mitzis] 27/7/2010 09:38

Could be worth buying today.

[smarm] 27/7/2010 09:10

melody - they have reasoned hard but with Cawky's followers now firmly on-side, I don't think there is any rush to buy PURE today.

S

[smarm] 27/7/2010 09:06

Simon - following note 820 I must eat some humble pie. You (and those bean-counters) appear to have been right. I bought PURE at £1 and sold it yesterday when you poked at it again. I guess I should thank you.

S

[themoneymonster2] 27/7/2010 09:05

This is a great short. There are no figures mentioned. Surely you'd be shouting them from the rooftops if they were going to be great?

[melody9999] 27/7/2010 09:03

Well I grabbed a few this am Cawky. I am grateful to you for perhaps encouraging a share price drop so I can get in at this level.

The company is already profitable, but for me the section of the IMS copied below indicates future growth which I think the market will buy into.

...We expect to report sales for FY2010 in line with those of the year to 30 June 2009 ("FY 2009"). The FY 2009 Reb A business was based substantially on sales to just two customers..... Almost 60 per cent of FY 2009 Group sales were to a trading partner, as opposed to an end user Food and Beverage customer. Although our supply contract with that trading partner ran through to 30 June 2010, no sales were made to them during the FY 2010 year.

...During FY 2010 our customer base expanded significantly. We now have more than 100 invoicing customers globally: this is the premium customer base in our
industry. Most customers are currently conducting trials and testing launches.
But those consumer products already launched are performing well and as their
volume needs expand, they provide an excellent platform for strong growth in FY
2011 and future years.

The fall is overdone IMHO and I see some large buys coming in to support that.

[a1samu] 27/7/2010 08:52

Well, very sad trading statement. No advance in sales, (2009/US$60M) no increase in profitability (2009/US$11.2M) in 2010.

The hope is that they are expanding the direct customer base, but it appears that the market has been misled about the major non performing trading partner, with whom they have now cancelled their contract.

The announcement regarding the MOU with British Sugar is unhelpful. It is unclear how such will assist. It also suggests that despite all their efforts of setting up a distribution network, they rely on others to expand their reach?

ii. suggested that at 220 one should sell, because the share price is expected to reduce even further, possibly to a level below 200p.

2011 will be a long and painful year in terms of this investment! Expect massive losses on this account!

[simon cawkwell] 27/7/2010 08:40

Gentlemen,

I see absolutely no sign of PURE generating cash - indeed quite the reverse. With decline coming in as well. This stock is worth well under 200p.

Simon Cawkwell