Qinetiq Share Discussion Threads

[wad collector] 06/4/2009 20:13

Hmm, we may have to buy you a dictionary.

[nemesis toad] 04/4/2009 23:30

and i will buy u both a paper saying they scrued up on DTR

[wad collector] 02/4/2009 13:18

Probably best to not buy a paper that day!

[zeppo] 31/3/2009 20:42

wad collector

Also remain in both. unfortunately(at present) heavily weighted towards QQ.


I now hold almost all my shares for long term yeild - so hope QQ. manage to raise theirs in these troubled times. Will be on holiday when the Full Year Results come out 21st May.

z

[wad collector] 31/3/2009 12:32

I think that similar arguements apply to BAE , but a significantly higher yield.Less growth prospects but safer.I'm keeping a foot in both camps.Or more accurately, I'm up to my neck in both!

[mercury123] 31/3/2009 08:19

Well I think this is a great entry price but have already bought as much as I can so waiting now for others to see the bargain these have become!

[wad collector] 30/3/2009 12:36

I think part of the drop is from continuing murmurs about the DTR contract.


Last week:

The defence academy scheme has been dogged by problems since the contract was awarded to the Metrix Consortium based at St Athan, and yesterday MPs learned of a further delay.

Armed forces minister Bob Ainsworth revealed in a Commons written reply that the current estimate was that the defence college would be fully operational by May 2015.

But he went on to say that the date remained subject to "final approval of the main investment decision" on the training project as well as contract agreement and confirmation of transitional planning arrangements.

Tory MP Robert Walter told the Commons: "There seems to be slippage on the defence training review and the move to St Athan. I understand that the contracts are still in difficulty."

Mr Ainsworth insisted that the St Athan project was "in nowhere near the difficulty" that its critics had suggested.




I see the Times plugged last week too.

The Times

Since the Ministry of Defence sold its remaining 19% stake last September, shares in defence electronics group QinetiQ have fallen by more than a third. The spectre of tightening US defence expenditure and troop withdrawal from Iraq has raised fears over demand for its gadgetry. And QinetiQ's US acquisition spree – it has bought 14 companies in four years – has left it with net debt of about £600m. At 139¼p, or eight times next year's earnings, the shares trade at a discount to a recently depressed defence sector. Buy.

[gdennett] 29/3/2009 21:07

mercury,

not really surprising that they are promoting QinetiQ since they tipped them a few months ago at 171.5p!

[mercury123] 29/3/2009 20:45

Good plug for this in the Sunday Telegraph today - may see some action tomorrow...!

[macaw4] 28/3/2009 13:02

WJCCGHCC - You got me a little worried for a moment, doubting ADVFN's figures, so I checked against QQ 2008 Final Report.

ADVFN's Basic EPS [7.2 pence], Op.Margin [3.76%], EPS Growth [-31%] and P & L comparisons for the last 4 years all accord with the respective audited Final Reports.

So the P/E must be around 19,I guess, rather than 9.7.

The Interims are interesting. Most figures are 'underlying' i.e. before all manner of costs like amortisation of goodwill, re-org., investment losses, e.t.c. These are routinely, for QQ, rather a lot [50-60M]. Last years underlying EPS was 13.? - virtually twice the true figure.

Anyway, the market is pricing this outfit, and I think they are optimistic at 138 - we shall see in a couple of months.

Good to banter

M4

[wjccghcc] 26/3/2009 23:24

advfn info is usually inaccurate. Best to look at the RNS of the company results and balance sheet.

From the interims: cash 52.6mm, financial liabilities 5.6mm (current) and 484.3mm (non-current) giving net debt of 437mm.

[macaw4] 26/3/2009 19:49

I just read the Financial tab at the top of this page, and bits from their Annual Reports

Net Debt shown as £915.9 M [Cost of finance from trading report]
Pre-Tax Profit per share/Basic EPS of 7.2 pence, giving a PER of 19.1 @SP 138
RETAINED Profit per share of 3.41 pence BUT Dividend per share of 4.25 pence !

and so on.

Of course, if this source is inaccurate I give way. And despite a broker's 'buy' rec. yesterday the price hasn't hardened.

M4

[wjccghcc] 26/3/2009 16:02

Um not sure where you get your figures. I have net debt of 437mm and PE of 9.7.

[macaw4] 25/3/2009 11:30

Optimists should have a look at the Financials for this Co.

Borrowings about £900 M costing around 7% - retained profit below 2% on £1300 M
EPS dropping each year - down 30% over 4 years
Hence PER still 19 at this SP
Gross overpayment for U.S.acquisitions, so huge 'goodwill' costs to amortise
Annual re-org. costs £25-30 M
Pension deficit ballooning
Director buys 100,000 - well, he made enough on the privatisation

Etc., etc..........

I don't hold

M4

[ttg100] 24/3/2009 11:17

go baby
back in the blue at last

[ttg100] 24/3/2009 11:07

looking like classic double bottom

[call-logger] 21/3/2009 11:16

When what is likely?

(And the answer will be "No" if you ask what I think you meant to ask)

[ssords] 21/3/2009 09:54

I liked the expression - defensive share, by wad collector. I guess you cannot get more defensive than a share in armaments technology. It does seem to have finally escaped the smell of the Labour gov't sell off foul up (how many fouls up have they made I fear to recall)with this company. It does seem to be on the level if not upward path now, with some good contracts in the pipeline. Just this measly Depression thing holding back this and some excellent companies in my portfolio. I am building a war chest of cash or nearly cash, to drip feed into as many as possible of my better shares. Of course the dogs will remain ... well... just dogs !!
Now, $2,000 question - does anybody know; really know; when that is likely???
Ssords

[revoc2] 20/3/2009 10:36

buyers coming in big time? guyz....hate the way they "mess" about wth this share........

[mercury123] 19/3/2009 21:11

I agree - it should be well on the way up by now and I've bought more of these today. It's a relatively safe haven if you're prepared to wait - it hit 1.45 last week and will probably get there again next week. Fret not!