Quadnetics Share Discussion Threads

[brummy_git] 28/7/2005 20:10

IMO

Bullish Points

1) Boost from reent security scares

2) Underlying organic growth of 25% pa in 2005, although results were negatively impacted by the collapse of Transbus in 2004, which was Look CCTV’s largest customer.

3) Strong position with Synectics’ technology to exploit upgrade from analogue to digital CCTV technologies

4) Distribution deal with IBM and excellent customer reference sites (eg Casinos)

5) Further growth opportunities include:
a) New applications for digital CCTV systems as they become increasing more cost effective
b) Extension of CCTV video technology outside the security and surveillance markets to the measurement, analysis and control of processes such as vehicle access (for example, Quadnetics has just completed a major system for National Car Parks (NCP) which is having impressive results)
c) Effective integration of image analysis technologies such as facial recognition, automatic number plate recognition, bio-metric systems and motion detection.

6) Incorporation of Synectics’ proprietary technology within the other 3 divisions

7) US market is buoyant, and recent acquisition of Alphapoint should accelerate QDG’s growth in North America.

8) Recent institutional buying

9) Low-ish forward valuation (f/wd p/e circa 14) for a growth business and no debt (net cash of circa £2.9m)

10) Maiden dividend (@ 1p) declared at Interims

Bearish Points
1) Recent sale of 210k shares by CEO at 245p
Profits warning in April’05 damaged market sentiment. Hopefully there won’t be anymore…

[backmarker] 25/7/2005 16:41

Just a few trades and the price has risen a fair bit over the last week. This is indeed a thin market with a nominal spread of 20 points - though you can usually deal well inside. 350p here we come.

[brummy_git] 16/6/2005 07:50

Anyone got any views on Quadnetics? Its looks a pretty good business at a lowish valuation?

[vaddegan] 10/2/2005 02:06

tipped in share mag today as one of two " plays of the week" .

[m.t.glass] 04/2/2004 17:00

CR- what do you make of big X-trade on a down day last Thursday and B-trade on Monday?

Long time since I sold mine (10/7/03) but taking an occasional glance at it.

mtg

[cockneyrebel] 08/1/2004 21:42

Nice move up today, first move in a while.

Rusults end of the month.

CR

[kickstart] 16/10/2003 13:07

Breaking out (chartwise)and on a roll today it would appear.

[wjccghcc] 13/10/2003 14:20

Yup. Bought on the results.

[gzr] 13/10/2003 12:40

Nice chart breakout forming, new highs today. Anyone else still in?

[gzr] 10/10/2003 11:58

Steady buying since the results but something is holding them back, but for how much longer? 25k buy this morning, plus 2 T trades of 5k each.

[cockneyrebel] 30/9/2003 16:35

Badtime

Yes, my 2K sell. I'd have continued to hold but have outed everything that isn't pure value due to the poor market.

CR

[shuisky] 30/9/2003 16:11

WJCCGHCC - each to his own, but what happens to their tax rate, and ultimately the EPS, when they can't bring tax losses forward anymore?

I like this share, and there's obvious growth potential, but it pays to put it in perspective. The CCTV market is mature and this is a speculative growth share, whose prospects are determind by technological development. It aint a value stock.

[gzr] 30/9/2003 14:27

Well, I reckon there is some good upside potential in this one. Maybe it will get some good press and broker coverage soon.

[wjccghcc] 30/9/2003 14:08

See Brewin Dolphin report on their website. Fcst EPS of 18.4p for next year, including a 13% tax rate so forward PE is about 12-13.

[shuisky] 30/9/2003 11:42

Attractive co in a growth area. With regard earlier comments, the EPS is slightly misleading because there is no tax charge due to losses being brought forward.

So take the profit before taxation of 1407, now 1407(1-.32) = 956
take out minority interests, 952-232=725
This gives an EPS of 10.7p. So the current PE= 217/10.7=20.2

It's priced in as a growth share. DYOR etc etc

[badtime] 29/9/2003 08:49

Agree with u GZR...pity results werent out week b4 last..mrkt seems to have com off the boil..


Richard..was that yur 2k sell?

[gzr] 29/9/2003 08:19

These look rather undervalued, chairman sounds very upbeat. Further significant advances in financial performance expected and a PE ratio of only 12 or 13:


"Our industry is robust and growing rapidly as it is recast in the digital era.
We are seeing rapid and sustained growth in demand as the benefits of advanced
CCTV products and services gain recognition. Our position within that industry
is assured by virtue of our dominance of the public space surveillance sector of
the market and our evolving product line, which utilises advanced proprietary
technology.



We are moving rapidly to the position of being suppliers of products as well as
projects. Our award winning products, including Synergy control system and TLL
(Time Lapse Later) video data management software, have generated enthusiastic
interest across the whole video imaging market.



We are confident of significant further advances in the Group's financial
performance, and we anticipate making further announcements in relation to
ongoing business within the next few months."

[badtime] 29/9/2003 07:39

Morning Richard..nice results!!

[cockneyrebel] 29/9/2003 07:33

Big return to profit.

Sales up over 50%

EPS of 17p v a loss of 11.6p last year - a 28p+ per share increase over last year.

£4 cash inflow compared to outflow last year.

Return to paying divi.

Strong forward statement

CR

[badtime] 23/9/2003 21:15

Richard..topped up at all?

[cockneyrebel] 18/9/2003 13:16

Now within T10 range - action next week I suspect.

CR

[cockneyrebel] 17/9/2003 15:40

Actually I just checked with the company - results are on Sep 29th - actually says September in their trading statement rather than Oct:

8th July Statement-

"Having reviewed the draft unaudited management accounts for the financial year
recently ended, the Board believes that the Group's profits for the year will be
in excess of current market expectations. The Board expects that the Group's
consolidated profit before tax for the year to 31 May 2003 will not be less than
#1.35 million on sales of approximately #20 million. A full preliminary
announcement of results will be made as usual in September."


CR

[wjccghcc] 17/9/2003 15:14

Not much disclosure in the results and sustained cash outflow from operations due to an increase in debtors (which could be because of business expansion or revenue accounting) - if only they gave details in the notes!

[wlfc1] 17/9/2003 14:42

anyone looking for a company with huge upside next week, then take a look at AHT agm next week and three major contracts to be announced

worth a look