Quadnetics Share Discussion Threads

[mangal] 21/12/2005 08:48

All buys(& no sells) this morning at the full bid price . Not long, I think, before the mms move up the price.

[mangal] 20/12/2005 16:01

Though he did manage to buy at a good price - 210p.

Any chartists out there? Looks like the next stop is 300p.

[broadwood] 20/12/2005 15:55

Yep - he should have bought yesterday, like his colleagues.

[mangal] 20/12/2005 15:49

He bought them, no he didn't, but he certainly has now; Stop dithering Mr Steve Coggins, you should have bought more - already up 20% from yesterday:

[mangal] 20/12/2005 15:37

Someone buys 700 & it's marked up by 10p! Looks like mms are short of stock.

[mangal] 20/12/2005 10:55

I'm back in. share price was on a downward spiral for quite some time but looks like its on the way up now that there is lots of interest.

[broadwood] 19/12/2005 17:07

Obviously the Directors thought it was undervalued too- so a 'buyback' AND personal purchases has changed the mood at a stroke.

broadgreen - sorry didn't respond- missed your post

[kombimatec] 19/12/2005 15:01

Ah! Another thought. If it could buy back all the shares it issued for Protec it would have paid 20% less than the paper price. That's just £8m for £40m revenues. Very impressive deal, well done. I am beginning to like this new management. Well they're new to me.

[kombimatec] 19/12/2005 14:41

As a former PRC holder I have no interest in selling at these prices. If I wanted to sell I would have done it without accepting the offer because the price now is lower. I hold expecting it to exceed 350p when the benefits of the consolidation are known.

[swwikmi] 18/12/2005 20:30

with the astute deal done to aquire prc the share price of quadnetics is a snip whilst all prc holders are turning their holdings to cash - when the prc sellers finish I expect a strong move north - 300p plus wiyhin a year

[josh devil] 08/12/2005 12:51

I agree, the combination of the two businesses will be very powerful.The Quadnetics operations have strong propositions in growing markets and whilst Protec has underperformed historically with significant losses until 2002 this was turned round by the previous CEO who created two good operations, SSS and SDA, and made Protec marginally profitable. Unfortunately there was a lot of old baggage to sort out and he was not able to deal with the issues including poor management at their third operation Falcon. However my understanding is that the merger will now address the problems including removing some of the old poor performers, reducing the influence of the large Protec holders and a properly constructed Board which should all enable the business to flourish to the benefit of the enlarged Group.

I believe that the combined business should have c £70m turnover, c£4m pretax profits and positive cash,at the current share price this company is considerably undervalued.

[kombimatec] 30/11/2005 10:29

I think Quadnetics have acquired Protec very cheaply. An all paper offer doesn't put a strain on their cash. Protec wasn't a loss making company so other than the costs of intergration it should be anything other than good in my opinion. As far as I recall one of the major shareholders in Protec, Norman Turner, who injected considerable funds over a year ago into protec and clearly was content to exchange them for Quadnetics shares at approx. the same amount as his investment. He paid around 6p per share for Protec and that equates to £2.58 for Quadnetics. Quadnetics have acquired a significant amount of business, £40m of sales for £10m of paper. Now I regard that as very good value move. More like a merger rather than a takeover. We are banking on Quadnetics management as being better than Protec. Lets hope so. I have no knowledge of Quadnetics management skills but as a former shareholder of Protec I hope they can deliver.

[backmarker] 28/11/2005 15:50

The share price has been quite disappointing considering the news has been broadly positive. Let's hope the shares can bounce of this support level.
One of the "problems" with this share is that there seems to be very little activity. Are the shares that tightly held ?
CEO Russ Singleton sold about half his holding in May ostensibly to meet institutional demand. That was only around 2.5% of issued capital. So how much do the institutions control ? - Does anyone know where I might obtain that info ?
Will the deal with Protec mean that the shares will become a bit more liquid ?

If one ignores the falling share price, QDG looks attractive. P/E around 11, bullish Annual Results statement, and in an industry which should see some growth. If the interims are halfways decent the price should rise dramatically. However that falling share price worries me.

[kombimatec] 28/11/2005 12:28

Prior to latest acquisition turnover was £26m and market cap was £28m. Now with Protec intergrated the turnover of £70m and market cap of £35m. Will the market price double restoring the ratio of turnover to market cap?

[swwikmi] 22/11/2005 14:46

protec made less than 1/2% on a turnover of 40 million - I am sure any competant management will make significant profit on that turnover - the deal makes good sence for both companies

[latifs100] 30/9/2005 14:59

Quadnetics Group PLC expects to make "good progress" in the
current financial year after reporting a rise in full-year profits on the back
of strong sales growth.
The provider of CCTV and networked video systems made a pretax profit of 2.3
mln stg in the year ended May 31, while sales rose 48 pct to 26.8 mln stg.
Russ Singleton, Chief Executive, said: "(The Synectics arm) has continued to
make considerable progress, especially in the North American market where it has
won a number of digital security systems contracts against worldwide competition
from major companies... In the current year we expect... overall good progress
in the group's financial results."
The company is paying a final dividend of 3 pence per share, giving a full
year payout of 4 pence, up from 3p last year.


worth topping up..i get my protec shares converted soon

[kombimatec] 23/9/2005 14:32

Don't understand why this is dropping QDG are going to boost their turnover to £70m and if they can make 10% profit the share price could double.

[latifs100] 23/9/2005 10:06

TAKE OVER OF PROTEC..PRC

[backmarker] 15/9/2005 08:43

Results in line with expectations, dividend up but eps down thanks to Look.
Outlook positive, and hey... here's one British company that seems to be doing OK in US.

Time for some more institutional buying to give this one a push.

[broadgreen] 09/9/2005 14:45

broadwood, hadn't seen you on this thread before - not that I look in often. I have some of these as well as CHG. Assume you hold - great minds think alike etc. QDG tends to be quite illiquid but can move decisively on results, so I am looking forward to interims.

[broadwood] 09/9/2005 14:33

Nice little uptick so far today ahead of results

[backmarker] 06/9/2005 09:20

There hasn't been more than a handful of trades for weeks, so maybe it's just a mm getting bored, and trying to stimulate some interest.

[backmarker] 06/9/2005 09:17

Small uptick today. I think this could be start of next leg up.

[brummy_git] 29/7/2005 21:33

Yes Backmarker I agree - I'm positive on this whole digital surveillance market since it is not only becoming more critical to counter threats like terrorism, but its also now massively more economical than hiring permanent security staff.

I'm long on the shares & will add to my position once I hear a bit more from management wrt current trading.

[backmarker] 29/7/2005 21:06

B-git, your bullish points all look good. You might also add the expectation of getting a royal "By Appointment to". And the fact that a number of institutions/pension funds have been adding to their holdings. This latter I find quite reassuring.

The bear points can be mitigated.

The CEO sale was apparently to improve liquidity in the shares - that's actually a plus - but he didn't time the sale well in terms of the price he got. However a few weeks later he then picked up options on about the same number of shares.........Hmmmm, that's a neat way of keeping the same interest overall, but trousering £500k at the same time !

The profit warning was caused by the parent company of one of their biggest customers going bust. It wasn't clear whether QDG simply lost sales, hence profit, or whether it was owed money as well. If the latter it might be regarded as a slip-up by QDG - in which case let's hope they learn from it and are more careful in future - or it may be simply a lost opportunity that wasn't there anyway. Whichever, I'm inclined to the view that it was only a temporary blip and that all the trends have returned to the upwards direction.