Ramsdens Share Discussion Threads

[qs99] 23/12/2019 10:20

has this been tipped somewhere?

[qs99] 23/12/2019 09:40

new highs...

[rivaldo] 23/12/2019 08:37

New interview with the CEO yesterday in the Scotsman reads well - just a couple of snippets:



"Growth – the firm had just 19 premises at the start of 2008 – has also been inorganic, with Kenyon responsible for more than 25 acquisitions for the group, including a selection of stores from The Money Shop.

This backed its stated medium-term growth strategy of expanding its presence across target regions in the UK at a pace of 12 outlets a year. Its next milestone is 200, Kenyon states, which it should reach in three or so years at that pace.

He is able to leverage the knowledge of finance he gained in the 17 years he spent with Yorkshire Bank...."

"Now, as 2020 moves into striking distance, “we’ve got our business into great shape, we have a very strong balance sheet, a great cash position – we are a good, solid little business”.

[yump] 21/12/2019 11:17

It wasn’t me buying ! Nice to see it moving again. Got some of these after float along with MCL to hedge a bit against a downturn.

By the way thanks to spob for the header originally and susequent updates - one of the few that just posts useful facts with no logos, no hype and no proactive investor links !

[qs99] 16/12/2019 15:23

new highs, good job everyone!

[tp6] 10/12/2019 11:57

I see Piggybank, another payday lender with about 45k customers has gone under.

[lammylover] 09/12/2019 13:51

As an aside to RFX (still holding mine for 250p) There's an interesting rise at Somero plc (SOM)today above 200p (up 3.5% currently) I've held these for a few years and did well till the last year when they fell back on slowing growth; poor weather in the USA; trade war with China etc. Its a cyclical stock so higher risk than many (they do floor screeds) but potential of recovery back to 300p+ IMO. DYOR as always. I'm holding at a loss currently, but have picked up big dividends so will continue to hold unless it looks like the USA is going into a recession. Certainly the jobs data on Friday suggest that won't happen anyrimw soon. Rich

[yump] 09/12/2019 12:01

This rise is all very orderly. In theory I suppose that means its more likely to be resilient.

I apologise in advance if that sends it down...

[rivaldo] 09/12/2019 10:41

LOL :o)) Probably spellcheck...or maybe MWM had other things on his mind....

[hawaly] 09/12/2019 08:07

makes you wunder if some individuals ever went to skool .....🤔

[rivaldo] 09/12/2019 07:28

Brief mention on Master Investor round-up:



"Ramsdens (LON:RFX) – far too early to redeem

For the half-year to end-September the porn broker reported pre-tax profits were up 23% at £6.2m on the back of a 30% rise in revenue to £32.5m. Earnings were up 22% at 15.9p, while the dividend was just 13% better at 2.4p per share.

The diversified financial services provider and retailer has already had a good start to the second half so the company is confident of meeting expectations.

Closing up 6p on the week at 217p, the shares look inexpensive and capable of a much higher price. My profile 07.11.19 @ 204p set an end-2020 target price of 250p."

[rivaldo] 06/12/2019 14:08

The latest 12 page Liberum note out this week summarises as follows (with a 248p target) FYI:

"We welcome a confident outlook statement and dividend raise after hitting H1 expectations, even excluding the extra profit from gold sales. EPS estimates unchanged. Our focus should remain on what the company can do with the 22 stores and 17 loan books recently acquired from The Money Shop. We view this company both as a mid to high single digit space grower and as an industry consolidator, with weakening competition, hence think 8.2x calendar 2020 ex cash is too low a multiple. BUY.

A diversified, low risk model

Ramsdens is a retailer making better use of its network, but not reliant on any one strand. The value proposition is strong in jewellery new and used and in retail FX.

Building on the TMS deals

The Money Shop deals were an accretive good use of cashflow. We believe inorganic growth will recur, but in a smaller way. We note A&B shutting stores late in this period.

Organic growth business

Ramsdens has aimed to grow mid-to-high SD organically. This remains the trend, though store openings will slow just for 2020 as the acquisitions receive investment.

Very cheap

RFX is a great retailer of diverse goods and services, growing organically and by consolidation, with net cash and 19% RoE, yet on 8.2x CY’20 ex cash with a 4.1% yield."

[qs99] 05/12/2019 16:30

Thanks, fingers Xd another nice boost

[lammylover] 05/12/2019 16:29

Naked Trader diary update was out this afternoon, as expected. However no mention of RFX, so may still be holding / may have sold?? Who knows!! (Robbie doesn't usually update his Trades page till some time after the diary entry, so we will have to wait and see. Regardless, I'm still holding mine for 250p target. All the best holders! Rich

[lammylover] 05/12/2019 09:17

Could break through 220p by Monday - Favourable IC comments in tomorrow's hard copy will draw fresh money + if Robbie Burns (aka Naked Trader) holds his shares and puts a comment in his diary about update, such that he had increased his target beyond 220p. Lets see! Rich

[qs99] 05/12/2019 08:22

£2.20 breakout territory?

[qs99] 04/12/2019 15:31

Yield, cash, growth £3 my 2020 target DYOR

[yump] 04/12/2019 15:23

Minimum of 20p earnings I reckon. That would be growth over 20%. So a perfectly justified p/e of 15. My money is staying in to 300p or somewhere near that and then see what's what.

[lammylover] 04/12/2019 14:28

Lovely rise today as good news filters out and also a bit of selling into the rise; which is to be expected (the MMs have got to get their shares from somewhere!)

- I think the Naked Trader's target on here was 220p. It will be interesting to see if he sells or holds in expectation of more gains?

Regardless, I'm still holding out for 250p and will continue to take the dividend.

A Conservative election win with a good majority will lift all UK stocks....worth holding out for IMO. Rich

[yump] 04/12/2019 14:14

That's more like it ! Price guessing competition ? Price if Conservatives, price if Labour...

[podgyted] 04/12/2019 13:56

I think that's the H&T saga well and truly behind us.

[rivaldo] 04/12/2019 12:32

Good to see a "boutique" investment adviser so positive:



"Ramsdens Holdings – H1 Results

Share Price 200p

Mkt Cap £62m

Conflict Disclosure: No Holding

Results Statement opens with “on track to meet full year expectations”. Underlying PBT was up 12% to £5.7m. Forex revenue up 15%, Retail up 22% and Pawnbroking up 17%. 3 stores were opened in the period and 4 acquired which add to the 123 established stores. EPS was up 22% to `15.5p and H1 dividend is increased 13%. Net cash is £12.3m. Three further stores expected to open in H2 and the seasonally important H2 has made a solid start. Board is confident.

Estimates FY PBT is expected to be £8m from £53.6m revenue. EBITDA expected to be £9.8m. Given we have underlying PBT of £5.7m in H1 that looks somewhat better than “on track”.

Valuation 2X Book value for an ROE of 17.5%. PER 9.8X Yield 3.6%. H&T trades on 8.6X.

Conclusion The shares have sold off on the back of H&T’s FCA review announced in November. This is a time in the cycle when the stars are aligned for Ramsdens and it looks like an opportunity on a two year view."

[qs99] 04/12/2019 10:59

Buyers coming in now

[qs99] 04/12/2019 09:54

Thanks Riv, may explain the small tick up just now then