React Share Discussion Threads

[gbenson1] 16/11/2023 11:03

Excellent trading update, but usual selling on the news, just wish investor could hold their nerve/ hold longer term.

[microscope] 16/11/2023 10:24

I'm certainly not expecting stellar gains yump, but steady increase over months in the shareprice will do me just fine.The market will always reward outperforming businesses even during general market weakness, and this appeals to me as one such.It's currently a growth company, and I intend to accumulate steadily as and when finances permit.

[yump] 16/11/2023 09:53

Lets face it, in the current market for small caps there’s not going to be a rush of pi’s piling in on the day of an update. Many will be heavily under water on existing stocks and wary of small stocks, unless they’ve got fresh capital to invest.

Best result is a stable share price and just have to wait. The pi’s who have significant amounts to invest have time to run through the figures in a bad market.

[microscope] 16/11/2023 09:32

I think the trading update this morning was nothing short of excellent. EBITDA of 2.2 million means a current pe in single figures for what is clearly a growth company.While it may already be factored in to some extent, the pe takes no account of further acceleration in the company. Also it's what I would call 'good debt' in that the Laddersfree acquisition is already paying its way.The market doesn't seem to agree with me judging by the early trades, but will hopefully React to broker and other comments in coming days.I made an initial minor small investment this morning, showing as a sell, and feel very comfortable at this level.

[rivaldo] 16/11/2023 08:16

The year end update makes pretty good reading in the current climate.

£19.6m revenues and "in excess of" £2.2m EBITDA (up from £0.95m last year) is just a touch behind Singer's forecasts, but most importantly the outlook is very positive with a "healthy" pipeline and "strong demand for all of our divisions".

This equates imo to likely around 0.13p-0.14p EPS, which at 1.575p is a historic P/E of around 11 or 12 and which should fall again in the current year to only around 9.5 based on Singer's forecasts.

I note that REAT now have £0.7m net cash, which is well ahead of Singer's £0.1m forecast. This is almost 5% of the m/cap in itself and represents an even lower ex-cash P/E.

[jeanesy] 16/11/2023 07:41

Nothing wrong with that trading update. Nice :)

[effortless cool] 15/11/2023 21:07

Every sale has a counterparty. It may be the broker in this case and, if the broker is ready to take on 5m shares just ahead of a trading update, that may not be a bad thing.

[jeanesy] 15/11/2023 19:59

Yes another 5 million sale it seems. Not normally a good sign . Fingers crossed they don't know something we don't as trading seemed to be going well. Yes time for the trading update . Its a week since i got the heads up it would be soon . !

[gbenson1] 15/11/2023 18:25

It looks as though the exodus continues possibly another 5m shares sold, its difficult to tell but probably is a sell, hope we're going to get that TU soon..

[yump] 15/11/2023 10:44

3 other funds have increased this year.

Perhaps if 2 directors had sold half their holdings on a share price spike …

[gbenson1] 15/11/2023 10:20

Hi yump totally understand, however the 2 funds trimming seems in some way to contradict the bullish stance of the company. Hoping for a good TU soon and a RNS saying someone has increased their stake. I personally wouldn't be selling if I thought a good TU was imminent.

[yump] 15/11/2023 09:08

Well in June they said momentum was continuing into the second half, plus there have been 3 significant contracts since then.

In that context, fund adjustments seem minor.

[gbenson1] 15/11/2023 08:18

Not a healthy sign that Harwood and now Helium have both trimmed approx 3m shares from their holdings recently, this at a time when there's a TU due or imminent! But explains the pullback in the share price from year highs.

[strollingmolby] 14/11/2023 13:59

Thanks, jeanesy. Surprised to learn records are on paper still in this day and age and odd that they don't yet know the headline numbers for the year, so ripe for digitalisation as you say. If the board make that a priority in FY24 they'll be able to publish quicker results and trading statements.

[yump] 14/11/2023 10:28

Probably struggling to read the handwriting ;-)

[jeanesy] 14/11/2023 10:21

StrollingMolby Apparently it has a legacy accounting process that is more paper driven than the rest of the Group and takes longer. They are hoping to digitise it in future and it will be quicker

[strollingmolby] 14/11/2023 08:29

jeanesy - that sounds a little odd as Laddersfree was acquired in May 2022, so has been in the group for over a year, and it also has a 30-Sep y/e like React Group. Hopefully still counting up all the contract revenue...

[jeanesy] 14/11/2023 08:11

I contacted the company and was told that we should be getting a trading update soon. It is something to do with incorporating a full year of laddersfree.

[vikingben] 08/11/2023 12:03

New advisor and broker Singer
Hope there is large buyer that needs more shares at this level

[jeanesy] 08/11/2023 08:09

Strange that there has still not been a trading update . It is always end of October

[rivaldo] 02/11/2023 15:55

On the 26th July they had 94.5m, then they went back up to 95.75m on 7th September, now they have 92m. So I guess it's just down to the undelying holders at Oryx and Harwood and there's no discernible pattern unless over time the holding reduces further.

Given the recent rise from the bottom here a little profit-taking is hardly a surprise - if only to offset the likely losses from almost everywhere else in the market!

[gbenson1] 02/11/2023 15:32

Harwood just off loaded 3m shares but still have 92m, looks like book trimming!

[gbenson1] 01/11/2023 09:50

The stake builders here are determined to keep the share price around the 1.60-1.625 range, hence 100k sell, just let it rise naturally, update should try and push it higher! Expect 2p+ short term.

[jeanesy] 31/10/2023 08:14

Surprised there has been no trading update. Last 2 years have been 28/10 and 26/10. Maybe it will be tomorrow ?

[jeanesy] 27/10/2023 16:46

Nice 1m buy this afternoon :)