Renew Share Discussion Threads

[rivaldo] 13/11/2017 09:22

Nice £43,000 buy just now at 462.54p, well above the 459.5p offer price.

A reminder that the results are out next Tuesday 21st November following the very satisfactory year end trading update:

[rivaldo] 10/11/2017 15:10

RNS - Octopus Investments have been buying and now own more than 17% with a chunky 62.6m shares:

[ingroid] 08/11/2017 16:41

ingroid

Large purchase today of 302655 shares at 450p.Interesting.

[rivaldo] 06/11/2017 07:21

In line with the positive trading update, here's an article about promotions at RNWH's Seymour Civil which notes its "successful year":



"Based at Seymour House on Hartlepool Marina, Seymour Civil Engineering has enjoyed a successful year, securing and completing a number of major projects across the region.

Most recently the firm celebrated a landmark contract win securing civil and infrastructure work for the £18 million exhibition development at Beamish Museum.

The firm has recently started work on the £3.4 million regeneration of Church Street and Church Square in Hartlepool, working in partnership with Hartlepool Borough Council, The Tees Valley Combined Authority, The Heritage Lottery Fund, and Re-form Landscape.

Kevin added: “As a team I am confident we will be able to lay the foundations for Seymour’s sustainable and structured growth going forward.”

[rivaldo] 26/10/2017 11:19

Indeed hvs :o))

The bid price has now moved up to 450p or so from prior levels of 415p-420p, and the spread has narrowed. Hopefully this means a seller or two has been cleared, and RNWH can continue to run up prior to the results on 21st November, which we now know will be good.

[hvs] 24/10/2017 09:41

Its doing FINE aintit ????

[rivaldo] 12/10/2017 08:11

Cheers mfhmfh.

From today's Times - this sounds like excellent news for RNWH, as "day-to-day maintenance and operation of the network" is precisely their remit:



Extract:

"The Department for Transport will suggest that Network Rail will no longer have a monopoly over enhancements after warnings over spiralling budgets and missed deadlines.

The move comes as the government prepares to publish its rail funding settlement for the next five-year period from 2019-24.

It is believed that more cash will be invested in the day-to-day maintenance and operation of the network. New forecasts released by the DfT show that almost 850,000 people will be carried by rail into the ten biggest English cities during the morning peak by 2024 — a rise of more than 38,000 in five years.

Chris Grayling, the transport secretary, is expected to announce that the £25 billion handed to Network Rail for routine maintenance between 2014-19 will rise to reflect higher demand.

It follows evidence from the Office of Rail and Road, the rail watchdog, that there was a “need for increased volumes” of day-to-day repairs to prevent the Victorian rail infrastructure grinding to a halt."

[mfhmfh] 04/10/2017 09:51

'Run profits' according to ST in IC yesterday. Might rise on Friday when print version is available.

[rivaldo] 04/10/2017 09:36

FYI here's what Finncap had to say this week after the trading update:

"Growth, rising margin and net cash BUY
Price 410.0p
Target Price 586.0p

Renew has confirmed it expects to report FY 2017 results (to September) in
line with market expectations, delivering an increase in operating margin
(we forecast 4.5% up from 4.2% last year) alongside growth in both revenue
(we forecast +6.8%) and operating profit (we forecast +14.7%). Furthermore,
a move into net cash is expected. We make no changes to our forecasts
and reiterate our view that Renew’s strong track record of delivering
essential services on large, long-term frameworks can command a higher
rating (currently 12.8x FY 2017E EPS)."

[wad collector] 03/10/2017 21:11

Zimb , the price is often volatile here as there is usually not much volume , and often the displayed midprice is pretty random , bearing little relationship to any traded prices.

[fbrj] 03/10/2017 20:10

Zimb - you snaffled a good price...on the day! I've held these quite a while (ie 4yrs +) but they remain a long term hold for me. My only real mistake was to top up at 450p+ a few months ago. Reasonable yield, undemanding p/e, interesting sub-sector that should command a premium rating. It is my second largest holding.

[zimbtrader] 03/10/2017 17:41

Interesting and very sudden jump at 15:26 today lasting 29 mins... Be interested in any views as I've not seen that too often.

Mine was the 940 shares that went (had set a limit sell set at 425). Not complaining! Will have a few quid spare to top up the new van when I buy it this weekend. A have a pint of two... ;-)

[harrogate] 03/10/2017 15:37

Yes sorry - getting confused between my brokers !! Thanks for pointing it out.

[rivaldo] 03/10/2017 13:43

Finncap have retained their 586p target.

Numis have actually held their target price at 500p since their last Buy recommendation:



And the only reason WH Ireland shaved their own target was because comparator ratings/share prices have drifted since their last review. Perhaps this serves to emphasise RNWH's strengths of consistency and necessity of services as compared to those comparators.

One never knows what will happen to a share price. Given RNWH's steadiness and reasonable rating, it's certainly possible that its attraction for institutional investors will push the price up as we approach the results, now that the market know those results will be good.

And in addition there's always the likelihood of acquisitions - which is increasing fast after a fair old hiatus.

[harrogate] 03/10/2017 11:56

So Numis have pulled back their target price a fair bit as well. It did always look a but silly. This is not going to move or rerate I don' think until something happens to increase the 2018 EPS from 34p

[rivaldo] 03/10/2017 11:39

The Mail's market report today features RNWH and notes that Numis have a 500p target:

"STOCK WATCH - RENEW HOLDINGS

Shares in engineering services firm Renew have been volatile, but in the long-term steadily on the rise.

From about 379p in October last year, they closed yesterday at 415p after the board said sales were up 9 per cent and profit up 15 per cent.

Analysts are upbeat about the company. FinnCap has a 'buy' recommendation on the stock, noting its strong track record of delivering on large, long-term projects.

Numis has an 'add' recommendation, with a target price of 500p."

[rivaldo] 02/10/2017 23:05

Nice Buy tip here:



"Record results time and again

Renew Holdings (LSE: RNWH) has seen a massive turnaround in earnings since its nadir in the 2008/9 recession. The provider of engineering services in regulated UK infrastructure markets has posted record result after record result in recent years.

It said in a brief update today that it expects to report figures for its financial year ended 30 September “in line with market expectations, delivering an increase in operating margin alongside growth in both revenue and operating profit. The board also expects to report that the group has moved to a net cash position.”

Its shares are trading up 4p at 414p, valuing this AIM-listed company at near to £260m. With City expectations of a 17% rise in EPS to 30p, the P/E is a reasonable 13.8 and the price-to-earnings growth (PEG) ratio of 0.8 is nicely on the value side of the PEG fair-value marker of one. As such, I rate the stock a ‘buy’."

[mfhmfh] 02/10/2017 12:23

buy rating reiterated in today's IC.

[rivaldo] 02/10/2017 12:14

The IC say Buy - I assume they will be following this brief update up with a full Tip Update since this is one of their main tips:



"Renew Holdings (RNWH) issued a brief but positive trading update this morning, indicating it had traded in line with expectations for the year to September 2017. It increased revenue, operating profit and operating margin, as well as moving into a net cash position. Shares are up 5 per cent on the news. The shares are down on our buy tip, but this update indicates the business is continuing to improve. Buy."

[broadwood] 02/10/2017 11:24

Renew Holdings said it expects to report results for the full year in line with market expectations.

Accordingly, it anticipates an increase in operating margin alongside growth in both revenue and operating profit.

The company also expects to move into a net cash position.

[harrogate] 02/10/2017 11:23

I don't think there us any guesswork as the base EPS number they are using for 2017 and 2018 is the same - it simply comes down to the multiples they are applying to that. Fincap are using 17 which looks way too high to me for a company that is only forecasting 6% growth in EPS in 2018, But WHI looks too low at 12 for a company that has such massive revenue visibility and such a great track record of hitting the numbers. Hence for me a hold

[harrogate] 02/10/2017 09:37

Interesting that WHI reduce their price target to 430p today from 470p - citing continued drag from the gas business and costs of closure. Looks very fairly priced now but suspect that it will need more than the 34p for 2018 to get it moving up - an acquisition for example, although with the change in FD at end of November you would have thought that would be a while coming. I am a strong holder but don't see a reason to buy more at 420p

[rivaldo] 02/10/2017 08:37

Finncap reiterate their 586p target and Buy recommendation following today's update.

They state that "Renew’s strong track record of delivering essential services on large, long-term frameworks can command a higher rating (currently 12.8x FY 2017E EPS)."