Renishaw Share Discussion Threads

[redartbmud] 07/1/2013 16:32

It seema so me that the happy chappie at UBS does not know the company that well, and his research has been somewhat limited.
For certain product lines there is a short order/supply lead time, and the company has to gauge levels of production to meet the need as it arises.
Ihe order book is well documented by the company when it reports. The trick is to assess how much tunover has been, and how profitable it has turned out.
The last muttrings were that business was good, and they have been recruiting additional staff in recent times.
I am not saying that shares are under or over-valued, each must do their own research and make their own judgements, but my comment on UBS is superficial.

red

[broadwood] 07/1/2013 13:38

This seems fair enough to me in view of the fact that the Co said they had only a month's visibility back at the time of the IMS. So we know what to look for when they report.


Renishaw downgraded by UBS
UBS has downgraded its recommendation on Renishaw [LON:RSW] to 'neutral' from 'buy' after the recent strong share price performance given uncertainties over near term opportunities for future growth.

The City broker has raised its share price target to 2,000 pence from 1,900 pence to reflect the re-rating in the sector.

Shares in Renishaw have increased in value by nearly 15 per cent in the last three months.

Analyst Stephen Swanton said: "Having been the best performer in UK Capital Goods in 2012 we think Renishaw's shares may struggle to make further ground without clarity on its end-markets.

"We find judging momentum at Renishaw more difficult than normal. On balance, we think the absence of further electronics project orders in the near term will outweigh the potential broad-based improvement in industrial demand that may be seen elsewhere in sector.

"We would revisit our investment stance on Renishaw at lower levels or when we get better visibility on orders."

[cambium] 07/1/2013 13:18

Cheers guys

[broadwood] 07/1/2013 09:17

Yep - UBS downgrade, I would guess primarily on valuation grounds after a storming run.

Interims are out on 30 Jan so they are getting in first.

[robinnicolson] 07/1/2013 09:12

UBS cuts to neutral from buy. Ups PT to 2000 from 1900.

[alter ego] 07/1/2013 09:04

no but I took the opportunity to buy some

[redartbmud] 07/1/2013 09:04

Post 472
Rogerail may have a grain of truth in his comment. Nothing goes up forever. This could be a pause, with a shakeout of profit takers.
The Rsw market is very thin, so price movements get wildly exaggerated at times.
The next set of announcements will be interesting. I would expect them to be very good, but how will the market react?
I am a long-term holder, but sold some a few days ago. I bought them back today to maintain my holding. It effectively enhanced my dividend by so doing.

red

[edwardt] 07/1/2013 08:54

anyone know of a reason for the drop this am?

[cambium] 07/1/2013 08:17

Crazy drop this morning on no news

[rogerrail] 13/12/2012 15:24

This has been on relentless and steady climg since results in Aug , - usually any rise subsides after a while, anyone know why its still climbing? are there any fund managers accumulating large volumes?

[broadwood] 12/12/2012 09:38

Nice bump today, so far.

No RNS so must be an upgrade.

[apad] 06/11/2012 16:07

Their technology is sans pareil on the world stage. The money is a by-product.
09 was worrying when they went on short time (a months order lead time isn't much of a buffer).
The fall at the end of 11 (up 90% since then) was due to the market worrying about a repeat of 09. I bought more, even though it is my largest holding - which breaks a golden rule!
It really isn't a trading share, j, even though its price is rich at the moment.
53 job vacancies.
My expectation is to have an annual income equal to the cost of my holding.
apad

[jamielein] 06/11/2012 15:40

I tend to just hold for the long term as long as the shares look good value. They looked a little too high before their results at around £17.50 and so I decided to de-risk a little.

Unfortunately I don't invest enough to trade in and out, as fees would be too high for me. Also I don't think I'd really be able to predict share price movements anyway (which is the main thing!)

[redartbmud] 06/11/2012 15:01

jam

Buy on weakness, sell on strenght?
Has worked in the past for me, I now have a shareholding cost 0.

red

[jamielein] 06/11/2012 13:40

Looks like selling just under half at 1746 last month wasn't my best decision

(though it did immediately fall under £17 afterwards, so I felt like I'd made the correct decision for a couple of weeks at least!)

[cambium] 06/11/2012 13:11

Up up and away

[drewz] 26/10/2012 14:04

'Twas on the BBC lunchtime national news on BBC1 and BBC News24

[apad] 25/10/2012 14:17

58 jobs on offer, up from last time I looked.
apad

[alter ego] 25/10/2012 13:43

drewz, was that local segment or national news?

[drewz] 25/10/2012 13:33

Renishaw on BBC news today as an example of where a UK business is prospering despite subdued GDP growth.

They say they are very busy and growing, recruiting, urgently needing more staff.

All sounded very positive.

[northernlass] 20/10/2012 20:59

Record First Quarter Revenues

RECORD FIRST QUARTER FOR RENISHAW

Precision tool maker Renishaw chiselled out record revenues for the July - September quarter, with the top line over a third higher year-on-year.

Revenue in the three months to the end of September - the first quarter of the firm's financial year- saw group revenue rise 36% to £95.9m from £70.5m the year before. Profit before tax for the first quarter amounted to £28.3m, compared with £13.6m last year, an increase of 108%.

The metrology business was singled out for a special mention, as it achieved sales growth of 38%, reflecting major sales to the consumer electronics industry. Healthcare revenue was at a similar level to the comparable period last year.

Geographically, the Far East, specifically China, more than doubled its revenue for the quarter compared to the corresponding period last year. Revenues for Europe and the Americas were broadly in line with last year, while the UK, a smaller geographical area in terms of revenue, showed a 27% increase.

Chairman and Chief Executive Sir David McMurtry conceded that the cost base has continued to increase as the group has had to take on additional staff, mainly on the engineering side, to support its growing revenue and demand for production resource. The group has also been pumping money into its research and development programmes.

Group headcount at the end of September 2012 was 3,018, an increase of 114 from the 2,904 from July 1st, the start of the current financial year.

The group's net cash balances, excluding the escrow account relating to security for the UK defined benefit pension scheme, stood at £18,4m at the end of September, down from £21.1m on June 30th.

"We have had a strong start to the year, however, it is still very early in our financial year and the order book remains at approximately one month's revenue. There is still much uncertainty surrounding worldwide economic growth rates," McMurty said.

"With the group's broad geographical market coverage, however, and focus on global investment in production systems and processes, the board remains confident of a further year of progress," McMurty added.

Source:


P.S.
Here's some links about SCLP, one of the hottest stocks at the moment:

[northernlass] 20/10/2012 20:56

South Wales Expansion Plan

An excellent article, which includes 3 video reports, describes Renishaw's new manufacturing facility at Miskin in South Wales:

[apad] 18/10/2012 12:47

j...
you are right to be aware of it because it means that RSW reacts very quickly to downturns. no inertia!
apad