Rpc Share Discussion Threads

[cockneyrebel] 05/7/2011 12:22

Is there a broker note or upgrade today?

Looking set for a strong afternoon with a strong US imo.

CR

[cockneyrebel] 01/7/2011 11:08

broken out through the recent intra-day highs today.


CR

[cockneyrebel] 01/7/2011 10:16

Buy note just out on Edison for RPC.

CR

[qs9] 01/7/2011 06:10

CR: looks like with £3.60 breached this is heading much higher is that your reading? WIth decent AGM statement IMO a rating of around 10 times this year is far too low for this growth stock.

[cockneyrebel] 27/6/2011 10:09

Nice bounce off the 50 day moving ave today.

CR

[cockneyrebel] 24/6/2011 17:18

picked up a wadge more just before the close - on the 50 day moving average - expecting upgrades over the coming weeks too imo.

CR

[jaws6] 23/6/2011 10:57

JPM note out any one seen it ?Only saw headline with O/w

[a1samu] 22/6/2011 15:30

Questor share tip: RPC Group proves plastics can be exciting
Yet again RPC Group has proved that the world of rigid plastic packaging is very exciting indeed.
Garry White

By Garry White

7:00AM BST 22 Jun 2011

CommentsComment

RPC Group
354p +9.8
Questor says BUY

RPC Group

RPC's full-year results, released yesterday, were ahead of market expectations as the recent purchase of European peer Superfos continued to perform well.

In the year to March, sales rose £99.3m to £819.2m – but this was not all down to the inclusion of Superfos from February 18. Like-for-like sales rose an impressive 9pc. Pre-tax profits were up 80pc to £34.6m.

The final dividend payment will be 8.1p, bringing the total for the year to 11.5p, compared with 8.4p in the prior year. The final payment will be made on September 2. Potential investors have until August 3 to get on the shareholder register to qualify for this payment.

What's good about the company's business is that it is able to pass on any increase in raw material prices to its customers. Despite the fact that polymer prices were about 20pc higher than last year and the cost now represents 36pc of sales, up from 30pc, profits were significantly higher. There is a time lag in passing on these price rises, which will have some effect on margins. However, this is only temporary.

Further acquisitions are on the cards, but nothing is imminent. When the group bought Superfos, £115m of net debt was taken on to fund the purchase. This means net debt now stands at £178.7m, compared with £80.2m at this stage last year. These figures imply that the cash-generative nature of the businesses has allowed a significant amount of debt to be repaid. Free cash flow last year stood at £50.9m.

The company has completed its cost-saving programme, which is boosting profitability.

The shares are trading on a March 2011 earnings multiple of 10.6, falling to 9.2 next year. The prospective yield is 3.3pc.

RPC was first recommended on July 26, 2009. Adjusting for last year's rights issue, the entry price was 240p. The shares are now 48pc higher, compared with a FTSE 100 up 26pc. The rating remains buy for future growth.

[cockneyrebel] 22/6/2011 14:21

Breakout coming?

CR

[cockneyrebel] 22/6/2011 14:17

Firm today - on the up now.

ta wymnck.

CR

[wynmck] 22/6/2011 07:43

BUY tip in todays Telegraph

[qs9] 21/6/2011 21:33

Be interesting to see how this one fairs during road show that inevitably occurs after results....if new or existing institutions want to buy more....great story IMO and great cash flows especially

[wynmck] 21/6/2011 15:46

Panmure Gordon Buy showing for today on brokertips-can't see new tgt though,
IC giving a repeat Buy on update too

[shuisky] 21/6/2011 12:34

At first glance, these are super results. I'll look into them deeper later on but evrything looks good. Revs ahead, earnings ahead, lots of cash flow and margins expanding in all divisions. Commodity prices are moderating and RPC's end markets are generally stable so RPC should hot a 'margin sweet spot' in the next year or so.

I thought it was worth 413p before these results but will have another look. RPC are clearly delivering on operations.

[jeffian] 21/6/2011 10:30

Re: #307,

Chart is misleading. You have to factor in the effect of the Rights Issue in January (5:8 at 143p).

[jaws6] 21/6/2011 08:27

Any broker note out ? this morning , not seen yet

[hectorp] 21/6/2011 08:12

Well done all! however there had been a 100p rise recently in anticipation of good results ( or so I surmise).
H.

[connor23] 21/6/2011 08:02

Really good RNS. I think this stock is prob the jewel in the crown of my portfolio at the moment. As CR mentioned already, divi well up, input costs being passed on (and the worst behind us there re oil I would hope) and synergies being identified. Presumbaly some of the structural costs incurred in recent years should continue to come down, with the completion of the recent programme.

I also like the fact that there appears plenty of room to grow as activity levels are not pre-recession yet and Superflos has opened up new markets. Their 2.6m contribution to profits in 6 weeks shows just how transformational this deal was for the company.

I am sure brokers will be revising those forecasts!

[qs9] 21/6/2011 07:47

Cracking stuff

[cockneyrebel] 21/6/2011 07:43

Looks like they've beaten the revised forecasts by about 10% with the divi coming in well ahead of forecasts.

Further synergies identified.

Cost increases set to be passed on this year after delays.

Only one months contribution from the Superfos acquision in this set of results too so a full years worth this year.

Must get upgrades imo.

DYOR etc.

CR

[cestnous] 21/6/2011 07:40

Excellent RNS

[jaws6] 21/6/2011 07:15

Divi increase with 80 % increase in profit.