Rs Share Discussion Threads

[philanderer] 02/1/2023 00:00

RS Group

RS Group, the industrial equipment maker formerly known as Electrocomponents, welcomed Mawer Investment Management on to its shareholder register in December, it was revealed last week.

Canadian firm Mawer took a 5.1 per cent stake in RS – which is one of the FTSE 100's non-household names.

But, awkwardly for RS, the transaction came shortly before it published its light-hearted review of the year in the form of a poem in Canada's Financial Post publication.

Mawer tells readers: 'Stay calm and prepare. Continue thinking long term. Choose "boring" over flare.' Ouch.

[philanderer] 20/12/2022 23:58

RS adds high-performance and high-reliability connectors to its TE Connectivity portfolio


RS, a trading brand of RS Group plc, a global omni-channel provider of product and service solutions, today announced it has expanded its offering of products from TE Connectivity, a world leader in connectivity and sensors.

Now available for RS customers is the ERNI range of connector products – which is a result of last year’s acquisition of ERNI Group AG by TE Connectivity. Prior to the acquisition, ERNI had built up an enviable reputation over more than 74 years as a leader in developing high-reliability connectors for harsh environments or extreme conditions.

pandct.com/

[philanderer] 16/12/2022 12:35

RS Group was down 1.2%. The industrial and electronics products distributor said that its chief executive officer resigned with immediate effect, while the chief financial officer will be acting CEO.

CEO Lindsley Ruth agreed with the board to step down immediately due to personal reasons. CFO David Egan will lead RS Group as acting CEO until a permanent successor is found.

[philanderer] 23/11/2022 15:13

xd tomorrow morning for the 7.2p dividend

[disc0dave45] 17/11/2022 12:05

Seems to have recovered from the CEO news.

[philanderer] 04/11/2022 10:34

No bounce yet, just more sellers getting out.

[philanderer] 04/11/2022 00:15

MARKET REPORT: British tech firm RS Group sees its shares tumble as its American boss takes leave of absence

A British tech group dubbed the Amazon for engineers saw shares tumble after its American boss took a leave of absence and returned to the US to deal with a family issue.

RS Group, which was founded in 1937 and used to be called Electrocomponents, said its chief executive Lindsley Ruth has stepped back from his role with immediate effect.

Shares plunged 7.3 per cent, or 69.5p, to 885p on the news. It is understood Ruth felt the personal matter was harming his ability to run the FTSE100 business.

Finance boss David Egan will take on Ruth's duties while also doing his own job. RS chairman Baroness Fairhead said: 'Under Lindsley we have built a great business and he has our support through this period.

'The board are very grateful to David and our experienced senior management team for stepping up and we are confident that we will maintain good momentum in the business.'

Ruth ran the private Canadian business Future Electronics before taking over at RS in 2015. He also took a leave of absence between November 2019 and February 2020 due to personal health issues.

The change at the top came as the company said revenue rose 21 er cent to £1.46bn in the six months to September while profit soared 34 per cent to £182.5m.

There was no slowdown in Europe and the Americas despite the global economic turmoil, RS added. The group also said its £246m acquisition of the Mexican distributor Risoul should be completed by the end of the year.

[philanderer] 03/11/2022 23:54

Investors Chronicle:


RS Group relishes calm before the storm

The industrials and electronics distributor reports a strong first half of the year, but trouble is brewing on several fronts


RS Group’s (RS1) first-half results showed an uptick in both revenue and profits – in addition to consensus-beating earnings per share and gross margins. So why did its share price slump more than 8 per cent on the day of its interim report?


The answer lies in investors’ assumption that there is trouble in the group’s upper ranks. Alongside its interim results, the group also revealed that its CEO, Lindsley Ruth, would be taking an immediate leave of absence for personal reasons. According to Jefferies analysts, the shares pulled back by around 10 per cent last time this happened in November 2019.

But the group’s underlying business remains healthy – at least for the moment. Its first-half free cash flow figure of almost £112mn was 10 per cent above expectations. Return on capital employed – a ratio that measures a company’s ability to use capital to generate profits – improved by 6.7 percentage points.

RS said that trading over the first four weeks of the second half has been in line with its expectations. However, Jefferies recently downgraded earnings per share estimates to 8 per cent below consensus for the 2024 financial year. Analysts have said that short-cycle headwinds have only been gathering since.

“Semiconductor warnings have proliferated, driven by a slowdown in demand for personal devices and exacerbated by US action to rein in China’s chipmaking power,” they wrote in a 3 November note. The analysts also noted that this weakness was broadening out into industrial equipment and the manufacturing the Purchasing Managers' Index has further softened.

The shares are currently trading at nearly 16 times earnings, far lower than the company’s five-year average of 21.5 times, but we think they may yet have further to fall.

Hold.

[philanderer] 03/11/2022 11:26

W1lbur, good call.


RS Group - formerly Electrocomponents - tumbled on Thursday as it announced that chief executive officer Lindsley Ruth will take a leave of absence with immediate effect for personal reasons.

In Ruth’s absence, a management structure is in place to ensure continuity and maintain momentum in the execution of the group's strategy, it said. David Egan will assume his duties in addition to his role as chief financial officer.

Jefferies pointed out in a note that "when this also occurred in November 2019, the shares pulled back by circa 10%".

Sharecast

[w1lbur01] 03/11/2022 10:29

Brought today results very good maybe the Ceo on a leave of absence another small point probably just general market but will be adding on the way if results carry on

[philanderer] 02/11/2022 15:47

Half year results tomorrow

[philanderer] 15/10/2022 00:04

Allied Electronics & Automation, a trading brand of RS Group plc, a global omni-channel provider of product and service solutions, is rebranding itself as “RS” in the first quarter of 2023.

The company said that the name change is part of an overall rebranding strategy to establish a better connection across RS Group’s products and services. Executives feel that having one global RS brand will deliver efficiency, value, and scalability to stakeholders worldwide.

“This marks the beginning of an exciting new chapter for us,” said Lindsley Ruth, CEO of Allied’s parent company, RS Group plc. “Today, Allied is known as a leading supplier of products and services to the North American Industrial automation, control, and electronics markets.

Aligning all of our businesses under RS Group allows us to operate as a single global integrated solutions partner, expanding our value proposition and making it easier for our customers and suppliers to do business with us.”

[philanderer] 12/10/2022 10:01

'RS Group runs the gauntlet of interest rate hikes'

[philanderer] 10/10/2022 10:36

Ah, it's a downgrade...

JPMorgan cuts RS Group to 'neutral' (overweight) - price target 1,050 (1,250) pence

[philanderer] 10/10/2022 10:30

All very disappointing after last week's update.

[philanderer] 07/10/2022 11:03

HSBC raises RS Group price target to 1,430 (1,375) pence - 'buy'

[philanderer] 07/10/2022 10:57

RS Group: ‘Cheap for quality growth’, says Liberum


Electrical products distributor RS Group (RS1), formerly Electrocomponents, is cheap for a quality growth stock, according to Liberum

Analyst Sanjay Vidyarthi retained his ‘buy’ recommendation and raised the target price from £14.60 to £14.70 on the stock, which was trading up 1% at £10.16 on Thursday afternoon.

‘RS continues to outperform, taking market share and leveraging its sales growth to drive margin expansion,’ he said.

‘We see this as a function of investment in people and infrastructure in recent years.’

He said the group’s ‘repair and maintenance focus makes it more defensive than its exposure to industrial markets might suggest’. Vidyarthi expects it to take market share with its ‘disruptive, omni-channel model’.

Reflecting the ‘strong first half’, he raised profit-before-tax estimates for the current year by 3% with ‘cautious assumptions for the second half’. On the valuation, he said the current year price-to-earnings ratio of 16.1x is ‘cheap for quality growth’.


citywire.com

[essentialinvestor] 06/10/2022 14:27

..Journey to greatness, eh

[philanderer] 06/10/2022 14:15

UBS cuts RS Group price target to 1,300 (1,375) pence - 'buy'

[philanderer] 06/10/2022 10:28

And it's a good 'un.

[philanderer] 05/10/2022 18:36

Trading update tomorrow

[philanderer] 03/10/2022 10:07

Jefferies cuts RS Group price target to 1,230 (1,300) pence - 'buy'