Rws Share Discussion Threads

[jeffian] 16/4/2015 10:19

Agreed, grahamburn. If it wasn't for the currency translation issues, there's still plenty to like about this excellent company which has proved time and again that it can adapt (remember 'the London Agreement'?) and continue to generate cash. China looks promising. There's two sides to every deal; although I've already got plenty already, I might just buy aishahq's!

[grahamburn] 16/4/2015 09:48

I'm not sure you are reading the same statement as I am. True, growth momentum has slowed, but the general direction (ignoring currency headwinds) is in the right direction and the market update (ie growth in patents) would indicate further progress. Not startling, but steady, so think the price has overreacted today.

2nd June results with further details of the outlook might, however, indicate otherwise, so the investment case might change.

[aishahq] 16/4/2015 09:32

Very disappointing update. Looks like the momentum is slowing and hints possibly of a profit warning to come...? I'm out.

[deadly] 24/3/2015 09:57

Thanks,

".....Note, however, the use of the word "revenue" as opposed to "profit"."

Pity they did not emphasise the positive aspects rather than the negative.

[grahamburn] 20/3/2015 10:21

I think you've answered your own question with the caveat that the AGM Statement on 10 February did contain the following comment: "As the Euro remains the Group's principal exchange exposure, its current level of below 75p is unfavourable at the revenue line." Note, however, the use of the word "revenue" as opposed to "profit".

The share has often experienced significant price swings in a thin market with the bid price particularly vulnerable as and when the market makers widen the spread. Another interesting feature with this share.

I have failed to find any logic in it on many occasions and had hoped this feature might have been eliminated with 5 for 1 sub-division on 11 February. Obviously not.

PS As I posted the above, the market makers clearly heard me and have closed the spread - with the bid moving up!

[deadly] 20/3/2015 09:56

Sharp drop last 2 days, but no news?

Maybe it's the fall in the Euro.

But I don't understand this from the AGM statement:

"RWS has hedged its estimated net trading exposure to the Euro at an average rate of 1 Euro = 81.0p from January 1 to 31 December 2015. Similarly, the Group's estimated net exposure to the US$ has been hedged from January 1 to 30 September 2015 at an average rate of 1 GBP = US$1.60.

As the Euro remains the Group's principal exchange exposure, its current level of below 75p is unfavourable at the revenue line."

If the euro is hedged, why is the euro a problem???

[phillis] 11/2/2015 14:38

well that has brought the spread down for a while

[alter ego] 10/2/2015 15:09

thank you Orange1

[phillis] 10/2/2015 14:51

yes orange
Sorry
misread

[orange1] 10/2/2015 13:57

The share split is effective as from tomorrow morning.

[alter ego] 10/2/2015 13:49

thanks for the reminder Phillis

[phillis] 10/2/2015 13:46

Stock split 5 for 1 effective Monday
should help
nice positive AGM statement

[phillis] 19/1/2015 11:12

RWs already use SDL machine translation

X Dividend due soon

[randomambler] 15/1/2015 09:28

Ah well as a potential new investor into RWS I want to know a couple of things:

1) Is this a quality business and are the management any good - what is the track record here?

2) What's holding the business back? Are the risks internal or external and can they be managed?

So with a bit of analysis my conclusions are:

1) RWS is quality: margins and ROCE are high and stable, growth is steady and there is some diversification in revenue sources. Also management have their eye on the ball and have dealt with government legislation before

2) The Unitary Patent remains an unknown but imminent risk. RWS are gaining non-EU and non-patent business but can they diversify quickly enough? Are margins going to be permanently reduced in future? Machine translation also provides competition that will only become more intense.

So why have I posted my thoughts? Because I'm interested in feedback and comments - and I also can't decide whether or not RWS is worth buying at current levels!

[phillis] 15/1/2015 08:26

why have you posted your thoughts of a decade?

[randomambler] 13/1/2015 12:29

What do you mean Phillis?

[phillis] 13/1/2015 11:13

Random
why?

[randomambler] 10/1/2015 17:33

I only found about RWS a few months ago and have only just got round to looking at the figures. Pretty impressive to say the least although the Unitary Patent is a bit of a concern. Anyway I've put my thoughts about RWS over the past decade into this post:

[alter ego] 31/12/2014 10:48

from the prelims:

Proposed Share Split

The directors, having consulted with the Group's brokers, consider that an enlarged number of ordinary shares with a lower price per share will serve to improve the marketability and liquidity of the Group's shares.

A proposal will therefore be put to the forthcoming AGM that, subject to shareholder approval, a 5 for 1 share split will be effected.

[bhavini4] 31/12/2014 09:58

When does the share split take place please?

[bhavini4] 23/12/2014 16:00

Octopus increase holding:

[phillis] 09/12/2014 10:34

Andrew B following his policy of big divi increases
Long may it continue

More to come from this cash machine

[jeffian] 09/12/2014 09:51

Results out. This is a great company - just goes on growing revenues, profits, dividends and - importantly - cash. What's not to like.

N.B. to anyone who doesn't read down beyond the initial bullet points - they're going to split the shares 5:1 to help liquidity.

[pamelajane] 05/11/2014 14:15

Quite a lot of big buys going through now. Two buys alone of nearly £1.2m! x