Rws Share Discussion Threads

[jeffian] 08/1/2023 12:20

Of course, perceptions are different dependent on when one buys in (2006 et seq in my case) and what investment timescale you operate (mine tends to be 'for ever'). Sure, this share has taken a caning since Covid lockdowns etc, but the fundamentals are still good. It is extremely cash-generative, is able to grow by self-funded acquisition and has been a 'dividend hero' paying increasing dividends over a prolonged period.



The long-term graph puts it in perspective. I will continue to hold in the belief that this will prove to be a temporary dip caused by the extraordinary circumstances of the past few years.

[keyno] 08/1/2023 12:03

Every time I see the header here I think glumly that za fun didn't last long for me! I'd love a t/o. Sigh. Averaged down but still under water.

[alter ego] 06/1/2023 09:44

Thx Phillis.

[phillis] 06/1/2023 09:20

From Questor today

Update: RWS

Another IHT Portfolio holding, RWS, was rumoured to be a takeover target last year. The patent translation specialist’s shares had fallen sharply following Russia’s invasion of Ukraine. However, no bid was ultimately made.

Since then, the company’s share price has risen about 17pc. And while it still trades down 5pc since being added to our IHT portfolio in December 2017, full-year results released last month highlight its improving performance and long-term capital return potential.

Crucially, it has made faster-than-expected progress in transitioning towards a subscription-based business model that offers greater stability during a period of economic uncertainty. It also delivered a 160 basis point increase in gross margin at a time when many companies have struggled to maintain profitability amid extreme levels of inflation.

Profitability was aided by a renewed focus on higher-margin contracts, cost control and the increasing use of a recently launched in-house production platform. This contributed to a 51pc rise in pre-tax profit for the year. The company’s strong cash flow and £72m net cash position mean that it is well placed to pivot from being a potential acquiree to capitalising on undervalued peers while stock market valuations are depressed.

Trading on an adjusted price-to-earnings ratio of about 15, RWS offers good value for money. It is yet to fulfil its potential but has the financial standing, business model and market position to generate improving share price performance as the global economy gradually recovers. Hold.

[phillis] 04/1/2023 09:19

as you say
nothing

[wad collector] 28/12/2022 23:11

1. Loss of Russian-owned business custom as they have stopped supply.
2.IP reduced income from increased regulation.
3.Increased investment reducing future margins.
4. Turnover in boardroom from losing CEO and CFO

Otherwise, nothing.

[phillis] 28/12/2022 10:39

what problems would they be?

[cravencottage] 24/12/2022 10:42

Doesn't surprise me at all.

If they continue to deliver they have a lot of lost ground to regain.

[wad collector] 24/12/2022 10:11

Tipped in IC as BUY in their end of year AIM review. Suggests that the recent problems are soluble and short term whilst growth will follow. FWIW.

[barbar7619] 19/12/2022 21:28

Hopefully a breakout

[cravencottage] 19/12/2022 20:39

That's what I like to see..

Even in a bear market.....The market appreciating quality..

[blackhorse23] 15/12/2022 21:52

Switched to CURY today lol

[kalai1] 15/12/2022 14:48

RWS Holdings plc reported final results for the year ended 30 September 2022 this morning. Revenue was up 8% to £749.2m, adjusted PBT was up 17% to £135.7m and adjusted basic EPS was up 12% to 26.6p. The balance sheet strengthened with net cash up to £71.9m. The 17% increase in adjusted profit before tax reflects the full year effect of synergies from the integration of SDL, operational leverage from higher translation volumes through the LXD platform and effective cost control. Valuation is average for the sector with forward PE ratio at 13x. Share price has been in a correction through 2022 so far and lacks momentum, but it does appear to be putting in a floor through H2. RWS has growth and is reasonably profitable, but it may still be a little too soon to buy. Monitor for now...

...from WealthOracle

[phillis] 15/12/2022 10:58

indeed Jeff.

18 years of increased dividends

[cravencottage] 15/12/2022 10:47

Great news

[jeffian] 15/12/2022 10:40

Indeed. I know that acquisitive companies raise questions about "adjusted" earnings arising from the treatment of acquisition costs but you can't argue with cash (and Brode's LTG is the same); it's either there or it's not. There are companies that claim to be profitable but, mysteriously, have less and less cash every year. Brode's companies are hugely cash-generative and pay for themselves in pretty short order.

[phillis] 15/12/2022 07:49

Pretty impressive performance
Well done team RWS

[phillis] 14/12/2022 15:36

And back down tomorrow?

[ygor705] 14/12/2022 10:05

Thanks drectly

[drectly] 14/12/2022 10:04

15th Dec according to their website.

[ygor705] 14/12/2022 10:00

According to The Times the results should have been out yesterday. Anybody have any more news on that front?

[cravencottage] 28/11/2022 22:07

bought a handful of these today..

The metrics seem compelling with a tidy sum on the balance sheet..Coupled with a good divi..

Historically sold on a much higher P/E and the market is gradually waking up to this.

DYOR

[alter ego] 11/11/2022 16:22

"RWS...confirms that it will make a final contractual payment on 14 November of $5 million in relation to the acquisition of Iconic Translation Machines Ltd ("Iconic"). The payment reflects an agreement reached with the Iconic shareholders to receive the payment in cash rather than RWS shares, as had originally been agreed."

[disc0dave45] 27/10/2022 10:02

Nice CEO purchase.