Safecharge Share Discussion Threads

[rivaldo] 24/1/2017 08:30

Good to see the share price bouncing nicely now.

If this really has cleared out the seller then today's RNS may mean a great deal for the share price as investors pile in safe in the knowledge that the constant supply of shares is no longer there.

[trentendboy] 24/1/2017 08:09

Yes, excellent buyback. Interesting that pays just drips out 100,000 a time. SCH go in big.Question is why? Because someone has a large line to clear?Start of a bigger series of buys?Now, I would prefer the cash to be used for corporate action as it shows a lack of imagination but still, should help the share price

[rivaldo] 24/1/2017 07:35

Great to see SCH buying back £4.3m of shares in one hit - this must surely have reduced the seller's ammunition to not much if anything at all:

[johnv] 23/1/2017 19:00

Just had a great update on the 19th Jan with the full results around 10th Mar.

Heres brokers target prices
old new

20 Sep 16 Canaccord Genuity Buy 199.50 320.00 320.00 Reiterates
14 Sep 16 Berenberg Buy 199.50 324.00 324.00 Reiterates


just noticed the 4.5m sells today

[melf] 23/1/2017 17:47

Maybe it's simply a seller??

[slipperysidewinder] 23/1/2017 11:23

You only need a quick look at the chart to see that something is very wrong here.

Turnover and profits going one way whilst share price goes the other. This just doesn't add up.

I am beginng to worry something nasty lurks beneath.

[trentendboy] 20/1/2017 11:56

More likely that PTEC will bring it in house again but that would not always help SCH in its search for non-gaming customers.

They do really need to look at some cooporate action though - in the meantime 6% yield is a pretty good return.

Reminds of GVC 10 years ago - sometimes high yields are legit.

[slipperysidewinder] 20/1/2017 10:24

Melf

The truth of the matter is that there us nothing to stop Tedi Sagi taking this private again and keeping all the monies himself. And I wouldn't blame him.

[melf] 20/1/2017 10:03

Slippery, even without the Chinese business PAYS' p/e is about 12 which is very low. I take on board what your saying about the shorts however I do think the sector is generally under a bit of a cloud at the moment. In my opinion, there is some "cross contamination" from recent PAYS episode.

[slipperysidewinder] 20/1/2017 09:28

Melf

But paysafe is under major short attack with a spotlight on potentially self-harming business practices and worldpay's strategy and track record is all over the place.

[slipperysidewinder] 20/1/2017 09:28

Melf

Put paysafe is under major short attack with a spotlight on potentially self-harming business practices and worldpay's strategy snd trsck record is all ovwr the place.

[melf] 20/1/2017 09:24

Have a look at PAYS as well. That's also on a ridiculously low rating at the moment and Worldpay isn't exactly flying. The sector is a bit out of favour at the mo methinks.

[slipperysidewinder] 20/1/2017 08:42

I smell a rat here. Although I am long something is not right. There is no way in a million years this should be valued at these levels. We should be looking at well north of 350 when all things taken into account.

Good stewardship, a robust model and healthy growth, increasing profits and tremendous divis are eventually reflected in share price

But it does not happen here.

The question is WHY?

[trentendboy] 19/1/2017 14:12

very good - thanks

nice work.

6.6% is a serious return and given no debts and big cash file limits the risk

[whentobuy] 19/1/2017 11:33

EPS in the interims was 9.88 on a PAT of $15.2m. PAT was 90% of EBITDA. Assuming eps comes in at 20 cents per share means EBITDA of say 22 cents per share with a 75% distribution that's 16.5 cents at $1.23:£1 that's 13.4p or 6.6% yield at 202p/share.

[trentendboy] 19/1/2017 11:16

What would the yield be on a price of £2 a share assiming 75% of EBITDA is distributed?

I suspect a hellaofa lot more than money in a bank account.

Getting very tempting again.

[whentobuy] 19/1/2017 09:26

Last years div's at 14.3 cents are 5.75% on $1.23. Backed by cash and expanding by the look of the statement. $34m ebitda should translate to around 20 cents eps or a PEG of only 0.5 on last years results. Surely this is a bargain when added to Trent's comment?

[trentendboy] 19/1/2017 08:57

An excellent update and with 75% going into dividends this could be a nice return - I suspect the yield at the current price is already quite attractive.

I still believe strongly that SCH will be snapped up at some point. Paysafe are the obvious buyers.

They have cash and excellent Tier 1 customers - these maybe shared by PAYS as well of course.

I suspect it could be a different mainstream buyer wanting gaming access as it continues to be regulated around the world.

[rivaldo] 19/1/2017 08:44

The trades at 202.12p and 202.2p are all buys - there's evidently a bit of stock around at bargain prices at present.

[slipperysidewinder] 19/1/2017 08:41

Whento

Can you make your last post a little clearer. I does not read very well.

[whentobuy] 19/1/2017 07:43

The balance sheet is in good shape even if the strategy is not picking up value short term. The only contrarian position here is if when the next break happens it is upwards as a result of the market being made down to trigger stops and allow accumulation currently, rather than change in outlook or fundamentals?

[rivaldo] 19/1/2017 07:40

Today's update looks good and solid to me, with adjusted EBITDA up almost 10% on last year and an $124m cash pile.

Plus a record-breaking Q4 augurs well for this year, along with the closing outlook statement:



"The Company remains confident that its focus on higher quality earnings from its healthy pipeline will yield continued revenue growth during 2017, building profitable momentum into 2018."