Safestyle Uk Share Discussion Threads

[buffetteer] 22/9/2014 09:16

This is where the money is made -buying when no-one else wants them -trading at less than 11x -crazy.

[tintin82] 19/9/2014 19:21

It is unfortunate that the share price has not reacted more positively the last two days. However I really cannot find any other reason other than it is simple overlooked by the market, just the kind of share to buy. Added to that it makes lots of profit, healthy cash flow, and not a red flag in sight. If ever a perfect share...

[discodave4] 19/9/2014 18:25

paleje,Dipped my toe in today @ 173.6.........that's why it dropped! Lol.Guessed after results IC would do an update, let's hope more readers over the weekend inspires some upward movement.GLDD

[gswredland] 19/9/2014 18:11

Thanks paleje

[morti1] 19/9/2014 18:09

I really thought after yesterday's very positive results that today the share price would have gathered some real strength. Instead it went down. I am invested here because I think the company looks very cheap. Don't really understand the lack of momentum at all.

[paleje] 19/9/2014 17:03

Well there's good timing, IC have issued an article this afternoon so won't be in their magazine but they normally gets some attention....

Robust growth for Safestyle
After an installation boom in the 1980s, the first generation of double-glazed PVC windows and doors are reaching the point where they need to be replaced. Add to that a recovery in consumer confidence, and a buoyant housing market, and Safestyle's (SFE) management is confident about the company's prospects.

The purveyor of PVCu windows and doors - which only floated in December - enjoyed an 8 per cent rise in the volume of frames installed in the first-half. That's not bad given the 4 per cent growth seen in the wider market. Leads from television and online grew 12 per cent to 27,762, while those generated from door-to-door salesmen fell. This change in consumer shopping habits is good news for Safestyle as internet and telephone sales offer better profit margins.

The biggest area of growth was the England's south east, where sales grew a fifth. Chief executive Steve Birmingham told us there was "more to be had" here and that Safestyle would focus on expanding into the region. The business is strongly cash generative, too, and the group's cash pile grew £5.6m, enabling Safestyle to support a decent dividend payout. Meanwhile, the order book for the second half looks strong and, while the market is expected to slow marginally, Mr Birmingham expects Safestyle to outperform.

Broker N+1 Singer expects full-year pre-tax profit of £16.8m, giving EPS of 15.3p (from 13.6p in 2013).

SAFESTYLE (SFE)
ORD PRICE: 177p MARKET VALUE: £138m
TOUCH: 175-178p 12-MONTH HIGH: 217p LOW: 130p
DIVIDEND YIELD: 4.9% PE RATIO: 19
NET ASSET VALUE: 31p* NET CASH: £10.8m
Half-year to 30 Jun Turnover (£m) Pre-tax profit (£m) Earnings per share (p) Dividend per share (p)
2013 62.7 7.8 7.7 nil
2014 69.2 8.6 8.5 3.1
% change +11 +10 +10 -
Ex-div: 1 Oct

Payment: 3 Nov

*Includes intangible assets of £21.6m, or 28p a share

IC VIEW:
The shares are trading on barely 12 times forecast earnings, despite the prospect of strong earnings growth and a decent dividend yield from a well-covered payout. Buy.

[paleje] 19/9/2014 16:44

I'd say they're sells looking at the price, don't have L2 but seems that's what's caused the drop, maybe they're finished now, I only entered today, not very welcoming:)

[fruitninja84] 19/9/2014 16:32

I just can't make sense of level 2 with this share? Does anyone else's mind boggle when looking at it? I'm tempted to take a loss here from 190p , market seems to not be a fan ,, and those big buys earlier could be sells.. Te computer doesn't know it just guesses ..

[tintin82] 19/9/2014 10:54

Three massive buys at over a mil in total just through. Someone clearly has confidence

[paleje] 19/9/2014 09:46

Still steady DD4, get in!:)

I just saw Robbie Burns bought into these months ago at 185, not usually bad to tuck in a bit below him.

[discodave4] 18/9/2014 20:07

Paleje,Thought it best to wait to see what the "vote" brings tomorrow before getting in here.........knowing my luck it will be No and up she goes again!. GLDD

[paleje] 18/9/2014 16:13

I know gohilster, I kicked myself, in now though and happy enough. Added TRI today too, another one issuing cracking update to little applause. Relief rally tomorrow or some 'opportunities':) Could do with that elusive hindsight again.

[lozler] 18/9/2014 14:00

Cracking set of results here, nice dividend too, the price will hopefully re rate to 200-250p in time.

[gohilster] 18/9/2014 09:13

Easy to say in hindsight paleje. If I wasn't already in, most probably would have waited too. But even at the current price, still super value and the reassurance the business is performing very strongly. I'm looking to add on that basis for the medium-long term.

[paleje] 18/9/2014 08:53

Well there we are, yesterday was a gift horse after all, shouldn't have dithered, nice results.

[tintin82] 18/9/2014 08:17

Looks great. Lots of buys coming through now. Hopefully this will be the start of a re rating. So undervalued. The post tax profits vs mcap very reassuring.

[olded] 18/9/2014 07:27

Super results. All kpi's up with nice dividend too. We'll run company. Happy holder.

[m1das_touch] 18/9/2014 07:22

I think these are excellent results, nothing to concern me here. They're growing revenues, profits, market share and margin...and that despite some cost pressures. With a 3.1p interim dividend looks like we're in for strong dividend growth for the full year too.

I'm not too bothered about the price action first thing; excellent growth company, paying a growing dividend - long-term hold for me, or at least until the economy shows signs of turning down again.

[billy ray] 18/9/2014 07:16

Interim out -

On first glance, all looks OK. Revenue actually £1.1M higher than stated in the recent trading statement, nice growth in all other parameters and positive outlook with increasing market and increasing market share (especially in the SE). Some costs pressures (advertising, glass prices etc) but all looks well-controlled by operating efficiencies.

So glad I've held on, let's see what the price action will be first thing.

[discodave4] 17/9/2014 21:50

PsJust quickly checked all 15 company's who are issuing interims/updates tomorrow, to see if it's referendum & pre results nerves and only 3 were up today. That said SFE was by far the greatest faller. So what can I conclude from this!........£&@k knows!.From what I have read SFE's operating area stops just over the border, so assume they do very little (if any at all) business in Scotland, so doubt it's specifically the vote that has caused today's fall. That only leaves a tree shake or bad results have been leaked out. My money is still on the former.We will found out tomorrow I guess.DD

[discodave4] 17/9/2014 21:33

paleje,Been watching for a while also, was tempted in today but not that brave.Think SFE results will be good and today was just MM's games IMV.DD

[morti1] 17/9/2014 18:19

Good trading statement in July, followed by sudden drop before results tomorrow and breaking down through support levels. Share price came back a bit at the end. Was it a tree shake? Need results to be good tomorrow.

[paleje] 17/9/2014 14:57

Been following this one, don't hold yet, the recent drop 190/165 prior to results is a bit unsettling, thought it might be referendum nerves but that wouldn't make sense, no currency concerns, decent track record so far, can't see what would spook them but the fact something has has spooked me:) I'll wait till morning, hope they deliver.

[gswredland] 17/9/2014 14:38

Does seem to look like a tree shake given volume. You know what mm's are like!

[olded] 17/9/2014 13:51

The very sudden drop suggests a shake to me. Wasn't caused by consistent selling, so I think it's likely MM accumulation for the interims rise tomorrow. Suspect it will creep up during the day.