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Share Name Share Symbol Market Type Share ISIN Share Description
Sage Group LSE:SGE London Ordinary Share GB00B8C3BL03 ORD 1 4/77P
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  +0.20p +0.03% 580.20p 579.80p 580.20p 582.60p 575.20p 578.40p 294,687 10:11:51
Industry Sector Turnover (m) Profit (m) EPS - Basic PE Ratio Market Cap (m)
Software & Computer Services 1,715.0 342.0 27.8 20.9 6,286.59

Sage Group Share Discussion Threads

Showing 4851 to 4874 of 4875 messages
Chat Pages: 195  194  193  192  191  190  189  188  187  186  185  184  Older
DateSubjectAuthorDiscuss
28/11/2018
16:01
that means they are probably buying ;-)
bountyhunter
28/11/2018
15:56
Thanks mamcw, Always extremely valuable to have user insight and it'll be great to hear how your upgrade goes - well and trouble-free I hope of course. And your thoughts on Cloud 50 when you get yours hands on it. Nice to see the share price trending up (just above 600p as I post) just as we see Analysts downgrades :-) Regards Maddox
maddox
27/11/2018
19:26
Hi Maddox The main issue with moving to different software is the hassle factor / the worry that something goes wrong and you end up having to re-enter huge amounts of data. Hence inertia is a strong motivator here and I think will massively benefit Sage for risk averse users like me, who will naturally gravitate to Cloud 50 (most likely in a huge rush around end March!). I've yet to make the move, but will do as soon as I finalised my year end accounts (31 October). In the meantime, I'm pleasantly surprised by the strength of the SP, particularly in the face of the negative broker comment.
mamcw
23/11/2018
17:59
Were the same brokers as cautious when the share price started with 8?. Usually too optimistic near the peak, too cautious near the trough.
essentialinvestor
23/11/2018
17:46
Here is a more balanced view: Https://markets.ft.com/data/equities/tearsheet/forecasts?s=SGE:LSE
bountyhunter
23/11/2018
17:33
CREDIT SUISSE CUTS SAGE GROUP PRICE TARGET TO 530 (625) PENCE - 'NEUTRAL' ---------- JPMORGAN CUTS SAGE GROUP PRICE TARGET TO 560 (670) PENCE - 'NEUTRAL' ---------- DEUTSCHE BANK CUTS SAGE GROUP PRICE TARGET TO 505 (540) PENCE - 'HOLD' ---------- SOCGEN CUTS SAGE GROUP PRICE TARGET TO 465 (583) PENCE - 'SELL'
spacecake
22/11/2018
23:50
Hi Solooiler, FY 2019 Guidance: Steve Hare said "So what does all this mean for FY 2019, as Derk sort of alluded to guidance is based on continuing operations at constant exchange rates and takes into the account -- into account the impact of IFRS 15. On this basis, we expect recurring revenue growth of 8% to 9%, with SSRS revenue expected to be flat to down mid-single-digits. Now, as the pace of transition increases towards subscription, it may be that the overall rate of revenue growth may decrease in the short-term, because we are focused on recurring revenue and subscription. We expect the organic operating margin before the additional investments of GBP 60 million to be broadly stable. But therefore, after the investments resulting in a guided range of around 23% to 25% free cash flow will remain strong." So 2019 recurring revenue (79% of 2018 revenue) is forecast to grow 8 - 9% but the 'overall' revenue growth rate will be lower as SSRS contracts (18% of 2018 revenue) are displaced by SaaS contracts. Regards, Maddox
maddox
22/11/2018
20:26
"Looks solid and forecasting a 8-9% revenue growth for 19." More like 6%
solooiler
22/11/2018
17:25
Hi mamcw, Welcome aboard. It'll be great to get your views on Cloud 50 as a product and your decision to stick with Sage, and what you think of the alternatives? I think MTD may be important for Sage in 2019 in two respects: Firstly, as a revenue driver from subscription (SaaS) pricing; and Secondly, the move to cloud-based product - will change the perception of Sage as only offering shrink-wrapped, desk-top, on-premise products. regards Maddox
maddox
22/11/2018
16:35
Welcome, oh sage one.
dogwalker
22/11/2018
15:56
New to this thread, but as an existing Sage user, what made me buy their shares now is the impact that Making Tax Digital is going to have on existing Sage users (like me) who previously bought their software outright. Making Tax Digital is forcing me to upgrade by next April, from which date HMRC will only accept VAT return from compliant software. Sage no longer offer a one-off sale of their software, so I will be forced to move to their Cloud 50 subscription model.
mamcw
21/11/2018
10:46
Great point Maddox. Ive added today. The current price is an absolute dream.
mozy123
21/11/2018
10:22
Hmmm, yep yopf, that's the perception but are you sure about that? Sages cloud business is larger than Xero and growing fast: 'Sage Business Cloud ARR of £434m, growing at 51%, with £52m of ARR added in Q4 18' and is profitable too. Xero 2018 revenue £216m and CAGR of 49%, so half the size, growing slightly slower and still loss making. Mr Market hasn't woken up to this yet, but will at some point.
maddox
21/11/2018
09:11
One problem is the transition to cloud. Xero are fast catching/overtaking sage who were slow to act.
yopf
21/11/2018
09:09
Should revisit 490
yopf
21/11/2018
08:53
Looks solid and forecasting a 8-9% revenue growth for 19. Sage at 800p was pricy. At 500p its cheap as chips.
mozy123
21/11/2018
08:53
Looks solid and forecasting a 8-9% revenue growth for 19. Sage at 800p was pricy. At 500p its cheap as chips.
mozy123
21/11/2018
07:51
---------- ------- FY18 performance -- Improvement in H2 18 performance with organic revenue growth of 7.0% achieved, driven by renewed focus on high-quality subscription and recurring revenue, with both August and September showing recurring revenue growth in excess of 7% year-on-year and sequential month-on-month growth, driving momentum into FY19; -- Recovery in Northern Europe (UK&I), with sequential increases in recurring revenue growth in every month in H2 18 and in France, which in Q4 18 delivered the strongest quarter since Q1 16; double digit organic and recurring growth was also achieved in North America; -- Strong momentum in cloud connected solutions, delivering ARR growth of 66% and cloud native solutions of Sage Intacct and Sage People, delivering ARR growth of 30% and 49% respectively; -- Recurring revenue represents 79% of revenue and software subscription is 46% of revenue; -- Organic operating margin of 27.8% achieved. Non-recurring charge of GBP10m, reflecting provisions and settlement of legal disputes and structural redundancies; -- Strong free cash flow of GBP356m, 19% of revenue, ROCE of 23% and net debt : EBITDA reduced to 1.2x. 7% increase in full year ordinary dividend to 16.50p, with a policy to maintaining the dividend in real terms going forward;
bountyhunter
21/11/2018
07:44
Treading water?
andrewhbruce
21/11/2018
07:14
Encouraging recovery?
bountyhunter
12/11/2018
12:08
Spacecake, What is more interesting than The Register article that you helpfully posted - are the comments below.... some of which are very insightful. Regards Maddox
maddox
12/11/2018
11:05
Hi Mozi, To give you a straight answer - yes, I've been buying on the decline in the share price I'm taking a contrarian view. SGE have undertaken a radical and very necessary transformation of the business - they had accomplished this without mishap until the very end. Stephen Kelly unfortunately made a wrong call announcing the end of the transformation - and a 9% organic growth target - then suffered effectively two profit warnings. He'd got rid of a whole raft of management, was impatient for change, drove Sage hard and appears to have lost the 'dressing room' to use a football analogy - and paid the price. Also, the product/service/distribution transformation is being widely unappreciated by both their (off-plan) customers and Mr Market. Sage's competitors Quicken (from Intuit) et all, are looking attractive. Xero in particular has a following of zealots - I'm amused by the level of enthusiasm they have for what is after all an accounting package. So it all looks pretty grim at the moment.... On the other hand, >> the transformation was absolutely necessary, and provides them with a new set of excellent products; >> they have a re-vamped sales/distribution model that is working in all but a couple of geographies; and >> strong fundamentals - margin, cash generation etc. I therefore think Mr Market is seeing the glass as half-empty whereas I see it as half-full. I'm long Sage and happy to maintain that position. I may of course be wrong and I would not advise anyone to buy Sage shares of course but DYOR and lets discuss. Regards, Maddox
maddox
03/11/2018
10:52
From FGT factsheet - nick train Commentary In September, the NAV was down 2.9% on a total return basis, the share price was down 3.0% on a total return basis, while the index was up 0.7%. We were surprised by the sudden dismissal of Stephen Kelly as CEO of Sage in late August and therefore not surprised by the weakness of the company’s shares in the aftermath. Admittedly his departure follows a period when Sage has struggled to meet the perhaps overly ambitious growth targets the CEO had set for the company. In addition, we were discomforted earlier this year by the very public announcement of the sacking of 30 Sage executives at the time of one of those revenue growth misses. That public sacrifice smacked, fairly or not, of senior officers of the company diverting responsibility for not hitting their own targets away from themselves and on to employees. We note that one media comment on Stephen Kelly’s departure highlighted that auto da fe as the moment he “lost the dressing room”. Nonetheless, the dismissal is a surprise. His tenure was less than four years, while, from the outside, the strategy he has implemented looks appropriate. We are forced to assume that his departure was considered an urgent priority, given its abruptness in the middle of a half year trading period. It is common for a CEO to leave at short notice when either trading falls woefully short of expectations or when the CEO has put his or her name to a big acquisition that turns out to be a lemon. However, neither appears to be the case. Sage reaffirmed its guidance, give or take, for the current year and reassured that Stephen Kelly’s big deal – the purchase of Intacct in the US for £650m (biggish potatoes by Sage’s standards) – continues to meet or beat expectations. What remains is the unanswered question for the company and its investors. A question that presumably the board felt Stephen Kelly was unable to find an answer to. Namely, can this notably successful C20th technology company make a necessary transition to become a successful C21st one? It is well understood that the advent of “cloud” computing services has offered accounting software companies like Sage the opportunity to provide even more valuable services to its customers at even lower cost. Cloud should bring big productivity gains to its users and valuable revenues and profits to its providers. Sage acknowledges it was slow to recognise the significance of cloud for its customers and that this tardiness has allowed some younger, cloud-focussed competitors to take mind and market share away from the “sleepy” incumbent. We have known this ourselves for many years and have persistently encouraged Sage to take the actions required to avoid the fate of the companies described in Clayton Christenson’s classic study of corporate complacency – The Innovator’s Dilemma. At times Sage gave the appearance of being far more interested in financial engineering – share buybacks and maintaining its stellar dividend growth record – than in software engineering. Although, admittedly, not under Stephen Kelly, who at least introduced a sense of urgency to the company’s innovation efforts. Our current thinking is this: incumbency is not necessarily a bad thing. Sage still has powerful competitive advantages and every opportunity and incentive to exploit them. A 3 million global installed customer base (across which £3 trillion of business crosses every year) generates high profit margins and cash. Those internally generated funds are very valuable for a business needing to invest in change. One statistic from Sage’s Capital Market Day in January 2018 resonates here. This is that the company has 9 million interactions with its customers every year – helping small business with questions relating to accounts, tax or regulation. 9 million contacts a year is nearly 25,000 every day. That is the evidence the service Sage offers to its installed base is highly valuable to those customers and that, at the very least, Sage is not a business going to evaporate in a puff of smoke. Meanwhile, Sage’s two most vocal and public competitors are Xero and Intuit. Both lay claim to having been more successful than Sage in delivering cloud services. We can’t help note, though, that investors know this already. Xero is valued at 18x its annual sales, while Intuit, which we own in our global strategies, trades on 10x sales. Meanwhile, Sage now sells on 3.5x sales. This is both a warning that Sage’s cost of capital will continue to rise relative to its rivals, if it cannot match their success. But it is also an indication of the value gap that could close if Sage can execute on its technology transition.
mozy123
03/11/2018
08:19
Can sage make 225p, well it's going in the right direction, maybe the ex CFO to new CEO can sort this mess out. Maybe the new CEO should show some love to the customers, call them in and meet them at the NEC or similar large venue instead of hiding behind a wall of senior managers. Get the managers out on the stage explaining how they intend to help the customers and charge them less for it. But the title of the article below is sooo right !! hTTps://www.theregister.co.uk/2018/11/02/steve_hare_sage_ceo/
spacecake
Chat Pages: 195  194  193  192  191  190  189  188  187  186  185  184  Older
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