Sage Share Discussion Threads

[rmillaree] 20/8/2009 15:09

On no thats not the dreaded 225 crossed again is it?
I think its about time the title was amended to 325p

[miata] 20/8/2009 13:26

Nice little squeeze into options expiry, up 23% from the previous months expiry on 17/07/09.

[lyntwyn] 19/8/2009 08:16

thanks Maddox. been quiet here due to better money making opps elsewhere from battered stocks I guess!

[maddox] 18/8/2009 13:06

Always happy to read your posts Lyntwyn. Regards Maddox

[lyntwyn] 17/8/2009 18:21

Blogit thanks for that. there have been several positive articles on SGE in media recently but I did not bother to post them as it seemed as if I would be doing so just for my own info judging from the interest in this BB.
However SGE has been one of the better stocks to hold over the past two years.

[blogit] 16/8/2009 09:13

Short but interesting article on sage at

[lyntwyn] 23/7/2009 09:22

From The Times July 23, 2009

Acquisitive Sage climbs as Stobart tweets a fine tune

Forget Demi Moore, Stephen Fry and Jonathan Ross - yesterday the City's tech-savvy Twitterati were following tweets of a rather different nature as Paul Stobart, managing director of Sage (UK), spent nearly an hour answering questions from customers, resellers and competitors.

Shares in the FTSE 100 technology group rose 1.8p to 186.4p after Mr Stobart revealed that the company was still on the hunt for acquisitions, as long as the conditions and price were right. He said that market conditions were leading customers to look to it for more help with cashflow forecasting, business planning and HR advice.

The event took place a week before a trading update and soon after the failure of Sage's largest US reseller and complaints about the company's products from others across the Atlantic.

George O'Connor, a Panmure Gordon technology analyst, put his earnings models aside for the afternoon to take in the session and said that he was impressed by Sage's approach to customer intimacy and its use of a valuable route to market.

Looking ahead to the company's third-quarter trading statement, which is scheduled for Tuesday, Mr O'Connor told clients to expect nothing out of the ordinary, with trading likely to be in line with expectations.

[lyntwyn] 09/7/2009 16:45

Lethargy I'd say. The whole market seems to be snoozing. Will be september before any real life returns I imagine, but SGE is well placed imo.If the green shoots we hear about truly are catching on then we should be past 200 here by year end.

[revoc2] 02/7/2009 11:02

hi lyntwyn......whats up wth sge, mate?
in free fall at moment?!!!!
shud be alot lot higher than even 190p!!!
but finding diff' to get to/ and stay above 180p at moment...

[lyntwyn] 16/6/2009 15:32

0805 GMT [Dow Jones] Nomura initiates Sage Group (SGE.LN) at buy. Thinks Sage is likely to outperform the European enterprise software sector. Says this is down to expected annual earnings growth of close to 9% over the next three years and an improving outlook in the US. Also thinks Sage has one of the sector's most defensive business models and the lowest valuation in the coverage universe. Has a 235p target. Shares +2.9% at 184p. (ANT)

[maddox] 07/5/2009 23:38

07.05.09 :-2.9, (194.4) WestLB lowers Sage Group to neutral from add. Says the company now looks reasonably priced but no longer compellingly cheap as it did when it traded below 150p in 4Q08. "Its free cash flow yield is circa 8% which is roughly average for a software company today," it adds. Says the company's 1H earnings are boosted by the weakness of sterling while support revenues held up as expected. "We are now inclined to believe that this good news is in the price and with the stock very close to our 200p target, we are cutting our recommendation," it adds.

[maddox] 07/5/2009 23:37

07.05.09 :-2.9, (194.4) WestLB lowers Sage Group to neutral from add. Says the company now looks reasonably priced but no longer compellingly cheap as it did when it traded below 150p in 4Q08. "Its free cash flow yield is circa 8% which is roughly average for a software company today," it adds. Says the company's 1H earnings are boosted by the weakness of sterling while support revenues held up as expected. "We are now inclined to believe that this good news is in the price and with the stock very close to our 200p target, we are cutting our recommendation," it adds.

[lyntwyn] 07/5/2009 12:34

Tempus analysis: No growth in Sage

At 196p, or 12 times next year's earnings, there is better value elsewhere.

[maddox] 06/5/2009 21:18

Hi Guys,

I'll never get used to the glass half empty views of the analysts on Sage.

On an extraordinarily good set of forecast beating results; robust management action to the difficult market conditions; and maintained margins - what do they comment on, I paraphase...

'stripping out all the good things, organic growth fell 4% and the US is still a problem'

It seems to me that a firm that delivers strong results in a challenging market is demonstrating the strength of its business model and the strength of its management. It is well positioned to execute its strategy, make further acquisitions (on keen valuations), reward its shareholders and continue to grow.

Regards, Maddox

[shammytime] 06/5/2009 07:56

Excellent figures. They even beat the estimates.

Now the only question remains...will the market like the numbers? Will soon find out...

[brulee 1] 05/5/2009 21:48

me too. got a good feeling about this one

[shammytime] 05/5/2009 19:27

Hope you're right rmillaree. For some reason I'm rather optimistic about the figures they'll come out with in the morning :-)

[rmillaree] 05/5/2009 17:18

If history is anything to go bye then 225p here we come - per the thread title - and then back down again :)

[shammytime] 05/5/2009 10:00

This looks good to go here. I suspect we'll finish around 193 today and burst through 200 on the back of results. Very good company.

[brulee 1] 01/5/2009 11:56

time this started moving up

[maddox] 18/2/2009 12:21

Hi Lyntwyn,

IC have written a typically half glass full analysis. Yes, Sage is operating in mature markets; yes, their customers are being hit; yes, the US healthcare market was a mistake. They have also discounted the strategic context.

But the core business is sound, an accountancy application is a necessity not a luxury, and once purchased it is difficult and more costly to switch. The support package is not a significant cost item and they are still experiencing growth in some markets

Moreover, the current market climate is favourable for further acquisitions in growth markets. This was and still is the path to continued growth and Sage to date has been extremely adept at acquiring and integrating new firms. Not so long ago the scribblers were warning that Sage would have to over-pay for acquisitions.

Nevertheless, I expect the pessimists will win in the short-term.