Sanderson Design Share Discussion Threads

[salver2] 21/1/2023 00:08

Was it a buy or a sell - I guess it would have been perhaps a delayed sale as the price dropped near the close

[disc0dave45] 20/1/2023 23:30

According to LSE the 500k trade was "unknown" as bang on the mid price post closing auction - either a buy or a sell on the books.

[barnesian] 20/1/2023 22:55

Whoever bought the 500,000 at close today doesn't expect a poor trading update. We'll soon see.

[pugugly] 20/1/2023 22:22

A dump of that amount at 113p almost suggests that someone big suspects a poor trading update and either taking a smallish profit or protecting against s further downturn. If this in the case probable retest of the 100p - 90p area.

[trt] 20/1/2023 17:25

For every seller there is a buyer that's how the market works. MMs always play with the price every year prior to the trading statement and this year is no different. They will be selling this much higher once the statement comes. Got to take advantage and buy the dips works every time.

[salver2] 20/1/2023 16:51

Someone looks as though they’ve dumped over half a million pounds worth of shares

[salver2] 20/1/2023 14:09

I like essential would think a merger between Cfx and Sanderson would be a good fit -basically the two biggest upmarket players in the sector

[hastings] 20/1/2023 14:06

Cheers for that, worth having the confirmation.

[essentialinvestor] 20/1/2023 14:00

Hastings, CFX do not manufacture any of their own product to be best of my knowledge: Salver could clarify.

It's a key difference between the two respective businesses.


A merger may be a thing of beauty. I also hold CFX, only fair to mention.

[disc0dave45] 20/1/2023 13:38

The Ruggable website (UK as well as USA), doesn't as yet list any collaboration with SDG regarding any Morris & Co designs. Thought it was to start this year - know it's early.Also, interesting that Ruggable already do quite a large portfolio of "Disney" themed rugs.

[salver2] 20/1/2023 13:10

Colefax are positioned generally at the very highest end and most of their revenue around 60 percent comes from the Usa

[hastings] 20/1/2023 13:06

I found it interesting that SDG prints wallpaper for Colefax. I'd assumed they'd got their own facility.

[salver2] 20/1/2023 12:53

Stripping out the cash these are on a pe of 6 time’s earnings -a pitiful valuation in my opinion but the sector is fairly unloved-Colefax also on about 6 times stripping out cash also pitiful their results are out in a week or so and we’ll start to get some idea also when Sanderson issue a trading update in a couple of weeks or so

[hastings] 20/1/2023 12:12

Cheers for the comments and you make a very valid point on flat earnings and valuation based on the next year. I believe the EPS figure is somewhere similar to the year ending, so you are correct in my view. That said, I do feel the strength of the balance sheet and large net cash position factored in add to that somewhat though.Also, margins have been strong via Morris and the licensing.The US is obviously where a potentially big opportunity is in play though, so hopefully they can accelerate that once headwinds ease and also drive the Disney angle, which as you point out has prospects.Impressed by the CEO and the potential here, but obviously we will hear more come the update.

[disc0dave45] 20/1/2023 11:36

Hastings - very good synopsis of the company’s history, interesting, particularly the archived documents which could be the key to a step change in earnings?. Wasn’t it RWS who recently discovered they had thousands of IP addresses they didn’t know they had which were worth millions.
Edit 22/1/23 - apologies it was RM not RWS
I still feel that currently until they’ve actually proven the monetisation potential of their massive archived documents (wow 200k not 75k), that earnings are fairly flat. Their broker forecasts 13.9p eps which seems achievable but from memory the forecasts for FY24 and FY25 are 14.1p and 13.8p respectively. So basically flat growth and that’s my main concern, the licensing appears to be the main growth potential and I guess until the Disney collaboration actually demonstrates what that potential is then it’s going nowhere IMO. H1 NAV was 115p, pre covid the PE rating was 5x to 10x, so single digit seems fair value IMO, and at mid 8x that’s circa 112p.
I’m starting to come to the view though that this does have significant growth potential but the Disney collaboration has as yet not indicated what that could be, and it will be another year until we possibly know (do these things take circa 18 months and why?).

[disc0dave45] 19/1/2023 18:51

Post 1398"Course you did" pmsl

[essentialinvestor] 18/1/2023 23:53

With dyslexia typos are an old friend of mine!, we are very well acquainted.

[supernumerary] 18/1/2023 23:00

No worries. I normally let this sort of stuff pass, but I thought Pug deserved a word of support.

PS I know you can't be expected to fix all of it, at least not without professional help, but at least the very first sentence? 'there is surely one particular stand out from the crowd'? A sentence without an object must be beyond the pale, even in these benighted times?

[hastings] 18/1/2023 22:06

Thank you, Supernumerary for your positive critique and your kind conclusion, much appreciated.

[supernumerary] 18/1/2023 21:34

'I think your eyesight has eluded you Pug?'

Did you mean 'deluded'? I'm not sure eyesight can elude :¬( I'm not even sure it can delude or allude - just making the best of a bad job :¬)

Pug - you were of course quite right - good to see it's now corrected - but there were so many typos and solecisms in the article, it seems unfair to single out just one. Never mind, the content was interesting, which I guess is what counts.

[hastings] 18/1/2023 18:32

Nice we are rowing together ?

[pugugly] 18/1/2023 18:29

Hi - Used elude in the sense of missed your attention - "has somewhat alluded my attention" Which is what I think you were trying to say. However quibbling over semantics no way detracts from a most useful and interesting article.

However for the record sold out at 232 in September 2021 and now on rebuy? watch list.

[hastings] 18/1/2023 18:19

I think your eyesight has eluded you Pug?

[pugugly] 18/1/2023 18:11

hastings - great article but did you not mean eluded rather than alluded - not using dictation software by any chance?