Scisys Share Discussion Threads

[boadicea] 25/5/2018 12:14

Probably no need to rush.
It's had a very good run over the past 8 months and anyone with a substantial position may have chosen to moderate it or protect a good profit.
SSY is not a go-go company and works mainly on a medium term project profile. Orders and contracts cannot be cashed in overnight so we can only expect a steady organic build of turnover and profit over time.
A period of consolidation is now to be expected. If the current appearance of promise proves to be fully justified by results over then next year or two, a further rerating should follow in due course.
I don't usually choose to cash in a good company unless I have become seriously over-weight or if it looks distinctly over-valued, which this one doesn't.

[its the oxman] 25/5/2018 10:40

Opportunity to buy the dip.

[yump] 25/5/2018 10:32

Now we'll see whether its just been pushed up by a few traders, or whether its a proper re-rating... which 'should' be happening at some point regardless of what traders do.

[mfhmfh] 21/5/2018 12:28

Agree, and SSY with it's German branch can still be involved with the Galileo (European satellite system).

[slopsjon2] 21/5/2018 12:06

UK government talking about going it alone on a GPS system for defence reasons could help SSY.

[yump] 18/5/2018 11:04

Fairly orderly rise atm

[mfhmfh] 10/5/2018 18:02

One of IC's tips of the week - article headed as 'Scisys ready for lift-off':

very positive article: PEG of 0.9 with forward PE ratio of 12 - 50% discount to FDM and KNOS.

GLA.

[mfhmfh] 09/5/2018 16:46

just about new highs approaching. looking for 190p short to medium term. GLA.

[mallorca 9] 04/5/2018 19:12

Bought into this today.
Hoping to double, perhaps see a bid.

[mfhmfh] 23/4/2018 09:49

Shares Magazine said the following last week:

If the rating moves up to 14 times over the next year SSY could trade at 190p based on forecast earnings for 2019.

Many other UK quoted software businesses trade on a 25-30 times multiple....

[yump] 23/4/2018 08:56

I think the forecast has been raised a bit to 11.8p ish, which would be roughly a 20% rise.

So not unreasonable to expect a rating of 15 at some point, which would end up around 180p.

[mallorca 9] 22/4/2018 21:34

I like the look of this one.

[yump] 22/4/2018 16:02

Given that Airbus just gave a ground contract (which is one of the security-sensitive areas) to SSY German company, the fuss is probably not that significant. SSY have already said in effect that they will change the corporate/structure/location if necessary if Brexit forces it. Then the issue of whether SSY is a UK company will be irrelevant.

Says something given the uncertainty, that Airbus have given that contract. They must have some serious assurances from SSY that the UK 'issue' is a non-issue.

[brummy_git] 22/4/2018 14:13

Anyone got any thoughts on FT's article yesterday wrt "Britain has threatened to walk out of Europe’s €10bn Galileo satellite project, in a deepening row with Brussels over whether the UK can be trusted with sensitive information after Brexit."

[brucie5] 20/4/2018 08:02

1.60 next stop. 20p intervals.

[yump] 20/4/2018 07:58

Anyway if charts are anything to go by, this has just done its obligatory revisit of the breakout point. Or its just hit the top of a channel.

I await some chartists to do the prediction NOW, not in retrospect after we find out which chart movement it is...

[yump] 20/4/2018 07:56

As it is, SRT can bumble along with lumpy contracts for years, while we wait for some stability, while SSY appear to be getting more consistently stronger. Then there's at least one reliable winner - I wouldn't like to see SSY affected by SRT. Generally don't like acquisitions or mergers - can't remember any turning out better for the acquirer.

The ones that work seem to be the ones where larger businesses with successful organic growth, bolt on much smaller, already successful businesses in the same market eg. IDEA. The majority seem BOD ego-driven, or to satisfy shareholders when they're putting pressure on very large companies to increase earnings. They just acquire something very big and then 'rationalise' while the BOD's pocket low-set share option 'incentives' after chopping the business overheads.

[boadicea] 19/4/2018 19:19

..."Prefer both to go up separately..."
Yes, but how likely is that, at least in the case of SRT which must at best be viewed as high risk which will continue to be reflected in its share price and more importantly in its cost of finance when it needs support, e.g. of banks?

I think that strategically it could be a good fit. However, I must admit to having significant doubts about the culture fit!

[yump] 19/4/2018 08:31

Hadn't really thought of it like that. SSY seem to be spreading their revenue gradually - not sure they'd want more lumpiness.

Prefer both to go up separately - I reckon more to be made from separate investments !

[boadicea] 17/4/2018 16:03

yump - You got it in one!
Both companies are contract driven and can therefore be lumpy with the occasional one going sour (or in SRT's case, the occasional one NOT going either sour or stale!)
SSY may also have useful links - satellite tech?, data visualisation/integration?
Apart from sitting next to each other on my monitor thay are only based about 20 miles apart as the crow flies.
The more I look at it, the more interesting it becomes.

[yump] 16/4/2018 15:45

montyhedge

Best guess would probably come from the overall profit margin ? Although probably pretty variable within that.

[yump] 16/4/2018 15:44

boadicea

Only just spotted your post. Cutting down on visits here as I'd rather read New Scientist than most of the posts !

Do you mean SRT ?

[montyhedge] 15/4/2018 17:39

Contracts are great as long as the margin of profit there. Like to know what the margin is on a contract.

[boadicea] 11/4/2018 19:22

Yump - Seeing your name on both boards today I'm wondering if you feel there might possibly be a strategic fit with another outfit that finds contractual progress tough going. They sit quite close to each other in more ways than one!

[yump] 11/4/2018 07:19

The rating has been one of a 'risky' contract company dealing with 'risky' governmental areas, but that wasn't really a reflection of their business and it certainly isn't now that their customer base has broadened. Its taken a while but hopefully a permanent re-rating is taking place.