Scisys Share Discussion Threads

[fillipe] 07/1/2013 16:44

One of the key aspects here is only 29m shrs and 74.4% of these (at the last report) were 3%+ holders, so adding another lump for the under 3%'s means precious few shrs around for new buyers when demand for the shrs increases.

Consensus forecasts are 7.1p for 2012 with 9.01p for 2013. Easy to see where the approx 95p tp comes from.

Back at 31-10-12 Finncap reiterated their own 75p tp.

There should be a t/update this month, with the finals in March.

f

[interceptor2] 03/1/2013 08:07

The one big lesson that all investors learn in the end is "never to follow tipsters imo" Their only value is if they confirm an opinion already held, which seems to be the case here.

SSY are way under most investors radars still, but at least this latest tip is likely to generate more interest here.

ic2...

[cfro] 02/1/2013 14:08

Nice to see this tipped. Doesnt matter by whom.

[dosser2] 02/1/2013 14:04

tips.com. Sign up now for more great tips

[2breakout] 02/1/2013 13:43

where was this?

[daza70] 02/1/2013 13:23

SCISYS is a 'buy' at 65p, with a limit price of 75p and a price target of 95.5p.


Buy SciSys at 65p

Today (2013-01-02 13:02:47)
Specialist IT services vendor SciSys has an enviable track record of earnings growth - 19% CAGR (compound annual growth rate) between 2008 and 2011 - but its underlying business is valued at a pittance after subtracting freehold property assets.



A single-digit rating is partly accounted for by exposure to the UK public sector, but the firm has demonstrated ample resilience in the face of budget cuts, helped by its exposure to the niche areas of satellite and broadcast technologies.



Earnings are set to grow by more than 30% in 2013 and the order book is large (£25.3 million) and growing (+8% y-o-y in H1 2012). Buy, at 65p.

[dosser2] 02/1/2013 13:19

Just been tipped so up it goes.

[cfro] 27/12/2012 08:39

I see they have appointed a Mr David Coghlan as a non-exec. He happens to be Chairman of another company im invested in, Synectics.

[cfro] 12/12/2012 12:42

Nice unexpected rise this morning :-)

Had a small top-up when i saw the uptick.

[jamielein] 29/11/2012 20:37

I'm also awaiting a trading update before deciding whether to top up or not.

[cfro] 29/11/2012 18:10

Thanks for the edison research note IC2. Very cheap little zulu this. Just awaiting a trading update now.

[interceptor2] 29/11/2012 16:47

Posting that Edison note prompted me to look again at my research notes.

The figures I like are

PER of 8.9 for 2012, and 6.9 for 2013.

PEG of 0.59 for 2012 and 0.46 for 2013.

Pays a 2% dividend which is covered x 5.4

Only £0.8m net debt at the half year last September.

Net Margins increasing rapidly, 4.15% (2.25%) at last full year.

PSR only 0.40

Cashflow strong over last 3 years at x 2.09

And they have just made an earnings enhancing acquisition of a German company that services the European Space Industry. The very area where the UK Government has just announced an increase in funding.

So I did have a top up today, after my initial buy last month.

ic2...

[interceptor2] 29/11/2012 14:14

Nice and quiet on here atm, a good time to post a link to the last Edison write up after the recent acquisition. Some may have missed it.



ic2...

[cfro] 15/11/2012 18:00

Unexpected rise today, welcomed all the same. :-)

[interceptor2] 14/11/2012 18:45

weatherman, thanks for the info, I wasn't aware of this. I have found a press article about this, which shows that the space industry has grown 8% per annum in recent years, so the recent acquisition in this sector looks rather well timed for SciSys.



ic2...

[weatherman] 14/11/2012 16:27

I see the government is investing an extra £300m in the space sector over the next 5 years and expects much of this to come back to UK companies involved in this sector.

[cfro] 02/11/2012 18:59

I looked at these for the first time also back in 2010 but didnt make an investment at that time. I've always felt that the space division is the key to growth in future earnings and profits. Looks like now perhaps we are starting to see this division come to the forefront.

[interceptor2] 02/11/2012 18:48

peladon, pleased you agree. I have held shares here before from early 2010 until July 2010, but sold for a small loss that time. I have been looking back at my records, and the reason for the weaker performance in 2010 was the start of UK government cuts to the public sector.

I have a feeling now that these spending cuts would have washed through the system now, and perhaps the UK economy is at last showing signs of increased strength.

Along with the profitable space division, this should bode well for SSY imo.

ic2...

[peladon] 02/11/2012 18:10

Have to agree. Picked up from your post on the AIM thread ic2 and quickly found enough evidence to justify a buy. If the newsflow continues to be as positive, will add when funds allow.

[interceptor2] 02/11/2012 16:26

Thanks for the link, very informative. With Makalumedia op margins double SSY margins at 15%, it's looks a very good earnings enhanding acquisition. And of course SSY margins are increasing nicely anyway.

The more I research SSY , the more I like them.

ic2...

[sammy_smith] 02/11/2012 09:21

Scisys - Acquisition of German space software consultancy MakaluMedia Internet & Engineering Services GmbH

Click the link below

[jamielein] 01/11/2012 20:22

I think a lot of these small caps are quite overlooked which is why there's so much value to be had.

Personally I think the FTSE100/FTSE250 are too high and the market too fragile for me to consider putting money into them at this point.

The one concern I have (though I shouldn't see it as a concern but an opportunity) is that any large fall in the market will impact small cap shares much more.

[interceptor2] 01/11/2012 14:36

Both Edisan and Finncap have increased estimate now, see below.

Edison
2012 PBT = £2.50m and EPS = 7.10p
2013 PBT = £3.30m and EPS = 9.10p

Finncap
2012 PBT = £2.40m and EPS = 6.80p
2013 PBT = £3.30m and EPS = 8.90p

So a consensus PER of only 6.6 for 2013 and PEG of 0.25, for 2012 the PER is 8.5 and PEG is 0.51.

ic2...