Serco Share Discussion Threads

[spagboll] 12/8/2020 15:19

Chess, if I knew that I wouldn't be on here but congratulating myself on being a great investor in a bikini party conforming to safe distancing requirements, if that is possible. I would be interested to hear a chartist comment. Certainly a divi will help this immensely, not sure how much weight the awareness that it is very likely has but announcing contract wins will also help. There should be some sort of announcement next week or before regarding extending Track and Trace but whether that will be taken positively that it continues or negatively because it will be for lower numbers who knows.
To be open I hold at the moment so I have a will for the price to go up!

[essentialinvestor] 12/8/2020 13:48

Spag, appreciate the view, will keep it on a watchlist.

[chess123] 12/8/2020 13:41

spagboll:
loved reading your post, very informative and honest, great to see posts like that, how low do you think share price could go before, it starts rising, do you think that until a dividend is announced this will keep drifting lower, someone on another board mentioned under a 1pound what's your honest opinion on that.

[spagboll] 12/8/2020 13:05

the way I look at the market a meagre but safe yield will be worth chasing. Interest rates will be nothing for ages. Many businesses will go bust or have rights issues that the private investor has no chance to participate in. Serco to me looks a potential safe steady income with room for growth, shame they didn't announce a divi in the results but I imagine that was due to the negativity on track & trace, if they had they risked even worse headlines and bad press for the govt. I watched the webcast and Rupert didn't do the company any favours, basically saying he has no idea what will happen in the future - when clearly he has more than you or I do. The analysts seem to like the webcast though as they then put out Buy recommendations. Presumably as Rupert is dealing with govts he can't say anything, they need to trust him and Serco. Bad press around at the moment doesn't help. But I see Serco employing people, is it 12,000 for Track and Trace, that has to be better for a govt than them being on unemployment benefits so it helps the govt look good by keeping the work going otherwise the unemployment rate will be way higher. The Furlough scheme has to end so if they can give people jobs, even if they are having to pay for them anyway it looks a lot better and the agreement with Serco is they take an agreed tiny % so to me that is good for all. The tiny % seemed ridiculous to me, the webcast indicates what it is but a small % of hundreds of millions is worth having I guess especially as there is minimal risk to it. That is my take on it. Not sure when Serco will rebound but I have confidence it will and importantly in terms of cash it does appear in great shape.

[essentialinvestor] 12/8/2020 12:36

salty, the rating already discounts a lot?, unless I'm
reading the 2021 estimates incorrectly?.

20 x forward and any dividend will still leave this on a meagre yield.

[saltaire111] 12/8/2020 12:32

Results were very strong. Expect divi catch up at year end.

I’ve bought more shares this week after the results.

Strong buy in my view.

Salty

[buywell3] 12/8/2020 08:21

Reported Net Debt 502.8 Million

[mallorca 9] 12/8/2020 08:16

It's just sentiment due to all the bad publicity re illegal migrants, particularly Mike Grahams radio show.
It will all pass and many will wish they had bought in at these levels .... share price very likely to break £2 this year in my view.

By the way , I've bought quite heavily into an Energy tiddler which is unusual for me
... Parkmead PMG ... run by Tom Cross - the guy who built and then sold Dana. Looks one set to rise.

[chess123] 11/8/2020 11:22

Smith less, was only saying, not good at the moment, as all the markets up and serco down, if you can't read some fair comment then go elsewhere.

[smithless] 11/8/2020 11:11

Chess stop whining. If you can't take the heat sell.

[chess123] 11/8/2020 10:27

Not looking good, all the markets up , few shares falling, but serco is, wonder what happens when markets are down,

[mallorca 9] 10/8/2020 12:07

Chess

Hope so,

I'm only highly negative on one stock .... Card Factory .. CARD, where I am very open that I'm shorting it via my Spread Bet Account.

Lot's of stocks around that I currently like.

[chess123] 10/8/2020 11:46

Mallorca Your a star, I love reading your posts always positive, I think when an announcement comes out about dividend , they will also give a special Dividend, my guess is 2.5 to 3p a share, and hopefully will boost Sp,

[mallorca 9] 10/8/2020 11:36

Chess,
following my buy's at the end of last week, Serco is now the biggest holding in my SIPP.
Let's not forget, last weeks financial results were ' exceptional' (R.Soames), we have long term visibility, and restated guidance at £150m full year profit.

I've taken advantage of this dip which I think is caused by two reasons ...

disappointment at no divi yet
current bad sentiment due to media coverage of migrant crisis and Serco's misunderstood role.

Once the share price recovers to around £1.65 ish I'll prune back a bit.
I really do see the current share price as a very good buy opportunity.

[chess123] 10/8/2020 11:24

Thanks Mallorca.

[mallorca 9] 10/8/2020 11:19

Just checked short tracker .....

Currently 0% Serco is short !

[chess123] 10/8/2020 10:49

Look's interesting.

[chess123] 10/8/2020 10:42

Goodmorning everyone, I see there was an Rns Regarding BlackRock buying shares this morning any thoughts on this, blackrock tend to short stocks so any savvy investors opinion would be appreciated.

[mallorca 9] 10/8/2020 10:32

Share price moving up - could be a sharp rise !

[mallorca 9] 10/8/2020 10:31

Actually it's turning out to be good advertising for Serco - broadcasting how much money Serco is making - circa £150m per year.

[mallorca 9] 10/8/2020 10:14

Getting battered again on the Mike Graham show.
This will pass though. I see this as a buying opportunity.

[smithless] 10/8/2020 10:04

Call me mad, but I see value here, so just nibbling away.

[18bt] 10/8/2020 08:22

EI - because SRP should grow at c15%pa for the next few years and Unilever won't. Those relative values don't sound too far off for me.

[chess123] 08/8/2020 16:56

nice posters here, very decent comments, my own thoughts are that the brokers have called this correct and personally I see share price at 170p 200p by xmas , I also think next week will see the share back in the 150s, don't think 20% drop is justified especially as trading statement wasn't bad, GLA

[essentialinvestor] 08/8/2020 16:43

You are paying approx 20 X earnings 12 months out
with a negligible dividend, even if they reinstate the payout.

You can buy Unilever on approx 21 X, with a yield of over 3%.


Not sure why some posters are surprised the Serco share price came back somewhat
on an outlook statement that was more cautious than some expected.