Severfield Share Discussion Threads

[cc2014] 23/11/2018 10:06

Or you could go and look at the BILN thread, who is a direct competitor to SFR in the UK and see what it's share price did yesterday

[grupo guitarlumber] 23/11/2018 09:37

23 November 2018Reading time 4 minutes
Swiss franc: Another populist referendum
Author
Chris Turner
Chris Turner

A vote in Switzerland on Sunday could have significant implications for the franc
In this article

USD: High yield FX enjoying recent stability in US rates
EUR: First look at the November PMIs
GBP: Outsized rally on the political declaration. Seems overdone
CHF: Should Swiss law trump international agreements?

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USD: High yield FX enjoying recent stability in US rates

The recent pause in US rates and the drop in oil prices have allowed some breathing room for high yield FX, where the likes of the South African rand, Turkish lira, Indian rupee and Indonesian rupiah have been correcting to their best levels since the Turkey-inspired sell-off in August. While emerging market equity performance may not suggest it, ETF flow data suggests investors are looking for value in emerging market equities and have over the last week put nearly US$1 billion into the iShares IEMG ETF, which tracks the MSCI EM equity index. That rotation into EM is typically a mild dollar negative across the board, but clearly, the euro is saddled with quite a few problems (there is no sign of an end to the negative rate environment) and that’s why short EUR, long high yield FX trades have been performing well. We see this trend extending into next week, but have a house view that this is a temporary correction lower in US rates and that they should be retesting the highs by year-end. This temporary dollar correction can extend a little further against EM, but the heavily Europe-weighted DXY probably finds support ahead of the 96 area.
EUR: First look at the November PMIs

As above, the euro has so far been unable to take advantage of the better EM environment and today’s data may well cement this trend. Germany’s 3Q GDP has already been confirmed at -0.2% quarter-on-quarter (largely hit by net exports) serving as a reminder that the open economy of Europe has the most to lose from trade wars. Look out for November PMIs across the region today, which have effectively nosedived through 2018. As Peter Vanden Houte wrote yesterday, the December ECB meeting could see risks emerge over the growth outlook. We now see EUR/USD in a 1.12-1.15 trading range until year-end.
GBP: Outsized rally on the political declaration. Seems overdone

We think yesterday’s GBP rally on the positive political (non-binding) declaration looks overdone. We doubt this secures a passage of the EU withdrawal bill at its first attempt in UK parliament, hitting GBP. Increasingly it seems this may have to go to a second vote, perhaps as late as next February. More GBP volatility – and probably a weaker GBP – look likely into early next year. No wonder the FX options market is treating GBP like an EM currency.
CHF: Should Swiss law trump international agreements?

Swiss voters hold another referendum on Sunday (these are regular occurrences in Switzerland) – this time on whether Swiss law should take precedence over international treaties. As Charlotte de Montpellier writes, the vote has been proposed by the Eurosceptic Swiss People’s Party (SVP) to effectively ‘take back control’. (Sounds familiar to those of us in the UK). The implications for Swiss markets are that a yes vote would complicate negotiations between Switzerland and the EU. Among other things, it would question the equivalence treatment of the Swiss stock market in Europe. While one could argue that Switzerland’s large net international investment position means that European financial markets have more to lose than Switzerland, we would however see the Swiss franc coming under pressure in the surprise outcome of a ‘Yes’ vote. Let’s see how the vote goes.

[itchycrack] 23/11/2018 09:33

When the global macro-economic backdrop is weakening rapidly the last place you want to be invested is the construction sector - it always gets blowtorched in a recession.
You will be able to buy in at a much much lower price if you the patients.

[jurgenklopp] 23/11/2018 09:25

I just topped up at 66.87p although the trade is still not showing.

[adrian j boris] 23/11/2018 07:51

EURCHF:CUR
EUR-CHF X-RATE
1.1344CHF
-0.0001-0.01%

[waldron] 23/11/2018 07:39

EUR CHF 1.1346 +0.0004

[waldron] 22/11/2018 08:09

EURCHF:CUR
EUR-CHF X-RATE
1.1332CHF
+0.0010+0.08%

[podgyted] 21/11/2018 20:30

Don't know where you get your dividend figures from - Y/E March 2018 the dividend was 2.6p or about 3.8% at todays closing - that excludes a special of 1.7p which if added in gives a yield of 6.4%.

I agree the share price has been a bit flat but, ever the optimist, I'm hoping that will change - seems a bit undervalued if they report as I expect next week.

Time will tell.

[grupo guitarlumber] 21/11/2018 09:12

EUR CHF 1.1339 +0.0027

[blp2] 19/11/2018 13:00

Severfield share price Nov 20 2013 64.5p Nov19 2014 58.75p Nov19 2015 62.25p
Nov 21 2016 62.25p Nov20 2017 64.5p Nov19 2018 65.2p.
Considering the positive statements released by Severfield over the past couple of years
and the growth made in India the share price seems to be stagnating over the last six years.
The dividend yield amounts to a little over 2% pa inclusive of the special dividend of
(1.7p)

[la forge] 18/11/2018 07:51

EURCHF:CUR
EUR-CHF X-RATE
1.1416CHF
+0.0011+0.10%

[grupo] 13/11/2018 12:51

EURCHF:CUR
EUR-CHF X-RATE
1.1373CHF
+0.0032+0.28%

[ariane] 07/11/2018 19:24

EURCHF:CUR
EUR-CHF X-RATE
1.1459CHF
+0.0003+0.03%

[the grumpy old men] 06/11/2018 19:26

EUR CHF 1.1454 -0.0003

[jurgenklopp] 06/11/2018 10:13

Interims due on 27 November.

One to keep an eye on.

From the AGM statement in September:

Current trading and outlook

The Group's trading performance and financial position remains in line with management expectations and the outlook for the year ending 31 March 2019 remains unchanged. Following the higher profit from certain project completions in first half of the prior year, we expect the profits in the first and second half of the current year to be more equally weighted.



UK

The UK order book of £210m as at 1 September (1 June: £237m) remains in line with our normal order book levels, which typically equate to eight to ten months of annualised revenue. The order book reflects a higher proportion of smaller projects, particularly in the industrial and distribution sector, which typically have shorter lead times. Our pipeline of potential future orders has remained stable with a good balance of work across all key market sectors. Both the quality of the order book and the strength of the UK pipeline are consistent with our continued progress towards our strategic targets.



India

The Indian order book has increased again to £128m at 1 September (1 June: £106m). With this record order book, and a growing level of new opportunities, which includes a number of interesting higher margin commercial projects, the Indian business ('JSSL') is well positioned to take advantage of a market for structural steel in India which continues to improve.



As a result of these continued market improvements we have agreed with our joint venture partner, JSW, to increase factory capacity at the Bellary facility. The expansion will be financed by a combination of equity of c.£8m, provided in equal cash amounts of c.£4m by the Group and JSW, and debt of c.£8m, provided directly to JSSL by Indian lenders.

[sarkasm] 04/11/2018 07:16

EURCHF:CUR
EUR-CHF X-RATE
1.1426CHF
-0.0007-0.06%

[waldron] 31/10/2018 08:57

EUR CHF 1.1397 -0.0008

[waldron] 27/10/2018 10:55

EUR CHF 1.1389