Shanks Share Discussion Threads

[nivison] 02/2/2012 08:47

rumoured poss bid from Carlyle at up to 140p according to the Daily Mail. Deja vue.

[wad collector] 17/1/2012 12:53

2012 2013
Date Rec Pre-tax (£) EPS (p) DPS (p) Pre-tax (£) EPS (p) DPS (p)
Peel Hunt
11-01-12 BUY 41.40 9.01 3.50 51.20 9.55 3.75
Investec Securities
07-12-11 BUY 36.99 6.88 3.50 40.99 7.68 3.74
The Royal Bank of Scotland NV
28-11-11 BUY 37.83 7.01 3.50 44.01 8.09 3.80

£1 breached.Let us hope these brokers are right.

[25babies] 13/1/2012 10:41

64000 buy this am - let's hope to break back over £1 soon.

[jbtrend2] 08/1/2012 13:01

Questor: Money makers for the New Year
Audio: Garry White tells Robert Miller about his exclusive podcast share tips for 2012.
12:18PM GMT 06 Jan 2012

[craigends] 03/1/2012 14:42

Thanks l2user
echoes my view - IMHO could be good time to add.

[l2user] 02/1/2012 07:22

Shanks
Questor's top share tips for 2012
Sunday 01 January 2012

[betman] 30/12/2011 09:43

busy board this one ! two posts in two years
damn those Goldman boys and their downgrade, the last results in November were quite good I thought, the worries on this one I guess are all about Europe and the Belgium business
I think there will always be rubbish to be disposed of and EU rules will demand more recycling / composting etc

[craigends] 19/12/2011 15:28

Broker downgrade last week (GoldmanSachs) - looks to me more like someone playing fast game on this share.Still anyone know anything else?

[cerrito] 19/12/2011 14:31

Pricing is interesting here.
On the one hand do you want to buy today an economically sensitive stock where in the first half year, 70% + of revenues came from Benelux and 80%+ of trading profits-with the bulk of the remainder coming from UK
but at least they have a good financial position with no major maturities till 2015 and a core net debt:ebitda at a lowly 1.6
Interesting to look at the consensus forecasts-which one needs to do with caution.For the FY ending3/13 over the last six months the eps consensus has gone down from 9.06 eps to 8.61 eps with revenue estimates going up from £788m to £814m.
I guess if you buy sub 90 you will not go far wrong

[cerrito] 19/12/2011 13:56

There was an item in the FT attributing Friday's Fall to Goldmans cutting from buy to Neutral on the basis of week European economy. They trimmed their target from 151p to 138p.
I guess we need to remember that with current climate in private equity and their financing issues not sure if we will see p equity purchasing.
quote
Weak economic activity in 2012 could limit Shanks' forecast EPS growth, temporarily depressing the capital expenditure and contract growth to potential earnings," Goldman said.
unquote
Agree needs serious consideration ref buying at this price

[timbo003] 19/12/2011 13:50

You often see this sort of illogical fall proir to a discounted rights issue, but I cannot see why they would need to do one right now.

[smartypants] 19/12/2011 13:15

Seem only me on the thread...well..
the thing is...I am a nobody playing the game with my pocket money and watching red and blue lights on ADVFN
But...if you are in the game properly...if its your business..
Then when you spot that one of these programs is targetinging a stock, then why would you bet against it..
Why bother wasting your time and money trying to prop up the price of some thing that is going to be driven down against all logic ..why not just wait for it to do its work..
So..the fall is even bigger and quicker than it ever used to be, because there is even less buying to counter it...because this is now normal...this is how the game is played now...by cheats and crooks..the only way to play is to watch and join in
Watch them hammer the price, dont fight it just join in with the vultures when it is finaly on the floor having taken a kicking...and then fil your pockets with what ever you can pick up
No longer considerd investing, now institutional mugging

Rant rant rant rant rant......

[rimmy2000] 17/12/2011 18:39

must be concerns over Europe as it is very euro-centric in its operations. Don't currently hold, but this has done me well in the past. Looking to buy back at this price. Decently run company but NEW CEO still to prove himself could also lead to doubts I suppose.

[smartypants] 17/12/2011 00:42

Hmmmm....
Looks to have come under some thing of a shorting attack..
Its criminal what they get away with these days...solid results price gets hammerd ???

[scars] 16/12/2011 12:39

Profitability seem sto still be rising, dividend seems to be stable, not going to dip in yet but have put on my watch list.

[peawacks] 16/12/2011 12:18

Because I own some. That's why !
LOL !

[betman] 16/12/2011 12:12

whats happened today ? why the 3p drop ?

[salpara111] 04/12/2011 16:06

Held these in the past and am tempted to get in again, for me the main stumbling block is the meagre divi, at present there are plenty of solid companies with covered divis over 6%

I know this is low risk but equally it is likely to be low reward unless someone tries to take them out but that scenario did not end well last time!

[betman] 01/12/2011 09:23

disappointing that SKS hasnt joined in the recent recovery, is this down to its Europe exposure or just low profile and better liquidity stocks

[cerrito] 05/11/2011 15:31

Yes they are a good set of results and the share price rise since announcement was warranted; have no intention of selling at all and very happy with what I have but I wonder if they have got all that much more to go.
One attracting for me is that they give me exposure to what is going on in Benelux-the only company I have you are active in that region.

[moneybags] 03/11/2011 12:56

Nice solid set of results

Regards , Moneybags

[wad collector] 03/11/2011 11:52

Shanks Group plc

Shanks Group plc, one of Europe's leading waste management businesses, today announces its results for the six months ended 30 September 2011.

Continuing Operations


Change
Change % Constant
2011 2010 % Reported Currency*
---------------------- ----------- ----------- ------------ ------------

Revenue GBP398m GBP348m 14% 11%
---------------------- ----------- ----------- ------------ ------------
EBITDA GBP53.7m GBP48.9m 10% 5%
---------------------- ----------- ----------- ------------ ------------
Trading profit GBP28.1m GBP24.7m 14% 10%
---------------------- ----------- ----------- ------------ ------------
Underlying free cash flow GBP18.3m GBP18.4m 0% (7%)
---------------------- ----------- ----------- ------------ ------------
Underlying profit
before tax GBP20.8m GBP16.8m 24% 20%
---------------------- ----------- ----------- ------------ ------------
Profit before tax
(statutory basis) GBP17.9m GBP10.5m 70% 64%
---------------------- ----------- ----------- ------------ ------------
Underlying EPS 3.9p 3.1p 26% 21%
---------------------- ----------- ----------- ------------ ------------
Basic EPS (statutory
basis) 4.4p 4.3p 2% (1%)
---------------------- ----------- ----------- ------------ ------------
Dividend per share 1.1p 1.0p 10%
---------------------- ----------- ----------- ------------ ------------


Positive sounding results, up a few pence today.

[betman] 31/10/2011 10:46

Now up to 115.6p, have we finally finally broken upwads, results this week, is this a leak of good news or anticipation of good news. If it isnt, then I guess we will be punished as usual
If Europe can start growing this would be very positive
Very close to breaking up through 200 day MA which I would regard as very positive.also a touch up on volume, but would liek to see more still to get soem real momentum

[wad collector] 07/10/2011 15:53

Sizzling BB .
Tipped in Telegraph last week.

109.4p +0.5p
Questor says BUY

Shanks Group

The company operates in the Benelux region and Britain, and has a small operation in Canada. It sold its UK landfill sites to private equity group Terra Firma in 2004.

There is a cyclical aspect to the company's operations – and businesses produce less waste when times are tough.

However, yesterday's trading update showed that things are progressing as planned in the first half of Shanks's financial year.

Recyclate prices are also holding up well, Shanks said, and its remediation activities on contaminated land in the Netherlands are pretty buoyant.

The company's private finance initiative (PFI) projects should be delivering a return of 7pc this year. This is a reversal of fortune over the past few years as they were previously loss–making.

The group is currently bidding for new contracts and the Barnsley, Doncaster & Rotherham contract is expected to reach financial close this calendar year, with the Wakefield contract closing shortly thereafter.

Indeed, investment in the UK business, which is likely to benefit from an increase in landfill taxes, is likely to mean the country will grow from the current 10pc of Shanks's business to 25pc in the next three to five years. The business is investing in recycling and the anaerobic digestion of food waste.

The company is in the process of finding a new chief executive after Tom Drury, the current incumbent, resigned because of the commute from his home in Knutsford, Cheshire, to Milton Keynes.

Mr Drury is leaving at the end of this month, but a new successor should be found soon. Until then, Chris Surch, the chief financial officer, is undertaking this role.

Hopefully a successor will be found soon, but from a strategic perspective the current situation is not a crisis.

The company's business is developing nicely and operating in good markets that should show good growth over the medium term. Not many changes are necessary.

Adrian Auer, group chairman, was pleased with the group's performance. "Market conditions remain in line with our previous expectations and we continue to make good progress in implementing our strategy of delivering sustainable alternatives to landfill and mass–burn incineration," he said.

Indeed, analysts expect earnings per share will grow by 13pc in the current year and 20pc in the year to March 2013.

Trading on a March 2012 earnings multiple of 15.1, falling to 12.6 next year, the shares are a buy because of the inevitable move away from landfill disposal to more intelligent means of disposing and recycling waste – and the group's investment programme is accelerating growth.

Shanks shares were tipped at 121.3p on May 27 this year and they are down 9.8pc since then.

The shares are a solid long–term bet on better ways to manage waste in the UK and Europe and remain a buy.