Smc Share Discussion Threads

[matrix6] 28/5/2007 13:08

Johne1,

Come on tell me what i have done wrong, just don't say ok!

If you are who i think you are and your trying to do the Bon Jovi on SMC then you need more bird seed than i first thought.

[johne1] 28/5/2007 13:01

Matrix6 - 28 May'07 - 12:50 - 6985 of 6986

OK!

bullbear5 - 28 May'07 - 12:55 - 6986 of 6986

I am not clever enough!

[matrix6] 28/5/2007 12:50

Btw, when you say i go off on a tangent, it is because i find the posts drive me that way on vfn that they are not able to hold a civil conversation and i need to get the bird seed out.

[matrix6] 28/5/2007 12:43

Johne1

Well you know its hard to say regarding opinions, heinsight is a wonderful thing.
I've seen many profit warnings in the past for companies to come back stronger such as ICI, but i'm talking about a profit warning in 2003 when the market had the jitters and things got overdone. Opinions on a stock like SMC are however different because Smc is listed on AIM and IMO Aim doesn't have a good track record.

[johne1] 28/5/2007 12:34

Matrix6, do you ever read through what you have written? - Is there a number 2. or 3.?

You started by offering advice and then went off at a tangent, stating what you have already written, on numerous occasions.

I think Gary just wants opinions about what to do now, rather than what has already happened.

No offence intended

[mmamuk2] 28/5/2007 12:34

Because of the loss of confidence in management and assuming it remains solvent, it'll more than likely either tread water or go further down until confidence can be restored from the next set of results IMO.

Its quite close to breaching its banking limits.

I'm with Masurenguy on this one reference post 6957.

Quoting Masurenguy:
"Assuming that they remain solvent, when they've finally figured out where they now stand, I would think that they would be doing well to get a PER of much above 6 in relation to their next 2007 profit forecast"

[matrix6] 28/5/2007 12:28

Well this is my advice.

1: you must listen to your innerself and believe in the reasons you bought.

I know i've said this several times, but i looked at the accounts on smc and thought they were getting ahead of themselves and trying to put the cart before horse with regards to expansion, i was however very tempted to buy into this with the forward projection of contracts and possible cash flow that may of come from those contracts. I did not see any profit warning coming though in my research, so i can understand why people invested in SMC. What i saw was a long term drag on working capital and ebitda, i know some may be thinking Matrix6 is contradicting himself here, but if you get my drift short term, i didn't see a profit warning coming, i was prepared to take a punt short term but not long term, but i resisted the temptation.

I am sorry for any one who holds in this, i dont think you were naive or stupid, i can see how easy it was to pull the buy button.

[johne1] 28/5/2007 12:25

Yes: -

Up The Blades!

[hvs] 28/5/2007 12:22

Good luck.

I am so glad I did not buy.

I was tempted but held off. Its the BLADES who got my vote.

[johne1] 28/5/2007 12:18

I think they are referring to Sir Rodders hvs.

I have had a lot of respect for that man, in the past, being a sport enthusiast, myself. However, it is yet to be seen if he has bitten off more than he can chew, with this one.

Somehow, I think he is the only one trying to dig this company from the hole. I am interested to find out just how he deals with it.

Cheers

Oh yes, I would also suggest the relevant part of the chart-breakouts quote is that selling some and leaving some helps reduce losses if the shares drop more but, allowing the chance of a partial recovery, if things change for the better.

All in my humble opinion!!!!

[hvs] 28/5/2007 12:14

lol !!!

What "management" ?

[johne1] 28/5/2007 12:06

Hello Gary102. Sorry to read that you have suffered losses. You are in good company here. There are not many here, who have not.

Anyway, I do not like to advise. I don't regard myself as qualified to do so. However, the following words and the link might help you in your decisions: -

Reference: -


quote
SMC! Another profits warning and hopefully the last as they are suppose to come in threes. We managed to get rid of our second lot at exactly the price we bought at - sometimes handy having a direct line to your broker. We'll keep the original holding as surely the management can't be so poor given who is at the top.
unquote

Good luck!

[gary102] 28/5/2007 11:32

Anyone have any views on the movement of the share price tomorrow?

I am holding at the moment on a fairly large loss(large loss for me anyway) I'm either gonna bail out first thing or take a risk and hold them hoping for some sort of recovery. To be honest if I sold my shares before this last warning, I would never invest in SMC ever again...

The above comment has really stuck in my mind

'I still think it is the same messed up pick'n'mix architects conglomerate'

I now look at SMC like a overloaded ship taking on far more than it can carry, I got the feeling this ship might start sinking pretty soon....

[hvs] 27/5/2007 21:09

The Balace Sheet is going to be ripped to sherds.

What "GOODWILL" ?

[omalaha] 27/5/2007 20:34

i wasn't currently holding a position, although i was going to take one pre the AGM as like many i thought - and still do - they will pull this company around. However, i was aware that the review was still ongoing and that there could still be some more bad news to come out, and therefore this stock still carried short term risk.
Volvo seemed very assured about their ability to reach targets because of his conversations with the company , and there is a lesson for us all in that deception ( i'm not blaming Volvo).
a point to note: despite the companies confident outlook and the relative cheapness of the stock, there were no director or fund manager buys in the last two months. so those in the know kept their hands in their pockets and were happy to let the small PI take the risk.
the share price is knackered until the next results as i can't see the market believing a damn word they say until figures are officially reported.

[michaelmouse] 27/5/2007 15:16

Dawson International -

13/03/2006 - "Commenting on the preliminary financial results for the period ended 31 December 2005, chairman Mike Hartley said: "2005 has been a year of
considerable achievement reflecting on the success of our turnaround strategy by restoring the group to profit and building the foundations for future growth. We enter the year with a significantly improved balance sheet. Looking ahead we expect to see returns from the actions taken in 2005. In particular, Dorma is expected to reap the rewards of its restructuring and in the second half of 2006 Todd & Duncan will begin to experience the benefits of its #2 million capital investment programme. The directors expect that the group will achieve continued improvement in 2006."

22/03/2006 - Just 9 days later Hartley and spouse dump 425,000 shares (at between 10p-10.25p)

20/04/2006 - Just over 1 month later the company issues a profit warning.

ChoicesUK -

03/04/2007 - Interim results. "ChoicesUK said it is well placed to complete its recovery plan and achieve positive cashflow for the final 24 weeks of the current financial year, adding this period will end on July 28 after the change in accounting date. It also said it has made excellent progress with the disposal of loss-making and non-trading stores, and talks and arrangements for further disposals are well advanced."

18/04/2007 - 15 days later. "The Board of ChoicesUK plc ("the company") has
reviewed the prospects for the 24 weeks ending 28 July 2007 in the light of the
company's trading experience over the four weeks ended 7 April 2007 which
includes some of the key Easter holiday."
"The Board does not believe that trading for the remainder of the current period will make up for the poor performance over these four weeks. Consequently, it now expects that the financial performance for the current period will be substantially below market expectations.

I do not own any shares in SMC and the company has only just come to my attention. However, I took a quick look through the bulletin board and noticed that a number of astute investors appear to have taken a 'hit' with this one. Genuine commiserations. You have a right to feel aggrieved.

I have posted the above announcements from two companies I have had the misfortune to invest in. Your experience with SMC is not unique. Sadly, I am not sure what can be done about these situations where investors feel that (at best) they have been misled by individuals or management teams. These experiences are giving the AIM market a bad press which is a shame since investor wariness means they are likely to miss out on some genuine opportunties. I am sure that a number of investors on here are lucky enough to have invested in AIM stocks that have multi-bagged.

Perhaps the best we can do as PIs is to ensure we alert one another to companies, individuals and management teams where we have lost confidence. Posters often get drawn into petty squabbles about different investment styles and company valuations (myself included) when our time would be better spent collectively sorting the wheat from the chaff, the honest from the deceitful etc.

All IMHO.
Best Wishes.
Michael.

[njp] 27/5/2007 14:13

The company, maybe, if it can be rescued. The management, never.

[cool_hand] 27/5/2007 13:36

11-04-07

Commenting on the results, Sir Rodney Walker, Executive Chairman of SMC said, "
Although we are reporting figures that are less than original market
expectations for 2006 I believe the business is more soundly based for 2007, and
beyond, which should enable it to meet its targets going forward. I am pleased
to report that at the end of the first quarter of 2007 SMC already has circa 65%
of its revenues secured against market expectations for turnover in 2007."

How will anyone ever trust this company again?

[proud as a goose2] 27/5/2007 12:40

I would like to see it but doubt it.
Tell me the last time a similar scenario has happened and it has gone to the FSA with any action being taken that was meaningful or even of help to shareholders in that or other comapnies that blatant mis information has been put out
Sack the board, sack the board.

[hvs] 27/5/2007 11:37

Is the FSA going to take any action ?

[marvelman] 27/5/2007 10:22

I took it to mean "the equivelant" of which puts losses like this in the perspective in which it effects the individual.I imagine this hit has hurt many in a far harder way than some of us.Personally it is my confidence in what I believe to be true any more that has suffered more than my pocket...what can you believe.

My investment strategy will certainly change to a more cautious and cynical approach after this debacle.

[volvo] 27/5/2007 10:09

Mas

Figure of speech and anyone with a large family will understand.

Fortunatly I am a full time investor who like many have enjoyed a very profitable gain in recent years.

Every loss and there has been a few are not enjoyable.

This loss just leaves a bitter taste.