Smith & Nephew Share Discussion Threads

[csalvage] 02/11/2023 11:08

Wow nice to have a day like this for once, maybe a upgrade coming.

[keyno] 01/11/2023 11:12

What an 'orrible looking chart. I'm well under water here and I know I am not alone. Unlikely management here have something to pull out of the doctor's bag tomorrow, though. Sigh........

[suetballs] 01/11/2023 09:45

Will tomorrow's 3rd quarter results bring any cheer - I have me doubts.
Suet

[justiceforthemany] 27/10/2023 16:47

Multiple elections next year. US, UK, India, SA.
No leader with a brain goes into an election on the back of sky high interest rates, a recession or an imminent one, high mortgage rates etc.
Cuts are coming and soon.
It's the economy stupid....

[essentialinvestor] 27/10/2023 13:11

I would also say this is one of the most challenging times for equity markets that I've seen over 30 years, however it should set the foundation for strong multi year returns if you get your stock selection even half right.

I did say around £9 may be a fair valuations - providing trading is inline with consensus estimates.

[essentialinvestor] 27/10/2023 13:06

I'm not scaremongering in the slightest, I'm just providing some wider context on valuations. I've also said there is a possibility of a bid - all be it that's a highly speculative reason to buy.

[lonrho] 27/10/2023 13:04

Well if the American health care companies don't bid at this level guess they never will.

[justiceforthemany] 27/10/2023 12:55

Don't scaremonger EI. You know very well interest rates will not remain at this level for long and given the steep fall in economic activity we are seeing, particularly in the UK and Europe, the rates will be cut soon, I estimate as early as Q1 2024 here.

[essentialinvestor] 27/10/2023 12:09

justice, previously a ZIRP valuation, we are in a totally different environment re valuation post ZIRP.

[dope007] 27/10/2023 11:45

@justiceforthemany

I am watching these with a view to buy and diversify further, but it is not alone on the UK mkt in being completely trashed. So many stock are at bonkers valuations and still being sold. It's a complete mess, but you could argue a massive opportunity as PE's sub 6 and yields over 8% all over the place won't last forever.

[justiceforthemany] 20/10/2023 18:39

Is the company worth half what it was as recently as 2019?
Of course not. The market can be stupid and fickle.

[knighty0001] 14/10/2023 09:00

That price has to have factored in the Q3 results, surely we wont see it dip below £9!?

[laurence llewelyn binliner] 13/10/2023 18:18

02.11.2023 for the Q3 trading update and we can see which way the wind is blowing at SnN..

[essentialinvestor] 13/10/2023 14:57

Justice, as a speculative buy around current levels may be - provided you
do not expect another trading disappointment/ or you think if so, it's already
in the price. Also keep in mind about 90% plus of the entire UK market is being
de-rated atm, outside of O&G. My only decent UK performer this week is IMI,
perhaps says more about what I'm holding!.

[justiceforthemany] 13/10/2023 14:46

Far too low an share price here. Shares are now trading 50% below their peak.

[justiceforthemany] 13/10/2023 14:45

June 2022


Trauma and orthopaedic equipment provider Smith & Nephew’s shares are trading “35% below their peak”, the bank said, partly due to the impact of Covid-19 on hospital activity, while its balance sheet is “only modestly geared at 1.6x EBITDA”.

RBC said a consortium of buyers might opt to divest the company's wound care business for a partial return, but with such a hefty price tag, the asset would be likely to come back to the public markets in future.

“A re-IPO could be the potential exit route for PE,” it said.

[lonrho] 13/10/2023 14:29

its from the financial times portfolio section under equities analysts forecast, it has 89 cents for 2023. Analyst consensus from smith & nephew web site gives a median of 81 cents for 2023.

[essentialinvestor] 13/10/2023 14:25

Where are you getting that number from, on current USD conversion to GBP, FY 2024
consensus looks around 56 pence, that equates to £9 a share, approx. Obvs those estimates are subject to revision.

[lonrho] 13/10/2023 14:15

analyst consensus for 2024 is one dollar which equals about 80p. 16 times equals £12.80.

[essentialinvestor] 13/10/2023 12:43

Might be worth looking at what the CEO does.. ?

His large sales at £12.74 and £12.78 now look very astute.


5 different CEO's in 10 years, eh


A rating of 16 X forward looks more than fair for SN. in a post ZIRP world.
The market might see it differently, but that's how it looks to me.

[pugugly] 13/10/2023 11:58

Philanderer - Thanks -
Possibly a good idea to discount Stifel target by 10% due to macro environment and usual brokeritis - So possible downside could be to region of 900p.

[philanderer] 13/10/2023 11:26

fwiw

Stifel starts Smith & Nephew with 'hold' - price target 1,025 pence

[pugugly] 13/10/2023 10:33

trading update for the period ended 30 September 2023 on Thursday, 2 November 2023 at 7.00am GMT / 3.00am EDT. This will be followed by a conference call for financial analysts at 8.30am GMT / 4.30am EDT, details of which will be published on the Smith+Nephew website at

Enquiries

[essentialinvestor] 12/10/2023 15:48

He did indeed, trading margin at a smidge over 26% was the peak on that score.

On outsourcing, I completely missed the MTO turnaround, a tad annoying as
know the business well.