Solid State Share Discussion Threads

[fuji99] 02/10/2024 11:53

Was there any share split ?

[powen1979] 02/10/2024 07:43

Nice positive news story this morning with an accretive bolt on acquisition. The rebasing Impact of the bonus award also done today which can only help liquidity.

[gnome3] 15/8/2024 08:22

nfr1,
Thanks for the clarification. Maybe I should have done a little research before sounding off with my rather cynical post! As you say, the bonus share method would seem to be the more cost-effective option and also, involves an increase in the share capital, which is no bad thing for existing holders.

[nfr1] 15/8/2024 07:24

FYI - the bonus share issue has the same effect as a share split, however it is a simplified method of achieving this objective and incurs lower legal costs etc.

[gnome3] 15/8/2024 03:47

Okay, so the company is planning a share split. Why do they need to refer to it as an issue of "bonus shares?" Do they think we're stupid or something?

[onjohn] 08/8/2024 20:48

Yes directors dumped


Profit warns after dumpage usually append

[brad_k] 24/7/2024 19:11

Is this sudden drop in the share price just a reaction to the IC article covering the significant sales by two directors "in response to institutional demand". Oh and also the broker forecasts currently expecting a 30% drop in the eps for next year.
I thought that information had been known for a few days now, so is there something else?

[boadicea] 10/5/2024 12:37

Into all-time-high territory today. Will it hold?

The last RNS was interesting and in SOLI's typically understated fashion was put out only as a non-reg announcement. That would be due to its limited effect on immediate trading but the market (or an interested party?) may now be taking into account the longer term implications.

[boadicea] 27/3/2024 09:47

I agree there is an element of windfall in this update. However, the company is typically cautious in its forecasts and prefers to update with a beat. So I would not be surprised to see it later update to a match or even increase in revenue for 2024-5.
Congrats on taking a profit now (rarely wrong.) Ideas for reinvestment or sit on the cash? Could I suggest a glance at OXB while in its state of post-covid depression but with a very promising start to its reinvigorated thrust into cdmo lentivectors ĺeveraging its unrivalled bioreactor expertise?

[rivaldo] 27/3/2024 08:16

I decided to sell and take profits first thing after the "ahead of expectations" update this morning. Counter-intuitive really!

But the outlook going forward is pretty subdued - Cavendish's new forecast for the coming year to March '25 has been reduced to 65.7p EPS, leaving SOLI on for me too high a P/E going forward in difficult markets.

SOLI are a quality company and may well prove that forecast conservative, but better to be safe than sorry for the moment if SOLI's share price drops back to say 1000p-1100p.

[boadicea] 12/2/2024 13:42

Jolomo - I'm expecting rather more from SOLI than DSCV is currently reporting and it looks significantly cheaper. SOLI has performed comparatively well in the recent past and the periodic dips in the share price may be associated with some profit taking or position trimming in a thin market rather than views of its prospects. Anyway, it's bouncing nicely so far today and has encouraged me into a modest top-up.

[jolomo] 07/2/2024 11:13

I'd guess that reaction to a modest DSCV update yesterday.

[primarch1] 07/2/2024 10:53

Really doesn't want to go past 14 seems a dramatic pullback however considering the interims were positive

[scottishfield] 31/1/2024 15:56

Tks Riv. We're suffering a bit from lack of volume, so some patience is needed. I added a small few yesterday.

[rivaldo] 31/1/2024 11:43

Nice - WH Ireland have today initiated coverage on SOLI with a 1650p fair value price target, and an "undemanding" current valuation.

They summarise in a 24 page research note:

"Valuation attractive for high-quality business:

With multiple avenues for growth and a record of surpassing conservative earnings guidance, we view the current rating as unjustified for a company of this quality"

[rivaldo] 02/1/2024 09:40

And to you scottishfield.

Great to see the share price here at new recent highs now.

[scottishfield] 29/12/2023 11:59

HNY to holders here.

[rivaldo] 05/12/2023 11:43

Cavendish (Finncap) have retained their 1620p price target, with the recently upgraded 85p EPS and a 21p divi forecast for this year.

They summarise:

"Divisions.

Overall, the defence and security sectors remained robust for obvious geopolitical
reasons. It also saw strong growth in IoT component demand as well as good demand in the medical sector, with strong demand for its design in capabilities strengthening its product pipeline. The Systems division saw growth of 136.3% to £56.7m, boosted by the Custom Power acquisition and £23.4m of revenue from the large military contract. Integration benefits are starting to accrue from combined efficiencies and operational collaboration. The Components division revenues at £31.4m, were comparable with H2 2023 in dollar terms, albeit following a very strong prior period.

- Forecasts.

Outlook comments point to the group trading in line with existing FY24 expectations, which were upgraded at its recent period end update. We therefore maintain our adj PBT and adj EPS forecasts for FY24 and FY25, with a minor cash improvement.

- Valuation.

The shares have recovered from previous weakness and have narrowed its P/E
discount to its peers. We maintain our 1620p TP, based on a target FY25 P/E of 19.4x. We continue to see good momentum, with conservative guidance, but where a strong balance sheet and a capable and ambitious management keen boost growth via EPS-accretive acquisitions."

[garbetklb] 05/12/2023 08:04

I'd not be so confident of a significant full year beat.

The £23m NATO contract, which I guess to be radios to Ukraine, is a distorting one off. Taking that off H1 gives base income of around £65m - so £130m assuming flat in H2. Then adding back NATO gets us to the analysts estimate of £155m.

Assuming a bit of growth in H2 would give a modest beat.

[rivaldo] 05/12/2023 07:29

Encouraging H1 results today.

SOLI confirm that they're trading nicely in line with forecasts which were upgraded after the last update, but the figures show that actually there's still decent headroom for beating the higher expectations.

Adjusted PBT of £7.3m - up 39% - is over 58% of the £12.5m forecast for the year, and the 46.8p EPS is almost 55% of the forecast to 31st March.

So SOLI don't need much in H2 just to meet expectations, and may well do much better than that.

Plus good cash flows continue to reduce debt to almost nothing, so we could see further acquisitions from the "healthy" acquisition pipeline.

I also liked the sound of this:

"Pleasingly, post Period-end we have secured a design and build programme for a smart battery in a hand held industrial device with a new global client"

[rivaldo] 24/11/2023 09:39

From Mark Watson-Williams on Master Investor last night:

"Solid State (LON:SOLI) – 17% CAGR In Sales To 2030

This £150m capitalised Redditch-based group designs and manufactures electronic equipment and supplies the value added electronic components and materials in the United Kingdom, rest of Europe, Asia, North America, and internationally.

It operates through Components and Systems divisions.

The Components division provides owed brand manufactured components, franchised components, and the provision of value-added services, such as sourcing and obsolescence management.

It is a specialist in designing-in innovative, valuable, technical solutions for customers seeking cutting edge, electronic, opto-electronic, electro-mechanical components, and displays.

The Systems division provides systems solutions, which include industrial computing and vision systems; custom battery packs providing portable power; energy storage solutions; and advanced communication systems, encompassing wideband antennas and radio products.

The company supplies opto-electronic components.

It serves the security and defence, medical, greentech, energy, transport, and industrial sectors.

The company issued a strong first half Statement at the end of last month stating that:

“The Board is very pleased with the ongoing delivery of Solid State’s growth strategy.

As a result of the strong start to the year, on a full-year basis, the Directors expect to deliver stronger than anticipated organic revenue growth, meaning the Group is expected to be marginally ahead of current consensus revenue and adjusted PBT expectations for the year ending 31 March 2024.”

Analysts John Cummins and Charlie Cullen at WH Ireland have a ‘fair value’ estimate on the group’s shares at 1550p.

For the current year to end March 2024 they see revenues of £155.1m (£126.5m), while pre-tax profits could come in at £12.5m (£10.8m), raising earnings to 85.1p (80.7p) per share.

Andy Chambers and Natalya Davies, analysts at Edison Investment Research, note the group’s strong organic growth in the first half, as well as its ambition to deliver compound annual growth of 17% in its sales up to 2030.

This is yet another group that has its Interims due to be published on Tuesday 5th December.

Its shares, which have been down to as low as 1010p just a month ago, have subsequently perked up considerably, closing last night at a much healthier 1325p.

They have been up to 1475p this year, while the consensus views suggest 1620p is around the right ‘value price’ – so Hold on for more positivity"

[rivaldo] 09/11/2023 15:33

Cheers scottishfield, you too. Doing OK here so far :o))

[scottishfield] 08/11/2023 14:32

Good to see younin here riv, best of luck.

[rivaldo] 08/11/2023 11:16

Buying now at the full 1290p offer price.

[primarch1] 01/11/2023 10:19

Tipped in the ic and down she goes