Sopheon Share Discussion Threads

[mad foetus] 08/10/2018 20:52

Good stuff bamboo, this and EML the only bright spots in a bloodbath today

[bamboo2] 08/10/2018 20:43

trinko, in reply to pm,

target price on an eod close above 1030 is 1180 [Cup/bowl/handle]
target price on eod close above 1045 is 1266 [Inverse head and shoulders]

Neither pattern is confirmed, yet. Price being held back by historical resistance at 1030.

[robow] 08/10/2018 19:48

Sopheon (LON:SPE)
Share price: 1020p (up 12.3% today, at 14:19)
No. shares: 10.1m
Market cap: £103.0m

Trading update

Sopheon plc, the international provider of software and services for complete Enterprise Innovation Management solutions, issues the following trading update.


This company is really on a roll! There's another positive update today - here are the key points;

... a number of further transactions have been signed resulting in a record third quarter performance, traditionally our quietest quarter due to the holiday period
... We are therefore delighted to report that revenue visibility has now broken through $30m
... Sales pipeline activity for the balance of the year remains robust. The Board now expects the results for the year to exceed current market expectations2.


By revenue visibility, I think they are referring to revenues for the full year to 31 Dec 2018. Plus, presumably whatever additional contracts can be won in Q4.

Forecasts - have been increased, to 48.3p adjusted EPS this year, and 55.2p next year. That gives a 2018 PER of 21.1, falling to 18.5 for 2019. That seems a reasonable valuation, given that the company has established a track record of beating forecasts. Therefore, I wouldn't be surprised to see this share break out to new highs in the months ahead.

My opinion - I failed to spot the opportunity here, which is a pity.

Well done to holders! We have a good update out today, and comments from the house broker that a further beat against (upwardly revised) forecasts could be on the cards. That seems to me a strong reason to hang on to this share, if I held (which I don't unfortunately).

[big7ime] 08/10/2018 19:01

Could you post the article, thanks

[mfhmfh] 08/10/2018 15:46

hxxps://www.stockopedia.com/content/small-cap-value-report-mon-8-oct-2018-ramblings-fccn-amo-quiz-spe-405159/

[trinko] 08/10/2018 15:28

Mfhmfh could you place the link?

Thanks

[mfhmfh] 08/10/2018 15:15

positive write up by Paul Scott on Stockopedia.

[geraldus] 08/10/2018 14:12

This has been a great performer for me,it just keeps giving.In a different economic environment I am sure it would push a lot higher.Gla.

[trinko] 08/10/2018 11:43

From progressive equity research. I think the are very conservative.
Revenue visibility improves further

Upgrades reflect impressive delivery of growth
The strong momentum seen in Sopheon’s first half has continued
through Q3, with the Group announcing that revenue visibility now
exceeds $30 million for 2018 – up from U$27.2 million at the time of
the interim results. This reflects a record Q3 performance with a
number of transactions, including the addition of two new contracts
of material size - one with a new customer and one an extension with
an existing customer – which were booked towards the end of the
third quarter. The update notes that the sales pipeline for the balance
of the year remains ‘robust’. Unsurprisingly, the Board says that it
sees the strong performance as indicative of the growing maturity
both of the Enterprise Innovation Management solutions market and
of Sopheon’s reputation and business model. New customer wins in
the first half of 2018 were some 50% ahead of those achieved in the
comparator period and momentum has clearly continued. We
increase estimates for revenue and Adjusted EBITDA by 5% and 8%
respectively for FY 2018E and also nudge up FY 2019E to reflect the
updated revenue visibility in the trading update. After an impressive
performance so far in 2018 and with Q4 typically a key contributor of
revenue performance, we look forward to further positive updates.

FYE DEC ($M)
2016 2017 2018E 2019E
Revenue
Adj EBITDA Fully adj PBT Fully adj EPS (c) EV/Sales (x) EV/EBITDA (x) PER (x)
23.2 28.5 5.2 8.0 2.7 5.1 27.6 48.4 4.8 3.9 21.3 13.9 43.2 24.6
31.6 34.8 7.6 8.7 5.0 5.9 45.9 54.1 3.5 3.2 14.7 12.9 25.9 22.0

[bamboo2] 08/10/2018 10:40

Good to see the potential turn materialise, and even better, that it is up. :)

This mornings Breakaway gap will become the new support zone, 908-956.2

We need to see an eod close above 1030 to validate a number of very positive tp's.

Currently expecting an approx 15% uplift to around 1180 on confirmation. gla

[aimingupward2] 08/10/2018 09:27

Very encouraging trading statement this morning and a strong share price response to the year end results now being seen as ‘above expectations’.

[trinko] 08/10/2018 08:47

Finncap rating reafirmed

[cfro] 08/10/2018 08:05

Wow! what a nice surprise to wake up to this morning. They never normally issue trading updates this early.

[hai74] 08/10/2018 07:23

nice alert notification today, and that for the normally quietest quarter !!!!!


Trading Update – Record Third Quarter
Sopheon plc, the international provider of software and services for complete Enterprise Innovation Management solutions, issues the following trading update.
In our interim results statement issued on 23 August 2018, we noted the continued momentum of the business, with revenue visibility1 for the year already at $27.2m. This, coupled with a high level of ongoing sales activity, gave the Board confidence in the outturn for the 2018 full year performance.
Since that statement, a number of further transactions have been signed resulting in a record third quarter performance, traditionally our quietest quarter due to the holiday period. Included in the wins were two material contracts booked during the final days of the quarter – one with a new enterprise customer, and the other a license extension linked to strong recent adoption performance at an existing customer. These two customers operate in the chemicals and electronics sectors respectively. We are therefore delighted to report that revenue visibility has now broken through $30m. We view this continued delivery of commercial results as emblematic of the growing maturity of the market that we serve, and of Sopheon’s rising reputation for value underpinned by increasing adoption of our solutions.
Sales pipeline activity for the balance of the year remains robust. The Board now expects the results for the year to exceed current market expectations2.

[trinko] 07/10/2018 11:45

tightfist look at post 1440

Welcome nimbo1, I guess we will get a trading statement on the date of the AGM.

Thursday 7/6/18

It looks like the co plans to buy back shares. See resolution 6.
[up to 1,000,000]




Trinko

[tightfist] 07/10/2018 10:26

All good points, especially the ownership (I think the BoD own 29%?) and growing cash pile.I just wonder if the exit plan (the Chair and CEO are surely getting to that time of life) is to just let the cash pile grow to make it a more attractive bid target? Another thought is that they will shortly start a programme of share buy-backs?No inside knowledge, pure conjecture! tightfist

[samsj] 06/10/2018 16:21

We'd just be speculating because I have no inside knowledge. it's not something they need to rush or force and I thankfully think it will be done carefully given it's almost like a family business by ownership. (Look at how carefully they handled the last small placing of shares.)

There is a bolt on like theyve done before but also surely possibility of a bigger merger or reverse takeover. Will be more than one option to look at.

[trinko] 06/10/2018 15:45

Samsj but are you thunking we will here some about it in 2018?

Trinko

[samsj] 06/10/2018 15:35

Ok I see now :) I'm thinking an April Fools.

M&A is likely- they made small acqs in the past, even Michuda came from
Of the acquired companies I think. Big cash balance too makes it easy. Merger with another player also seems rational- must be economies of scale and maybe way for planisware or planview to go public? Who knows.

[trinko] 06/10/2018 14:21

Is there anyone that thinks , that there will be M&A activity with Sopheon, because they mention it half a year ago, and I think they don't wait for year to do so.

Trinko

[samsj] 06/10/2018 13:18

Trinko, can I ask how you found the article in 1703 re: IBM approach. I can't find any mention in the RNS's for that year

[trinko] 04/10/2018 08:45

SBS thanks