Speedy Hire Share Discussion Threads

[cravencottage] 21/5/2022 09:34

A good article

HSS is also worth a look

DYOR

[tole] 18/5/2022 19:30

Here is 1 penny stock primed to benefit from the construction boom!Jabran Khan delves deeper into a penny stock that he believes could benefit from the construction boom, and explains why he likes the shares.Jabran Khan?Published 17 May, 3:46 pm BSTSDYI believe penny stock Speedy Hire (LSE:SDY) could benefit from the rise in demand for construction services here in the UK. Here is why I would add the shares to my holdings.Construction equipment rentalSpeedy Hire is a construction tools and equipment rental business. With over 200 depots across the UK and Ireland, it has over 300,000 itemised assets available for hire.So what is the current state of play with the Speedy Hire share price? As a reminder, a penny stock is one that trades for less than £1. Speedy shares are trading for 49p, as I write. At this time last year, the shares were trading for 75p, which is a 34% drop over a 12-month period.I believe Speedy shares have come under pressure in recent times due to macroeconomic headwinds and the stock market correction. This correction was caused by the geopolitical issues arising in Ukraine currently.A penny stock with risksThe biggest threat towards Speedy's performance and growth, and in turn investor returns, is that of soaring inflation and the rising cost of raw materials. Speedy will see its costs rise, which means increasing its prices. Some businesses have defensive capabilities whereby a price increase would not deter its customers and they would still experience consistent sales. Speedy doesn't have this characteristic, in my opinion. It could lose customers to competitors that are able to offer better value for money.Another issue is that Speedy is an asset-heavy business. It must continuously invest in new and updated equipment that comes out and a significant capital outlay is needed to do this. This outlay could affect any shareholder returns.Why I like Speedy Hire sharesAs mentioned earlier, Speedy could benefit from the construction industry recovering towards pre-pandemic levels. When the pandemic struck, the construction industry was severely affected. Current demand for housing and commercial property is soaring. In fact, demand for homes in the UK is currently outstripping supply.As well as market conditions, Speedy's business model is also beneficial to its own progress, in my opinion. There is a general consensus in the construction community that renting, and not buying tools, is more cost effective. Speedy specialises in renting out its equipment.Speedy shares pay a dividend with a yield close to 4%. This is high for a penny stock, which is enticing. It also recently commenced a share buyback scheme that will reward investors too.Let's take a look at the fundamentals then. Prior to the pandemic, Speedy was able to grow performance in respect of revenue and gross profit. I do understand that past performance is not a guarantee of the future, however.Coming up to date, Speedy's full-year update for the year ending 31 March, released in April, made for positive reading. Revenue is set to increase by 5% compared to 2020 and investment of £70m has also helped secure a lucrative partnership with DIY giant B&Q. Speedy now has a presence in 38 B&Q stores, which will help boost its profile and performance.Speedy Hire is a penny stock I would add to my holdings. I believe it could benefit from market conditions, despite macroeconomic challenges. The shares could be on the cusp of heading upwards in my opinion and I would buy them now before any price increase.

[currencytrader1] 05/5/2022 15:17

Good to buy to hold when 45p arrives over the next few months...

[km18] 05/4/2022 13:29

Speedy Hire Plc issued a year-end trading update this morning. In short, the Group expects to report results for the year in line with the Board's expectations. Positive trading momentum has continued with further revenue growth in Q4. This has been supported by positive end markets, with strong demand resulting in increased volumes, better rates and higher utilisation, on an enlarged hire fleet. The balance sheet remains strong with net debt at 31 March 2022 under £70million. Valuation is also reasonably attractive with forward PE ratio at 10, PS ratio under 0.8. Share price is currently still in a 10-month correction so there is no rush to buy. The company is also not particularly high growth. But it is consistently profitable, dividend yield is reasonably generous at 4.5% and valuation allows for decent upward rerating. One to monitor for now...

...from WealthOracleAM

[cravencottage] 27/1/2022 07:59

Good set of numbers with share buy backs…

Let’s see how mister market reacts?

[tole] 02/1/2022 19:58

https://www.dailymail.co.uk/money/markets/article-10359227/Top-City-figures-offer-investing-advice-cautious-brave.html?fbclid=IwAR1swoiSABlhHgn1OJFIJbSgvXyjjq_lDSZr9D5--eGW7zcEb3ievOp9DKoFor the brave: Speedy Hire (63.4p) You may not have employed its services, but you will almost certainly have seen its distinctive red and blue livery. The company rents out construction equipment and tools to trade operators and the public through B&Q-owner Kingfisher. Increasingly, Speedy Hire also uses its industry contacts to source and rehire third-party equipment to customers in the construction sector – everything from Portakabins to 1,000- ton cranes. Exposure to construction, which is cyclical, means there are risks the economic recovery goes off the rails and if new Covid restrictions are introduced. However, construction is unlikely to be as badly affected as it was in the early stages of the pandemic, and bumper spending is expected in areas like infrastructure.

[rumbers2] 22/12/2021 13:26

It's been on a painful downtrend since full year results last May- despite that and half year results in November being bullish.
I never envisaged a plunge from 81p down to 58p. I would have kept more of my powder dry had i known the bearish sentiment would last this long.Consequently I'm under water without ammunition at these bargain levels.

[tole] 22/12/2021 13:15

A few large prints shown up. Hopefully those two have marked the end of the selling.

[netcurtains] 17/12/2021 17:00

This share is my biggest faller.
Anyone know why its falling so fast?

[rumbers2] 08/12/2021 14:39

Interim Ex-div date tomorrow of .75p so some might be tempted to hold this until Friday morning.

[sphere25] 08/12/2021 13:57

Keep nipping in and out.

Lightening fast on these RNS but it's only a very small director buy.

All imo
DYOR

[american idiot] 23/11/2021 11:04

Sphere,

The sell order was placed bang on 7:50am at the 65p offer.

Was a gift that day. Hope you made good money from it :-)

[sphere25] 22/11/2021 16:33

Well done American Idiot

It's still a tad odd they didn't move their offer back in light of the strong statement, but maybe that line of stock just needed to be cleared quickly.

Normally we don't get a chance to buy an ahead statement without at least some decent mark up (or the price running away very quickly), especially when the price isn't already at a new high or expecting that type of statement.

Still, nice for anyone who got in.

All imo
DYOR

[american idiot] 22/11/2021 16:24

Sphere2517 Nov '21 - 08:42 - 5258 of 5260

Taken some first thing here for a quick opportunity.

There was a seller in size at 65p holding the price back initially, but the market came roaring in and gobbled the shares up there.

..........

That 65p seller was sat on the offer on Level 2 every day for at least a week before H1 results. Incredible - They sold millions at 65p.

I also took a wedge in the opening auction that day.

Very nice day that was indeed.

[sphere25] 22/11/2021 16:16

Hi Tole,

Thanks for the kind words on the other thread :-)

SDY knocking it's head against 70p....AGAIN!

I have lobbed into the spike here. This does the SAME THING nearly every time. It sticks its head over 70p, teases with a break but then sellers come in and hit it back down.

Then you end up with this same battle back at 70p. Normally the sellers win out and it ends up going back into the trading range. The intraday chart shows the price having tested 70p a few times today. It keeps getting pushed back.

The heavy buying that could test the sellers resolve more at these key resistance levels and cause a much sharper move higher is yet to appear.

Will it come?

Lovely one to keep nipping in and out of.

All imo
DYOR

[tole] 19/11/2021 18:00

https://www.fool.co.uk/2021/11/19/heres-a-penny-stock-to-buy-now/

[sphere25] 17/11/2021 08:42

Taken some first thing here for a quick opportunity.

There was a seller in size at 65p holding the price back initially, but the market came roaring in and gobbled the shares up there.

Surprised SDY hasn't rallied more on those results. They are trading ahead, managing supply chains well and confident on the future too, but SDY isn't as fashionable as most shares that end up going rocket ship on alot less.

The price bounces around in a trading range so great for traders (you can almost keep nipping in and out), but still significantly off pre-covid highs so long term folk won't be as happy.

Sellers at 67p prevent the pop higher atm. A move to 70p should be on if 67p gets taken out. That is normally where you get much greater resistance for SDY - chart is symbolic of that.

Probably worth keeping an eye to see how interested the market gets here for any significant push higher. Nice early interest with volume currently at 2.5m. It will likely stay range bound if the interest doesn't come.

All imo
DYOR

[eggbaconandbubble] 17/11/2021 07:50

I haven't been following SDY, but just glimpsed those results....

Why is the share price in the doldrums? The building industry is flat at the mo. Seems odd!

[rumbers2] 01/11/2021 14:51

Speedy Hire has a new chief executive officer, is expanding, has gone green and stands to benefit from Britain's £650bn of spending on infrastructure in the year ahead, so "buy" is the Sunday Times's Sabah Meddings's tip for readers.

Under its new boss, Russell Down, the equipment and tool hire specialist is branching out into selling directly to customers through concessions at B&Qs.

Worth noting, the company's promise is that it can supply its 350 most popular items in under four hours thanks to its 200 depots located across the country.

Its delivery vehicles meanwhile have either gone electric or, in the case of its diesel trucks, use hydrated vegetable oil, which reduces their emissions by 90%.

There is also a growing focus on battery power, solar and hydrogen instead of diesel-powered generators.

The company is not immune to the supply-chain problems plaguing the construction industry having already raised its drivers' pay twice this year.
Nevertheless, the company is growing.

So for Meddings: "despite the pressure, it is in a good position to benefit from the £650 billion of UK infrastructure spending in the years ahead. It is already involved in projects such as Thames Tideway and HS2.

"Liberum has a 90p target share price, while Panmure Gordon has a 113p target. At its current price, Speedy Hire looks undervalued. Buy."

[46maxon] 01/11/2021 14:42

Can you post it!

[chris moja] 01/11/2021 14:22

Todays rise is mainly due to the very positive article in yesterdays ST