Stadium Group Share Discussion Threads

[simon gordon] 03/10/2010 16:48

Inching toward an almost five year breakout:

[simon gordon] 29/9/2010 09:11

Topped up this morning, onwards and upwards.

[owenski] 29/9/2010 06:02

Have been looking closer at this one and see similarities here to XPP, management with a strategic view is one example. Often companies can do well for a time purely because the market environment favours such. When a company has a defined strategy that is proven to be working by its financials then that bodes well for its future. i like to look at the numbers but equally I like to see how the business is being constructed and driven. SDM ticks the boxes on this. The figures and outlook also are excellent. SDM is very like XPP, (same sector as well ) It strikes me that SDM is like being able to buy in to the excellent XPP but at a lower price.

And for that reason I'm in, lol. (Hold SDM and XPP)

[dasv] 27/9/2010 16:03

CR - nice research cheers!

[cockneyrebel] 27/9/2010 15:50

Well the 7.2p eps forecasts look way too light imo dasv.

6.3p eps last year. lets say 0.5p of that was the plastics last year.

So 5.8p eps continuing ops last year. H1 has already added 1.5p so they'd need a flat H2 to only do 7.2p eps. 1.5p on the 3.6p continuing opps last year would be 5.1p eps to add to the 3.9p eps in H1 giving 9p eps for the year.

Add on the reduced interest charges and rent from the property that is being let to the new owners of the plastics co and I reckon 9.2p eps could be done with no pick up in H2 growth over H1 imo.

We'll see tho - but 7.2p forecasts look way too low imo.

CR

[jeff h] 27/9/2010 15:49

CR - hope you don't quaff the Special Brew during trading hours...could be some fat fingered trades otherwise!

[bigbigdave] 27/9/2010 15:41

Proper breakout now, judging on past chart performance might be a nice re-rating coming.

[cockneyrebel] 23/9/2010 10:10

Breaking out today.

What do you reckon? H1 was up 1.5p eps. The same improvement in H2 would mean 9.3p eps for the year - well over current forecasts. And all that cash to come in from the factory sale

CR

[cockneyrebel] 22/9/2010 18:10

Jeff H - yep, I was just being a bit cautious, after I miscalculated the figures higher on a rather good night of Special Brew I think :-)

CR

[dasv] 22/9/2010 13:22

thanks CR/Simon Gordon.

I'm late to find these but bought a smidgen today -looks like quality according to PEG/forecasts/balance sheet/divi.

I'd like to see a breakout from 64p resistance cos I reckon when it happens it will fly.

[interceptor2] 21/9/2010 21:59

GCI gave SDM a very positive update last week, and a strong buy rating.

[jeff h] 14/9/2010 14:40

CR - at 400k rent with many commercial properties selling for a yield of about
8% I'd be disappointed with less than £4m

Not sure if the 400k though is an arms length true rental figure as the tenant has bought the business...we'll see, though as you say it should be a lot more than £2m.

[cockneyrebel] 14/9/2010 14:31

Breakout here? on the up.

I reckon that factory sells for far more than it's on the b/s for - 128K sq ft in east Lond has to go for way more than £2m imo.

Perhaps it's sold now and a bit of news leaking.

CR

[jeff h] 09/9/2010 21:34

Chingman/interceptor2 - thanks for your contributions.

[interceptor2] 09/9/2010 18:58

Premier Farnell released results today, see a small part of the statement below. Looks like a sign of things to come in the the Electronic sector.

I know SDM stated they wished to consolidate the sector with some targeted acquisitions. I hope they get the chance too.

I'm not sure if SDM would be a fit to PLC, but there are bound to be others thinking along the same lines re consolidation.

See below........

"International electronic products distributor Premier Farnell PLC (PFL.LN) plans to make between seven and 10 acquisitions in the next three years, Group Chief Executive Harriet Green said Thursday, as part of its strategy to increase market share and its offering to its engineering clients.

"We're very focused on growing market share and currently the four biggest players have 20% of the market, with the rest made up of small and medium-sized distributors," Green told Dow Jones Newswires.

Chief Financial Officer Mark Whiteling said the firm would look to add to its operations in India and China and also pointed to opportunities in Eastern Europe."

[cockneyrebel] 09/9/2010 12:39

cheers Chingman.

US jobs data stronger than expected - a strong afternoon in the US imo.



CR

[chingman] 09/9/2010 12:32

Interview update with Nigel Rogers -

[interceptor2] 07/9/2010 10:04

GCI have just released a update, but as I dont subscibe I can't access the recommendation, looking at the opening text below it should be positive.

Last update in March 2010 had a Strong Buy @ 53p.

Stadium 07/09/2010
Stadium, the manufacturer of electronic and power supply products for original equipment manufacturers (OEMs), more than doubled profits on revenues up more than a third during a buoyant half to June.

Dont forget tomorrow is ex div day.........

Regards ic2

[cockneyrebel] 03/9/2010 18:24

Quite decent summaries. I think if they sell that property for way over £2m tho then the 74-80p targets look way too low imo, depending on what they get for it.

Nice rebound after that large volume today anyway.

CR

[ukinvestor220] 03/9/2010 18:10

Brewin Dolphin retained its "buy" recommendation and 80p target price for the electronic manufacturing services supplier Stadium (SDM). The group reported on a strong first half of the year driven by new contracts and a broad based recovery from existing customers. In addition, new contracts were won in key sectors, such as greentech, security, transport, medical and LED, which drove further growth despite the uncertain wider economic outlook. The quality of earnings have improved greatly following the disposal of the Plastics division and, coupled with the significantly improved balance sheet, the group is in a strong position. With strong cash balances and a two million pounds freehold property to sell, the focus is now on identifying further organic and acquisitive opportunities, the broker bel ieves. Stadium shares climbed 3p to 63p.

[interceptor2] 03/9/2010 15:18

From HB Markets yesterday.........

Stadium Group (SDM, 61.5p, £17.96m)

Stadium Group (SDM, 61.5p, £17.96m) Interims to June 2010 saw a marked recovery with sales up 37% to £23.13m (£16.83m) with a PBT from continuing operations of £1.45m (£0.66m), EP of 3.9p (2.4p) and the group declared an interim DPS of 0.95p (0.8p) following net cash increasing to £1.83m (£0.40m at the year end) following the sale of the Flambeau branded plastics operation for £2.11m and £0.42m of final dividends. The group is widely based across a range of sectors and, thanks to its Rugby and Chinese manufacturing bases, is geographically diverse as well. The group reports it has secured at least one new significant customer in each of its key target markets – greentech, security, transport, medical and Led with an encouraging pipeline as well. Forecasts of £3.1m with 8.2p EPS look achievable and the group has cash to go hunting for acquisitions. On a prospective PER of 7.5x we see upside to around 9x – so raise our price target from 60p to 74p and maintain the BUY recommendation. (Julian Tolley)

Recommendation: BUY

[simon gordon] 03/9/2010 11:36

CR,

Thanks for flagging this one up. Bought 10,000. It's a little peach.

[cockneyrebel] 03/9/2010 11:28

Some large trades clearing that overhang?

CR