Strix Share Discussion Threads

[edpick] 05/5/2019 00:24

Any idea why GLG Partners would be short here? Not on a demanding PE, has a good moat, modest growth, pays a divi... struggling to see a compelling bear case

[nquaile875] 02/5/2019 22:10

Cheers rik, mis-typed that!

[rik shaw] 25/4/2019 11:38

I think you mean overbought rather than oversold...

[trident5] 25/4/2019 11:34

Ta ta then

[nquaile875] 25/4/2019 11:19

RSI is starting to show overbought and share price is bouncing off 1 year resistance. Could be time for some profit taking imo/dyor

[masurenguy] 24/4/2019 14:26

Positive momentum continues with the shareprice up 35% since the begining of the year.

[masurenguy] 15/4/2019 14:55

Moving up on comparatively modest trading volume.

[edmonda] 25/3/2019 10:00

Video with management for those who are interested in hearing from them directly.

[dgduncan] 22/3/2019 10:57

This does not look like a shorters target but anyone who dislikes the share price being manipulated by shorters selling shares they borrow and actively de-ramping the share to drive it lower can sign the petition (please). Share price should be based on the value of the company and dictated by the proper buyers and sellers.

[masurenguy] 22/3/2019 10:24

Mark Bartlett states that they are not particularly vulnerable to any consequences of Brexit and believes that the future prospects for the business are good. The kettle business growing at 7% per annum and there will be effective synergies provided by the acquisition of the HaloSource assets, especially through further penetration in the US market.

[tim1478] 22/3/2019 08:56

Correction. Yesterday's post - Higher EPS should have been higher p/e

[srichardson8] 21/3/2019 17:42

tx alter. still a big investment but one hopes fully justified and the current cash flow seems very steady

[squidsgone] 21/3/2019 13:37

Tim1478 - what vulnerability do you see?

[tim1478] 21/3/2019 13:02

Small rise in profits, big rise in dividend - fells like ex-growth "mature" company. P/e at 10 is reasonable. Could be vulnerable to significant fall

[alter ego] 21/3/2019 12:49

srichardson8, Simon Thompson in the IC has just published a buy recommendation after a results call with the CEO and FD. He mentions the new factory in China and says

"The £20m capital expenditure will be fully funded from internal cash flows, and a modest amount of debt tapped from its £53m revolving debt facility that is keenly priced at 1.75 per cent above LIBOR."

[squidsgone] 21/3/2019 11:56

Good results and outlook. Small profit taking from recent climb only.

[srichardson8] 21/3/2019 11:26

Two possible reasons for the market to be (a bit) cautious
1) the cost of the new Chinese facilty - how will the $20mn (from memory but it might be £) be financed?
2) the size of the share-based payment which are equivalent to 5% of sales Por what looks like 20% of OP. This item has depressed reported pre-tax profit and EPS.
Overall I think they look pretty good nonetheless

[essential] 21/3/2019 10:39

Yes tiny volume

[masurenguy] 21/3/2019 10:17

This mornings price action is not representative of "market expectations" in anyway whatsoever. Only 100,000 shares traded so far - average transaction size circa 2300 shares or £3700 in value - which is minuscule in relation to the 190m shares in issue. Just a few PI's trading or taking marginal profits!

[tyronereid] 21/3/2019 10:11

I take it the markets were expecting better results?

[masurenguy] 21/3/2019 08:42

"The 2018 results augur well for 2019 about which the company already expressed confidence. Importantly, volumes remain strong having increased by 7.9% last year and, on a constant currency basis, sales growth was faster than headline at 4.5%. Strix maintained 38% share of the global kettle controls market while making important gains in both the regulated (notably North America) and less regulated markets (Africa & South East Asia performed well). China should return to growth this year.

Strix completed its £1m acquisition of certain HaloSource assets on 7th March 2019. These included the HaloPure division and the Astrea product. The company reiterates the benefits of key technologies and research & development skills in the water filtration market. The HaloSource assets are expected to support Aqua Optima’s overall growth as well as entrenching the group’s important USA foothold.

In our view, the investment case for Strix remains positive. The company aligns itself to increased demand for healthy products through the association of kettles with tea and pure water with hydration. Furthermore, the benefits of strong finances tend to be confirmed by its ability to acquire well strategically – as in the case of HaloSource – while its core business benefits from a rigorous approach to IP protection. Based on yesterday’s close the shares continue to trade on a single digit EV/EBITDA multiple while boasting an undemanding 11.6x P/E ratio and a very generous 4.6% prospective dividend yield." Equity Development: 21/3/2019

[salchow] 21/3/2019 08:13

"Good set of results and dividend increased by 141%!"

Or in line with the 7p dividend for the year that was promised!