Synthomer Share Discussion Threads

[linton5] 20/4/2022 15:38

Well I beat myself today overthinking was on the button at 267 refused as thought gap at 261 was coming 🙈

[rcturner2] 20/4/2022 11:15

There is absolutely no way the current dividend is being held.

It most likely will be halved.

[montyhedge] 20/4/2022 10:29

Think they will, profits are good, the next declared dividend 21.30p paid July.

[brucie5] 20/4/2022 09:48

This has been discussed - I don't suppose they will be holding the dividend at historic levels.

[montyhedge] 20/4/2022 08:56

Well a director bought 614,000 pound's worth of stock at 275p in March. I'm sure they know the company better than a analyst at HSBC who said hold target 310p, 11% dividend is temping.

[brucie5] 20/4/2022 08:32

If there's a problem it hasn't been flagged up by Stocko's screens, where it passes no fewer than 8. Though can't say I'm please by the decline in value, ,where I'm now down 13% on my buy in!

[montyhedge] 20/4/2022 08:08

Cut to hold by HSBC this morning target 310p, yield must be nearer 11% now.

[linton5] 20/4/2022 07:16

Shoulda known better gap filling 261

[linton5] 19/4/2022 12:18

Took a starter plate yum yum

[fuji99] 08/4/2022 07:44

hTTps://www.businesswire.com/news/home/20220407005187/en/Stratus-Customers-Earn-2022-Manufacturing-Leadership-Awards-for-Digitalization-Projects

[montyhedge] 07/4/2022 15:28

The weak pound, will boast profits for dollar earners.

[fuji99] 05/4/2022 09:20

The $1bn acquisition of Eastman's Adhesive Resins business will increase revenues and profit. The share price is expected to adjust accordingly as we move forward as the acquisition represents more than 70% of actual market cap of 1.4B.

[montyhedge] 03/4/2022 11:58

Non ex directors buys 614,000 pounds worth of stock, M & G buys a 5% stake. Think that's shows confidence going forward.

[libertine] 02/4/2022 09:12

The dividend represents 40% of the Underlying earnings per share, so it all depends on this years earnings.

[rcturner2] 02/4/2022 07:30

That's last year's dividend.

This year's will be a lot lower.

[montyhedge] 01/4/2022 14:31

Final div announced 21.3p ex 5th June, paid 5th July.
How do they get that figure?

[rcturner2] 01/4/2022 14:19

Stockopedia are predicting eps of 40p and dividend of 17p for 2022.

[montyhedge] 01/4/2022 14:00

Seems to be flying under the radar, looks good for income boys. I see M & G have taken a stake.

[brucie5] 01/4/2022 10:27

Nice to see you guys here - I usually expect to be following your lead. ;)
Featured in the IC today under Nine high Yield Low Risk Stocks.

I won't paste anything further, though I hardly expect the share price to shoot up. But reassured to see the emphasis on 'low risk', though this does not apparently include geographical risk as FXPO included as, unsurprisingly, the highest yielder. Beneath which, RIO, then SYNT.

As to dividend, it gives historic 9.8 falling to 5.6 over next 12 months.

https://app.investorschronicle.co.uk/blog/2022/03/31/nine-high-yield-low-risk-stocks/pugpig_index.html

[thorpematt] 01/4/2022 09:40

I have dipped a toe in here this week also.

Currently feels a bit tepid...but we'll see.

[rcturner2] 01/4/2022 07:48

I have bought in today at 306p.

[brucie5] 30/3/2022 20:37

Thanks Tole. And yes, everything in this market has risk attached.

[onjohn] 30/3/2022 18:59

Might warn

[tole] 30/3/2022 17:27

https://www.fool.co.uk/2022/03/30/2-bargain-shares-to-buy-now-for-dividends/SynthomerThe second share I would consider is aqueous polymers specialist Synthomer (LSE: SYNT). The company's latest annual dividend means that it is currently offering an eye-watering yield of 9.8%. The 30p per share dividend was comfortably covered by basic earnings per share that came in at 75.2p.With its strong position in an important part of many commercial production chains, Synthomer has been doing well thanks to strong demand. I am concerned, though, that cost inflation could damage profit margins over the next couple of years. Additionally, Nitrile latex demand is now subdued after previous stockpiling of items such as medical gloves. That could lead to revenues falling.Shares to buy now for my portfolioBut I see such ups and downs of the demand cycle as an inevitable part of life for a basic materials producer like Synthomer. In the long term I expect demand for its products to remain substantial. That should help support profits.The dividend jump last year reflected a pandemic-era demand surge. So I do not expect such a high payout in future. The company called the dividend raise an "exceptional increase reflecting the unique year of profitability". But I still hope the company can still pay attractive dividends in future, even if at a lower level.The price-to-earnings ratio is currently around seven. That valuation looks cheap to me, although if earnings fall next year the prospective P/E ratio would be higher. From a buy and hold perspective, I would be happy to add these shares to my portfolio.

[brucie5] 30/3/2022 10:12

Come to join you on this morning's retrace. I notice some major disparity between sources on dividend: Stocko gives 5.53%; advfn 9.73%.