Tclarke Share Discussion Threads

[norbert colon] 27/11/2018 22:06

I didn't ask and I'm not sure they could have responded. Miton have been selling for a while offset by Regent Gas buying. I will be doing a Mello write up on @Cubeinvests website this week which hopefully will give you some further details.

[thorpematt] 27/11/2018 21:31

pogyted,
thankyou for the note.

very understated tone from singer but VERY clearly a bargain by those measures!

-----------------------------------------------------------------------------------
My thoughts:-

Extraordinarily low valuation here. Given the positive outlook and recent trend in earnings it's impossible to justify.

I can only but believe that the market is assimilating CTO with the likes of CLLN, MTO, IRV. I think that that's very much a mis-understanding of what CTO is about.

One of the things I like most about CTO is its Logo. Yep, that's right, its logo. I like the fact that it hasn't wasted money on re-branding into some nonsensical, faceless shell. It's still essentialy Tommy Clarke's. It has an identidy and it has no need to pretend to be anything else.

It continues to built its moat by focusing on its operational elements, infastructure and personnel (where others have simply built increased revenues on debt, un-sustainable public sector arrangements and headline sales not profit margins).

Once the market understands the differences between this and those others, I am fairly sure it will re-rate.

[deanowls] 27/11/2018 10:19

If anyone is at the presentation if you could ask if they have a large seller in the market, if they have looked at buying back some shares, why the directors are not buying?

[its the oxman] 27/11/2018 10:13

Break of 100p coming soon.

[podgyted] 27/11/2018 09:51

N+1 Singer (on ReasearchTree)

"Specialist building services group TClarke has reported strong trading in FY18.
Operating profit is expected to be 11% ahead of our previous forecast, driven by
better than expected revenue and margin progression (approaching management’s
3% target). The outlook statement strikes a confident tone, supported by a record
order book, which stood at £403m in November. We have increased our EPS forecasts
by 12% and 15% in FY18 and FY19. Our FY19 revenue forecast is 70% covered by the
order book, giving us confidence that earnings momentum will continue. We believe
the shares are attractively valued, trading on an FY19 P/E rating of 5.3x, and believe a peer group rating is justified. We also note the attractions of a >4% dividend yield."

[effortless cool] 27/11/2018 09:18

Revenue was slightly lower than my forecast but pre-tax profit was well ahead of it. A quick and dirty update of my model indicates fair value around 120p, so disappointed (not for the first time) with price action following such a good announcement.

We may see a bit more interest after management present at Mello later today.

[cc2014] 27/11/2018 08:39

Looking forward. Order book up 6% on this time last year. Implies turnover of £339m for 2019. If they can get to 3% margin, that would give profit of £10.2m for 2019

That's 17.3 eps and a crazy low P/E. (Edit I think that comes to a prospective P/E of 5.2 at 90p a share)

It'a a very positive trading update, suggesting the future looks good. As as we know from previous RNS's the directors always under-promise and over-deliver.


Rivaldo - would you be so kind as to post a summary of the broker update when it comes through later in the morning? Many thanks

[cheshire man] 27/11/2018 08:18

Very pleased with the TU, so many company's with coming out with warning's ect. good to be holding a solid one like CTO

[squarepeg86] 27/11/2018 08:14

Excellent as expected, although a bit of an anticlimax on the rise. Let's see if this moves more as the day goes on, especially after they present later on. I was always planning on holding long term anyway, but it would be great to see this fly. We were at this point earlier on in the year, if I remember correctly off the back of director buys.

[cwa1] 27/11/2018 07:44

All sounds solid enough and appealing....so that should mean the share price goes down I assume? ;-)

[igoe104] 27/11/2018 07:36

Excellent stuff, also its good to see them expanding with new offices in Liverpool and Manchester.

[effortless cool] 27/11/2018 07:14

"Ahead of expectations", ironically as expected (by us, anyway).

[rivaldo] 27/11/2018 07:09

Wow :o))

PBT well ahead of expectations.
Order books up strongly.
Margins up.

What more could you want...

[squarepeg86] 23/11/2018 17:11

Yes Tuesday 27th is correct. I'm sure last time I looked it used to be around the 16th but I could be wrong. It looks as though they've moved it to tie in with Mello.

[cc2014] 23/11/2018 16:57

Have they moved the trading update again? I'm sure they have. My spreadsheets shows Thursday 29th November and now it's Tuesday 27th according to today's RNS

[squarepeg86] 23/11/2018 11:05

Nice link, although I would never have made it myself I'll definitely take it!As somebody pointed out not so long ago, deciding to do the update while presenting at a large investors event surely only tells us 1 thing and they have amazing results to share. That coupled with your very useful analysis makes things look very good for investors.3 single share trades now ha, and a large 64k sell but it didn't affect the price much.

[cc2014] 23/11/2018 09:59

This made me smile. See #2770 copied below.


Which of course come from:






CC201425 Sep '18 - 08:47 - 2770 of 2816 Edit
0 4 0
Post #2769 highlighted to me just how inefficient the stock market has become. In any normal environment the recent success at Kier and Galliford would have had a positive impact on the share prices of the rest of the sector. Clearly that isn’t the case here. Miton selling out is clearly holding the share price back.

It motivated me enough to write my thoughts up. Link below:

[squarepeg86] 23/11/2018 09:30

Anybody looked at the trades here so far? Nothing but a single share trade. Seen plenty of them now, most meaningless but it does look odd sat there on its own ?. If it's somebody pushing their luck, can't say I've ever seen it pay off as they're never followed by a flurry of buying/selling.

[advfn_sales] 21/11/2018 17:17

Here is your chance to meet with T Clarke:

Using this unique discount code, ADVFN25, you will be able to get £25 off at Mello London 2018, a 2 day investor conference from the 26th – 27th November 2018 at the Clayton Hotel, Chiswick, London.



Tickets are normally priced at £99 for two days and £79 for one.

Type in ADVFN25 as the discount code.

Many Thanks and take advantage of this premium offer.

See you there.

[cc2014] 19/11/2018 10:48

Someone has got up this morning and placed a massive buy order at 84. I can find no real reason or rather I can find is this:



CTO don't install smart-meters. It's not their line of business. All their work starts after the meter. But Regent Gas do (or rather I'm sure Regent don't do it themselves but sub-contract it out).


Now, CTO could install smart-meters, it's easy enough to train electricians for this skill but it would make no sense for CTO to deploy their electricians in this ares (poor use of manpower resources)

So, I suppose one could form an argument that with the programme so far behind and given that it's not optional, those that have the resources to do the work are going to do very well. Maybe Regent see a way to take advantage and their shareholding in CTO gives them a route straight to the directors.


I still keep returning to I just can't join the dots in relation to the Regent share purchases. My argument above seems tenuous at best as you don't need to buy a load of shares to put a commercial agreement together. Maybe there aren't any dots to join...


Other possible motives for today's buyers are:
1. someone wants in before the trading update
2. IRV's financial troubles look to be coming to a head and their M&E arm got fined today by the HSE for failure to maintain standby generators in a lab with pathogens present (I'm rather shocked by this).
3. There's a deal between Mitie and Mears today for sale of the social housing business. Whilst very significantly different from CTO, Mears appear to be paying a very high premium. The market hates the deal for Mears. However, maybe there's a realisations some of CTO's FM business may be worth far more than the market previously thought.

Any thoughts anyone? I definitely can't join the dots here. It would be good to understand. Sometimes, though, being able to join the dots doesn't matter. Simply knowing they exist is enough.


There is this: Regent Gas and Property Services Ltd categorised at Companies House as plumbing, heat and air-conditioning. But again that makes little sense as the turnover looks tiny based on the fixed assets, debtors and creditors. Don't think there are any dots there either.


Edit: It can't be Mears/Mitie as the share price movement in Mears is due to a placing at 331p

[davidosh] 18/11/2018 21:05

Here is the full two day programme schedule for MelloLondon including T.Clarke



It is jam packed full of about 75 company presentations, lots of top quality speakers and panel sessions plus workshops to help with investment style and techniques etc.

The pre event fun starts on the Sunday evening with a dinner and investor quiz hosted by John Lee but the main conference begins on Monday 26th November at 9am through to Tuesday 27th in the evening so do come and join us as there are still 97 tickets left...



See you there.

[squarepeg86] 13/11/2018 12:39

Hopefully the start of the upward trend into the update!

[cc2014] 13/11/2018 12:30

I think we might be getting somewhere.

Spread opened but MM's will take decent volume if you want to sell well within the spread. If you want to buy they want the full 85p.

[effortless cool] 11/11/2018 09:03

Next trading statement is scheduled for 27 November 2018. This is bit later than the equivalent in previous years (2017: 17/11, 2016: 17/11, 2015:19/11) and has presumably been scheduled to tie in with presenting on the second day of the Mello event.

Under these circumstances, it is hard to credit that it will not contain good news.

[davidosh] 11/11/2018 01:28

Just to remind you all that T.Clarke will be exhibiting and presenting at our MelloLondon investor event in Chiswick W4 next month. MelloLondon is a two day event and starts on Monday 26th November through to Tuesday 27th November which is the day that CTO will be attending. You can find out more here...



There will be 60 quality companies exhibiting and presenting plus some very well known investors, entrepreneurs, fund managers and market commentators providing excellent keynote talks on a range of investment subjects. A number of investment workshops will be available each day and a ShareSoc MasterClass on the final day.