Team Internet Share Discussion Threads

[deanowls] 18/3/2024 09:07

Ex div April payment in May. It’s in there somewhere.

[rivaldo] 18/3/2024 09:07

A completely bizarre start today, presumably caused by short-term traders. And a bargain opportunity for those wishing to buy!

Zeus have raised their forecasts for this year yet again and acknowledged the beating of their already raised expectations for last year:

They now forecast 25.4c EPS this year, rising to 27.3c EPS next year.

The dividend is also now forecast to rise to 2.2p this year. And net debt is to fall dramatically to £23.2m.

Brief extracts:

"Assisted by share buybacks in the period, adjusted basic EPS increased by 17.2% to 23.2 US cents, 3.6% ahead of our recently upgraded estimate. With these results, Team Internet extends its track record of upgrading and outperforming expectations."

"Record results

Team Internet’s FY23 results confirmed another strong year of trading from its
Online Marketing and Online Presence businesses. Both revenue and EBITDA growth remained in double digits, margins on net revenue continued to improve, and cash conversion remained strong. We continue to believe that the Group has substantial long-term growth opportunities including international expansion, new partner development, and vertical integration. In our view, Team Internet’s strong track record, cash generation and growth opportunities, both organic and inorganic, are not reflected in its 4.8x 2024 EV/EBITDA multiple."

"Outlook: Management remains confident in meeting market expectations for FY24. With Zeus estimates at the bottom of the consensus range, we increase FY24 EBITDA by $1.0m (1%) to $98.3m, which may still prove to be conservative. EPS growth, now +9.5% yoy, is enhanced by the full year impact of share buybacks. We increase FY24 DPS from 1.8p to 2.2p. Forecast changes are summarised on page 3. FY26 forecasts are also introduced today, showing 6% net revenue growth and further margin expansion.

 Valuation: We continue to believe Team Internet shares are very attractively valued. Despite the strong operating performance and financial results, the share price is broadly flat on 12 month basis. The shares trade at only 4.8x EV/ EBITDA 2024 and 6.8x PE, with a 16.7% FCFF yield. In comparison, Online Presence peers trade at 9.2x EV/EBITDA 2024 and Online Marketing peers trade at 7.3x, 91% and 52% valuation premiums to Team Internet."

[diesel] 18/3/2024 08:25

As day follows night!

[ggrantsu] 18/3/2024 08:25

Oh this is absurd - these are brilliant results and this company in fairness to it hasn’t put a foot wrong. Ever.

U.K. market is totally done. Miserable.

[slogsweep] 18/3/2024 08:19

typical reaction - sell on results. Assuming delayed payments on acquisitions is not repeated very health cash flow. PE around 7.5 a rerating required to lift share price Lets see what brokers say. Now that forecast figures are nailed in there may be some institutional interest. Dividend doubled but I didn't see an Ex div date.

[adamb1978] 18/3/2024 08:09

Yes, very good set of results. Not seeing much to quibble about in there

Growth still strong and the sector dynamics help that further, gross margins stablising, cashflow excellent

Far too cheap as Rivaldo says. They just need to keep executing to delineate from the past when the previous CEO issued lots of shares and grew by rapid acquisition. Very different beast nowadays and will create the new reputation for itself by continued execution

[robsy2] 18/3/2024 07:49

Agreed. They just keep delivering. The growing online presence division alone is probably worth most of the current market cap!
The cash generation and profitability are excellent.

[rivaldo] 18/3/2024 07:20

Excellent results today, which are nicely ahead of both Zeus's and Edison's forecasts for all of revenues, EBITDA and EPS.

The 23.22c adjusted EPS is well ahead of Zeus's 22.4c forecast.

And the 2p dividend is double that of Zeus's 1p forecast.

The CEO is already confident about meeting expectations for this year.

Given TIG's track record and prospects the current share price is just far too low.

[adamb1978] 10/3/2024 10:25

Looking forward to the results in 8 days time. Positive that the share price seems to have held this new range - the upcoming results should help demonstrate the cashflow for the doubters. Also for people who use screening tools as a starting point, it'll mean that when they look at the companies metrics, the last historics should start to look positive.

Really do rate the current CEO; think he gets the balance between growth / returns and understand that capital has a cost.

[hsduk101] 10/3/2024 09:41

I can't help thinking Midas have understated TIG hereSince 2019 share price has gone up roughly 1.7 times only. However at quick glance since 2019 Revenue is up 700% (7 times)

[robsy2] 10/3/2024 09:09

Great news. Midas has a decent track record and a lot of followers- it also acts as a a reminder of the progress made here so far. I think i first bought in at around 80p. It has not been a runaway success but it has performed. So far, so good.🤞ӿ95;

[rivaldo] 10/3/2024 07:50

Tipped by Midas in the Daily Mail today as one of "the Great British businesses that lead the world":



"Team Internet, formerly CentralNic, is another winner, recently announcing record sales and profits from helping firms to bolster their online presence and protect themselves from cyber criminals. Shares have almost tripled over the past five years to £1.36, but City analysts reckon they are still far cheaper than they would be on America's Nasdaq exchange."

[adamb1978] 23/2/2024 11:03

Presumably they'll ask for a new authority at the upcoming AGM so should only be a brief period when those buying volumes arent there

[rivaldo] 23/2/2024 09:39

New coverage overnight on Master Investor FYI:



"Team Internet Group (LON:TIG) – Another Couple Of Weeks

The Share Buyback programme continues to help to push this group’s shares higher, with purchases of around £200,000 worth of stock being made each day, the latest being 150,573 shares @ an average 140.12p per share.

At the current progress rate, it should be completed by the end of the first week of March, just ahead of the company publishing its audited annual report for the financial year ending 31 December 2023 on Monday, 18th March.

After hitting 141.80p yesterday, the shares closed last night at 138p.

Hold very tightly to the shares, I feel that my next (156p) Target Price could soon be achieved."

[boadicea] 21/2/2024 14:38

I think we may see a rather step-wise advance as we pause at various price targets that sellers may reach. It appeared to happen at 125p, also at 135p, and now where it is being cliiped as soon as it pokes its head above 140p. This may be inevitable as the rise causes those of us with a heavy weighting to trim prudently.
That will be fine as long as we don't also get a retrace causing panicky stop-loss selling among more recent converts who lack the comfort of a good profit margin.

Has anyone kept a tally on the amount of buy-back cash still available?

[adamb1978] 21/2/2024 08:24

I thought that they would have got through the authorised amount by now but great that there's still some capacity. Hopefully they can do more over the next year too, though appreciate that there's divergent views on here between the balance of debt reduction vs buybacks. I dont think either are bad options, and preferable (share price wise) to hiked divis or special divis

[robsy2] 21/2/2024 07:17

Absolutely . This share buyback, starting at 112p and ongoing has been very succesful. Good to see 140p again.

[rivaldo] 20/2/2024 07:16

Good to see the buybacks continuing at over 140p now.

Loking good chart-wise too.....

[diesel] 19/2/2024 16:03

…and good volumes too!

[adamb1978] 19/2/2024 10:33

Yes, nice to have that consolidation there, rather than the volatility in the last 12-24 months

[diesel] 19/2/2024 09:45

After a spell of consolidation at 135 ish this chart is beginning to look exciting.

[robsy2] 15/2/2024 16:26

Yes, well worth a watch.

[slogsweep] 14/2/2024 13:28

just reread TU issued in Jan 24 and it says results due 18/3/24 so looks like I'll have to wait a bit longer 😒