Ten Entertainment Share Discussion Threads

[loganair] 22/3/2023 09:34

With how the stock markets are looking at the moment, these results mean there is less downside compared to other FTSE companies rather than thinking of upside potential.

[adamb1978] 22/3/2023 09:03

Share price here should be somewhere around 400p IMO. Think therefore that there's decent upside here and the yield pays you to wait, whilst the balance sheet should limit the downside

[loganair] 22/3/2023 08:54

All looking good, now no debt, dividend rising etc...on my scale of -5 to +5 I give these set of results a solid +3.


Full year free cash flow of GBP27.2m
Move from net debt to GBP10.1m of net cash at year end
Final dividend of 7p per share recommended; 3p interim paid in October 2022

[gswredland] 22/3/2023 07:49

Great news!
Looking good.
I wonder if BOWL will be looking at TEG closely

[johndoe23] 22/3/2023 07:30

Should be on a PE of between 12-15, significant upside still here in my view. Jittery market of course won't help.

[adamb1978] 22/3/2023 07:19

Yes, very nice results JohnDoe. This produces strong returns, is debt free and generates cash. A PE of 9x is too cheap in my view

[johndoe23] 22/3/2023 07:12

Outstanding results, confident outlook 7p final divi

[johndoe23] 20/3/2023 09:01

A good strategy at the moment is to sell pre results. Though the share price here has been broadly flat past few weeks. Decisions!

[adamb1978] 20/3/2023 08:32

Yep, planning to dust off my figures in advance of Wed. Expect the figures to be decent, though what that means for the share price is anyone's guess. At the moment, good figures seem to be rewarded with flat to slightly down share prices, poor figures get hammered

[johndoe23] 20/3/2023 08:14

Finals weds

[johndoe23] 22/2/2023 15:23

Summed up very nicely Adam!

[adamb1978] 17/2/2023 08:55

Hi gswredland,

Yes, agreed. Whilst we can debate precision on numbers I think the TU tells us that this is a company which is:

- trading on a single digit PE, probably in the 8x-9x range
- significant discount to BOWL
- will likely have a dividend reinstated this year, which I expected will be perhaps at a 3%-4% yield level
- generates decent ROE and ROCE
- has been trading well, and retail sales figures this morning can probably be read across to bowling too in terms of consumer spending
- now net cash (excl leases)

Looking forward to the results in a month or so. Going to be interesting what they say about capital allocation and the balance between growth spending, dividends, buybacks etc

Adam

[gswredland] 16/2/2023 12:26

Just re-read the TU in mid January. Can't see that things will have changed and the statement is confident.May drop to 240's, in which case would be a total bargain.

[johndoe23] 16/2/2023 12:13

Possibly. Getting close to my trailing stop

[gswredland] 16/2/2023 11:58

Bored sellers?

[johndoe23] 16/2/2023 11:54

Looking weak for some reason, less than 9 times forward earnings

[shares9876] 11/1/2023 22:57

TEG has some good results but they aren’t the quality locations of BOWL, so the multiple discount to BOWL is appropriate in my view. Key to improving its multiple will be choosing quality locations rather than just opening for quantity

[johndoe23] 11/1/2023 10:13

Short termers banking profits. Like you say, valuation anomaly here.

[adamb1978] 11/1/2023 08:00

Yes, excellent update John. Would mean that EPS is a little over 30p I expect and got to remember that BOWL trade at just over 14x PE whereas TEG is on just under 10x. That discount doesnt feel right IMO

Will be interesting to see what analysts put in for Fy23, but FY22 was hit by the heatwave and FY23 also has few more centres open. If they can get back to BOWL's multiple this could be at 500p in a year

[johndoe23] 11/1/2023 07:38

Superb numbers and net cash position for the first time

[johndoe23] 10/1/2023 16:08

Level 2 still looking good!

[adamb1978] 10/1/2023 15:19

Having buyers' remorse...that I hadn't bought more yesterday

[johndoe23] 10/1/2023 14:21

Nice move up again, something tells me tomorrow's update will be good

[adamb1978] 09/1/2023 15:44

Agree John. BOWL is on 14x so I think that something around 400p feels reasonable and towards 500p within 2-3 years based on their growth plan