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CCT The Character Group Plc

327.00
-6.00 (-1.80%)
10 Jun 2024 - Closed
Delayed by 15 minutes
Share Name Share Symbol Market Type Share ISIN Share Description
The Character Group Plc LSE:CCT London Ordinary Share GB0008976119 ORD 5P
  Price Change % Change Share Price Shares Traded Last Trade
  -6.00 -1.80% 327.00 46,418 14:15:03
Bid Price Offer Price High Price Low Price Open Price
320.00 334.00 333.00 327.00 333.00
Industry Sector Turnover Profit EPS - Basic PE Ratio Market Cap
Toys,hobby Gds & Supply-whsl 122.59M 3.5M 0.1807 18.10 63.33M
Last Trade Time Trade Type Trade Size Trade Price Currency
15:35:21 O 10,000 323.00 GBX

The Character (CCT) Latest News (1)

The Character (CCT) Discussions and Chat

The Character Forums and Chat

Date Time Title Posts
04/6/202419:13A stock on a eps of one?13,453
15/9/201710:55CHARACTER GROUP CHARTS ONLY44
09/6/201617:10character group2
05/11/201014:42Character-Robosapien a Big Seller ?1,549
08/6/200710:35SHORTING & DISTORTING-

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The Character (CCT) Most Recent Trades

Trade Time Trade Price Trade Size Trade Value Trade Type
2024-06-10 16:35:21323.0010,00032,300.00O
2024-06-10 16:09:48320.5010,00032,050.00O
2024-06-10 14:26:33321.008862,844.06O
2024-06-10 10:00:30334.0013.34O
2024-06-10 10:00:30320.00722.40O

The Character (CCT) Top Chat Posts

Top Posts
Posted at 10/6/2024 09:20 by The Character Daily Update
The Character Group Plc is listed in the Toys,hobby Gds & Supply-whsl sector of the London Stock Exchange with ticker CCT. The last closing price for The Character was 333p.
The Character currently has 19,365,770 shares in issue. The market capitalisation of The Character is £63,326,068.
The Character has a price to earnings ratio (PE ratio) of 18.10.
This morning CCT shares opened at 333p
Posted at 04/6/2024 19:13 by dan_the_epic
If EPS gets back to 40p next year then this can be £5 to £5.50 a share

share count reduced down to 18,713,523

I think they will upgrade big time again on this years 26.1p sooner or later
Posted at 13/5/2024 13:29 by pireric
There is still somewhat of an overhang to clear as you can buy for example 20k at 292p at present. The share buybacks will help with clearing that over time as they still have £600k in the current programme, and significant potential additional buyback power under authority from the AGM. The finals suggested they are pleased to buy back when there is stock available. Feels a little similar to the overhang recently at ANP, which then cleared and allowed the fundamentals to shine through to the share price

Eric
Posted at 13/5/2024 11:28 by dan_the_epic
Paul Scott positive on CCT on hid latest podcast
Posted at 10/5/2024 09:28 by pireric
Last one for now, but if you run some maths:

- I have GMs for the full year at 26.9%, compared to Allenby at 26.2%. First half GMs were up 30bps, so down 50bps for the full year looks very conservative, although FOB is lower margin

-Selling and distribution GMs have historically been ~2/3rds to 3/4s incurred in 1H. I'm assuming conservatively it's a bit closer to 50/50 seasonality this year

- On these numbers, I'm getting £8.3m of EBIT for FY24, compared to Allenby at £6.7m

- And I'm getting EPS of 32.5p compared to Allenby at 26.1p

Which If I'm right would spell 25% of EPS upgrades over the course of the next few months and would support a materially higher share price than here for sure. The stock is still broadly bumping along its low end of recent history. I think it's interesting management were happy to guide up expectations at the half year stage and were happy to run buybacks.

Well off the radar of most small cap investors and sentiment on the company would still be negative. This makes it a nice contrarian setup.

360 to 380p by year end is my estimate, which with an 8p dividend, would be a 76 to 96p return or 26 to 33% return.

Eric
Posted at 10/5/2024 08:47 by dan_the_epic
excellent post. PMR raise their price target from 460p to 506p for 73% upside
Posted at 09/5/2024 22:23 by pireric
Some of my initial thoughts for CCT
- Market cap £55.2m
- Latest reported net cash £12.9m -> EV of £42.3m. Also £3m of investment property on the books, and freeholds (in use)

I've long viewed CCT as more of a trading share than one to own long-term, despite the attractive dividend yield at these levels. And that is very evidence in the share price chart - lots of deep troughs and peaks periodically.

Pretty obvious why; there are fluctuations around the toy industry in terms of what is in or out of fashion. But this has long been a great share to own when you're just coming of the bottom of one of those down years. I think that is where we currently are

I think it's worth looking back at the last 8 years to get a better feel for what you get for the ~£42m EV:

2014: £98m revenue, 27p EPS
2015: £99m revenue, 37p EPS
2016: £121m revenue, 48p EPS
2017: £115m revenue, 50p EPS
2018: £106m revenue, 44p EPS
2019: £120m revenue, 43p EPS
2020: £109m revenue, 18p EPS - COVID
2021: £140m revenue, 40p EPS
2022: £176m revenue, 45p EPS
2023: £123m revenue, 20p EPS - Weak demand / COL squeeze

The 2024 estimates from Allenby which are visible here

are for 2024: £130m revenue, 26p EPS

Ultimately either a revenue recovery here is key towards re-entering the 40p range or a cost slim-down. The cost slim-down one is easier to deliver I suspect with more certainty, as they have been very good at managing smaller revenue swings in the past and minimising the EPS impact. That is why the first half results this year are so meaningful; they are showing really good steps around cost management. Looking at the first half cost base and thinking about the second half, it looks very possible to me that you come out closer to 30-32p of EPS for 2024, particularly with the buybacks which are being conducted, which would be nice upside from current estimates.

I would be surprised if when 2025 estimates are launched by the brokers, they aren't pointing to 35-37p+ of EPS for that year on the assumption that industry-level demand headwinds move back towards normality. Bear in mind we have a materially lower share count post the buybacks vs. prior years so like for like EPS versus many of the years in the time series is actually >5% higher.

In any case, the earnings power of CCT seems to be closer to 40p than 26p currently forecast for this year, and that's even when higher management remuneration have been baked into those prior years.

The EBITDA forecast on the 26p forecasts I estimate for 2024 minus ROU depreciation is £9.6m so this is trading on about 4.4x EV/EBITDA, which seems very undemanding as this is entering back into an earnings upcycle, hopefully. Hasbro and Mattel are on 9-12x. Proxy should also benefit from Euro 2024/Topps cards.

On the core business, we'll see if the efforts to focus more on international markets pays off: "Whilst the UK and Irish domestic markets will always remain critical to Character, the Board recognises that opportunities for significant sales and profit growth lie in further developing the Group's international markets. We are focussing on this area of our business and we are pleased to report at this early stage that, following the recent previews and presentations of our 2024 ranges and new additions at the Global Toy Fair in Los Angeles to our retail and international distribution customers, our 2024 product offering has been very well received. Therefore, with International sales forecast to grow in the second half of the current financial year, this bodes well for the Group's strategic focus in this area."

My inclination is to see fair value here is closer to 400p than 293p, which with a 6%+ dividend yield would be a very good return off these levels. When the MDs want to hang up their boots, I can see this being snapped up by a player in the industry, at a materially higher multiple, with the benefit that the directors from a shareholding perspective are well aligned.

Eric
Posted at 09/5/2024 10:14 by dan_the_epic
Allenby forecasts are still too low

CCT 8.7p EPS in first half vs 0.5p last year

Full year estimate is 26.1p vs 20p last year

So they expect less EPS in the second half despite LOWER costs, and MORE revenue than last year.

This will do 30p+ of EPS this year

Buy.
Posted at 09/5/2024 08:39 by dan_the_epic
Allenby Research up their forecast to 26.1p for EPS this year still a long way up to the 40p and over days of recent years and if that happens then this will be a 500p stock again

CCT should keep doing buybacks at these levels
Posted at 01/5/2024 11:27 by linton5
Very static share price not many shares available,results next week regarding last update I’m expecting cct to read we’ll share buybacks going on but can’t get stock
Posted at 06/3/2024 04:16 by h1a3
Hi All,
Very quiet board.
I am hoping that CCT will provide a positive update in the near future.
Does any one have any views of where CCT will go.
The Character share price data is direct from the London Stock Exchange