Touchstar Share Discussion Threads

[jeevsje] 13/2/2020 09:16

2Top, someone was crazy to open a short on this and that person is being squeezed out. They are using the long to manage the exit. A bit of volume on the buying side and someone is going to be in trouble.

[2toptrader] 13/2/2020 09:07

He's only got roughly £80k worth of shares, they'll be gone in no time.At least it provides some liquidity before the big moves. For whoever wants to get in.

[jeevsje] 13/2/2020 09:02

I did say someone is getting squeezed at Spreadex. NT to buy and should tick up even on small volume now.

[2toptrader] 13/2/2020 08:52

The numpty who took a large stake on a spread bet is holding this back, forced to sell as probably too expensive to roll over the contracts. Once he's done, we're off to the races.

[someuwin] 13/2/2020 08:46

Spreadex now down from 2.87% to 1.84%.

[someuwin] 12/2/2020 15:59

Even tighter now.

[allviewswelcome] 12/2/2020 14:54

Maybe. They're only providing online quotes for less than £700 at full ask, but they will happily take my entire holding off my hands.

[jeevsje] 12/2/2020 14:32

Seller done with that 41k trade.

[someuwin] 12/2/2020 13:51

For such a smallcap company, they have a lot of strings to their bow. And a lot of big name customers too...

[jeevsje] 12/2/2020 10:37

Ah no worries, Rivaldo. Thanks.

[rivaldo] 12/2/2020 09:29

Hi jeevsje, I don't remember a breakdown by division.

[jeevsje] 11/2/2020 13:42

Rivaldo, in our meeting with Ian, he gave us a breakdown on how the business was going to achieve the growth. Would you have the breakdown of future revenues per division?

[rivaldo] 07/2/2020 10:39

Here's Paul Scott's update from earlier in the week for those who don't have access to Stockopedia:

"Touchstar (LON:TST)

(I hold a long position in this share)

Illiquid micro cap, so just a brief mention.

This is a turnaround situation, which as with most turnarounds, is taking a lot longer to work (if it works at all).

Today’s positive update is worth noting, but only resulted in very small changes to broker forecast for 2019.

Net cash has improved to £849k, well above forecast of £100k – although it sounds like some of that is one-off favourable working capital movements (e.g. customers paying up-front)

Order book – this is probably the most important bit, with this having risen from £800k on 18 Dec 2019, to £1.7m at end Jan 2020. I would have liked more detail on what is driving the improved order book, but will have to wait until April;

"Commenting Ian Martin, Chairman, said: “The Board is delighted that the Company has had a stronger than anticipated finish to 2019 and to be entering 2020 with an encouraging order book. We expect to provide a further update on the outlook for 2020 as part of the announcement of the final results in April.”

My view – there are signs of life here, and hopefully it won’t need to raise more cash now.

Its legacy business was disposed of, and the new products look very interesting, with a surprising spread of products for lots of sectors – see its website here.

The market cap is only £4m, so if new products take off strongly, then we could have a multi-bagger, who knows? The downside risks are that it might limp along, need to raise more cash, and/or de-list. So very speculative, and illiquid.

EDIT: Many thanks to our subscriber Snoo who has provided this link from Touchstar’s website, which gives more detailed info about its new customers. Thanks Snoo! :-)

[2toptrader] 06/2/2020 21:01

CHAIRMAN'S IMTERIM STATEMENT SEPT 2019:

"The last twelve months have been a critical period for Touchstar as we have been putting in place the foundations to create a modern business. The next year is arguably more important, it is now time to deliver, not promise, to reward shareholders for the faith they have invested in us."

so far so good.

[jeevsje] 06/2/2020 19:03

30k buy at the end. Liquidity definitely improved and I reckon a large order is being filled.

[jeevsje] 06/2/2020 16:00

Late surge of buys?

[cocker] 06/2/2020 11:15

You certainly do

[likitorma] 06/2/2020 10:30

Bought another 15k at 50.05p this morning, which I believe will be a delayed trade. Apparently, swap deal with someone else. I have a good broker.

[elpirata] 06/2/2020 10:14

just bought my first tranche on the back of that trading statement while this is well under the radar, it seems to be a niche business with a quality client base turning cashflow positive as of now, negligible debt.

with 8.5m shares in issue I assume share price can be volatile!

[someuwin] 06/2/2020 10:07

WHI view: This morning’s update is clearly positive for Touchstar, in what was
predominantly a difficult year for the group. The increase in demand illustrated
in the growth in the order book within such a short period of time is very
encouraging and we see upside potential to our FY 2020E forecasts as the year
unfolds if these trends continue. Touchstar is now two years into its turnaround
strategy and with revenues of over £7m and an EV of c.£3m, it remains an
exceptionally lowly rated technology stock.

[rivaldo] 05/2/2020 23:22

Reading Stockopedia, I hadn't realised Paul Scott was a holder here? I often disagree with his analysis, but his presence will certainly bring in more attention than would be usual for a £4.5m m/cap like TST.

[jeevsje] 05/2/2020 16:11

Once we clear the 50p seller, we will be off. Not many shares in issue here.