Universe Share Discussion Threads

[juju43] 17/8/2005 09:32

trend has definately changed. might even get my money back

[pomp circumstance] 17/8/2005 09:26

This givesus a good idea of the levels we are taking out with this rise!!

Would be nice to see this in the top post!!

[papalpower] 17/8/2005 09:18

merc that means something in itself, I think something is known to the rumour world but not to us yet, we are just guessing, but maybe guessing correctly.

If you take this year end EPS of 3p now with First Remit gone and next year of 3.5p, then 15 times 2006 EPS is 56p.

I think forecasts have been and are being upgraded but we are not seeing them yet.

[mercedes] 17/8/2005 09:14

Up again....but look at the spread,now a crazy 5p

[papalpower] 17/8/2005 09:13

On the up again. I would say mid 30's going into results would be fair value of 10 times a new forecast EPS for 2006 of around 3.5p to 3.6p, in my opinion.

[addict] 17/8/2005 08:52

PapalPower,
It seems the slower than anticipated introduction of chip and pin has held back the share price,but all that is changing-and the recent sell off of under-performing part of business will add further impetus.I think the simplest way to assess the true worth is to see where the share price was before the growth stalled-certainly 40p plus to the right buyer looks attainable.Meantime the dividend yield is an unusual bonus for a tech stock!DYOR.

[papalpower] 17/8/2005 08:22

Agreed addict with year end EPS that should be around 3p now with no First Remit and forecast 2006 EPS much should be much higher than this it will have no problem in my opinion going through 30p.

If someone like RTD were to buy out UNG, what do you think they would have to pay given NAV of 42p and exponential earnings growth expectation of HTEC in years to come ?

[addict] 17/8/2005 08:08

I have not posted for a while but have watched with interest as I hold quite a few UNG shares.Clearly the market has warmed to the recent deal which has removed a thorn in side of UNG management.
I agree that there is a likelyhood that a re-rating is on the cards and the next set of results will make interesting reading.
On-line limits are buy 15k sell 75k at 23p with Squaredeal so it's clear the MM's are looking for stock at present.Easy to see this going to 30p in the short term.DYOR.

[papalpower] 16/8/2005 23:53

Nice buy at the end.

Rab12 it may appear something like this might be happening, and if it did then it would be great for all UNG holders, whichever way the outlook for UNG greatly improved.

[rab12] 16/8/2005 22:16

As i have said previously on this thread ,UNiverse is ready to be absorbed by someone else. RTD is a possibility as they divorced years ago but could get into bed again with no great difficulty.

[acrussell] 16/8/2005 17:38

A good day, let's hope we see a continous rise up to the 9th Sept

[papalpower] 16/8/2005 13:42

Looks like they are holding here for a while to suck up what sells they can get at 22p bid.

[acrussell] 16/8/2005 11:30

Just bought another £5k - 6p a share more than I paid last week, but I agree that bigger things may be brewing

[papalpower] 16/8/2005 11:27

I think you will not find any more than the RNS yesterday;

Sale of First Remit

RNS Number:0886Q
Universe Group PLC
15 August 2005

UNIVERSE GROUP PLC 15 August 2005

Universe Group PLC
Sale of First Remit to Travelex

Universe Group PLC ("Universe"), the retail and information systems company,
announces that it has sold its international money transfer business, First
Remit, to Travelex Money Transfer Limited ("TMT"), a subsidiary of Travelex, the world's largest foreign exchange specialist, for an undisclosed price.

Since 2002 First Remit has established a network of more than 3,500 locations in 46 money transfer countries including UK, India, Jamaica, Eastern Europe and
parts of Africa.

Universe Chairman, Ray Mackie, commented "We are very pleased with this outcome.
First Remit is a small operator in a huge market. We believe that Travelex
has the resources to make best use of the First Remit Network."

TMT's CEO, Mohit Davar said "The acquisition of First Remit is a significant
step towards helping TMT enhance its global presence. It will add a further 16
markets to the current 109 countries in which TMT already operates. It will
also help us gain additional market share in over 30 countries."

[mercedes] 16/8/2005 11:18

Just checked on company website and can find no info regarding the sale of First Remit. Have sent email asking for the latest update.

Merc

[papalpower] 16/8/2005 10:28

The thing that draws attention to me is the "undisclosed sum", there are 2 reason for this, either the price was terrible, or bigger things are going on that mean the price cannot be disclosed !

DYOR with results and full statement coming on the 9th Sept.

[papalpower] 16/8/2005 10:05

verynervy it could be the start of a very large rise.

Spread is actually 22 - 24 now, they are paying 22 on the bid, I topped up last week at 18.5 and I am not selling now, I want to see if someone is going to buy UNG and we will know at results what is going on. Bigger things could be happening in the background.

Selling off First Remit will boost EPS yes, but could also be getting things in position per the buyers requirement.

Hold on tight.

[verynervy] 16/8/2005 09:56

What I dont understand and never have is how people see a price rise and must sell - like today sofar!

hopefully its the start of an uprating not the end!

[papalpower] 16/8/2005 09:54

In fact I got things the wrong way around yesterday :) Mastercharge is making profits now and First Remit was still losing money in operating costs.

They have kept HTEC making big profits and growing, Mastercharge which is now making profits, and got rid of First Remit which was costing money.

Thats why the EPS forecast for year end and 2006 will soon be raised up a lot higher in my opinion, as they have sold the loss making First Remit for cash and now have 2 profit making business, so earnings per share will be flying up, if of course something bigger does not happen after the results ?

Merc, I hate to rumour but if you take a new revised year end EPS of 3p and forecast 2006 of lets say 3.5p, you really could sell this company for loads of money on forward earnings ! It is well known and stated that HTEC by 2007/8 could be worth 20 million on its if sold on future profits. Maybe someone is now wanting to get it before the price goes crazy ?


30th June 2005 Trading statement
Universe Group, the retail and information systems company, announces that its results for the six months to 30 June 2005 are expected to be in line with management forecast. The board anticipates that results for the full year will be in line with market expectations.
The key features of trading in the first half are • Turnover at HTEC has increased significantly over the same period last year, primarily as a result of Chip & PIN. • Currency Division (Mastercharge) has been reduced to a core of ten bureaux de change all operating in the centre of Paris. The bureaux have historically reported an operating loss in the first half but following the restructuring of the division it will report a profit in the six months to 30 June this year.
• The cost to the group of operating First Remit international cash transfer is continuing to reduce. In the period we have expanded our 'send' business from Austria.

The interim results are expected to be announced on 9 September 2005.

[papalpower] 16/8/2005 09:45

mercedes there is more going on than we know, I know, I think.

It will become clear at the interims on the 9th Sept. Hold on tight, it could explode afterwards.

[mercedes] 16/8/2005 09:26

Morning all,

Moved up but spread stays at a crazy 4p. maybe there is more going on here than we know?

Merc

[papalpower] 16/8/2005 09:26

Some steady buying coming in now, offer up to 25 but I think you should be able to buy at 24p. Should be the bid up to 22p next.

[papalpower] 16/8/2005 09:11

Interesting trades to start the day with initial buy under 23 but recent reported (under NMS) of 23.5p buys. Could be looking at some strong moves up here.

[papalpower] 16/8/2005 08:11

Bid has just gone up, will be watching for broker forecast upgrade today or tomorrow.

[papalpower] 16/8/2005 00:25

Rabbrooks with the sale of First Remit for a nice sum and with the cost of running First Remit removed from some of the second half I am sure that full year EPS will be 3 or above, which makes UNG very undervalued at present.

Watch for any broker updates to forecast Tue/Wed and read those interims, as I feel they will contain good news with this latest action.