Valirx Share Discussion Threads

[uknighted] 08/9/2021 07:49

Holdings in Company RNS

[djj2014] 07/9/2021 17:19

I like the but in Suzie's statement about having discussions with potential partners where she is confident there will be a beneficial outcome.

[bloomberg2] 07/9/2021 16:24

https://youtu.be/vfTHe64HQB0

[glasswala] 07/9/2021 15:12

Sunshine wrong board so sling your hook

[sunshine today] 07/9/2021 15:07

HDT.

MARKET CAP £3.5M

Cash by the end of this month £2.6M

No debt.

In profit.

The start of what could be a fantastic growth strategy going forward.

[wapper] 07/9/2021 15:04

22.5p bid. All looking good.Strong day today

[412069] 07/9/2021 15:04

Deal coming over imho any day now.

[glasswala] 07/9/2021 15:01

Whats happening today??

[412069] 07/9/2021 11:47

Most thinking news before the 28th why else all the buying.
Someone may know something it happens.

[luckyabbeygale] 07/9/2021 11:45

We should be over 25p with that half yearly report now out. Although pitty that it now looks like the broker is going to get all that money for free from the warrants.

[wapper] 07/9/2021 11:42

Looking better. A few solid buys.Lets hope we stay above 20p and push on towards 30p soon

[rainmaker] 07/9/2021 11:03

Thanks OnJohn-I'm greatly humbled and sincere thanks also Simmsc-you're decently diversified which is always good to see-imho that's far and away the number 1 mistake Private Investors make-diversification has to be the first rule of stockmarket investment, period.

I think Volex's most telling financial, poignant ratio is the price/sales ratio and as I commented some posts ago, IMHO there is a huge discrepancy in that rating which even after large rises in the share price recently is only 2.21 times yet the sector is on something like a 6.41 average rating which equates to some a £13.50 Volex share price IF you believe it deserves an average multiple of sales??!!. As I said, something has to give with the p/s ratio and I believed then as I believe now that it will resolved by a sharply higher share price.


Overwhelmingly you only get out of something what you put in so IMHO its incredibly important to research prospective purchases, their markets, their products, their competitors thoroughly before you start keep pressing that confirm button.As Warren Buffett says"If you bring nothing to the Party, how can you expect to take anything home?"


I want to tag a couple more Companies as opportunities-

Cenkos Securities(CNKS),currently 78p bid, 81p offered, market cap £45.1mln, net cash of £32.7mln(up from £18.3mln in previous year) 3.5p/4.4% Historic Dividend yield. P/E 21.5 times

One of the leading AIM stockbrokers. IMHO considerable uncertainty created by shock EU referendum leave result in June 2016 and Covid-19 pandemic have conspired to create a terrific buying opportunity. Company made first ever loss in 2019 a paltry £200k since its inception in 2004 but under normal trading conditions the Company is a very profitable business, making £30mln and £23mln annual pre tax profits in 2015 and 2016 before Brexit induced paralysis set in and floatations, its main profits driver, reduced to a trickle.

However trade deal with EU struck at the end of last year and IPOs for the first quarter this year were back with a bang and the best since 2007. Current trading believed to be ahead of last year. IMHO you have to put your faith and trust in this Company’s excellent long term track as they have raised some £21bln for Clients and returned 178p+ to shareholders over the years. Looking for its share price to move to 250p/300p in the next year to 18 months as its trading returns to more typical levels.Strip out the Company's net cash and you're paying just £12mln for a company capable of making £30mln, that's some deal!

Orchard Funding(ORCH), currently 57p bid 61p offered. Will update later when I have time.


AIMHO, DYOR as I have done mine

regards

[tburns] 07/9/2021 08:16

Not much meat on the bones there and hopefully we will have a clearer steer on the 28th.

[amaretto1] 07/9/2021 08:06

Not to me it don't !!

[412069] 07/9/2021 07:42

And sounds like news before the 28th to me.

[amaretto1] 07/9/2021 07:30

Your not kidding !

[wapper] 07/9/2021 07:24

Potential is there for all to see. Patience required.

[wapper] 06/9/2021 08:56

Buys showing as sells. Can still buy just under 20p

[nico115] 04/9/2021 13:51

Im at 10 quid for volexThe market will never put a pe of 100 on this

[rainmaker] 04/9/2021 12:06

I have to ask where are the Thematic Institutional Investors? I wouldn't name them but they are paid solely to seek and find such opportunities-its their job-to capitalise and exploit industry megatrends such as the emergence then domination of EV. With annual global automobile sales expected to reach 70mln this year, this is a multi billion dollar industry and Electric Vehicles is by far the biggest technological revolution to ever impact on this Industry.

AIMHO, DYOR as I have done mine

regards

[rainmaker] 04/9/2021 11:34

"Buy Sheep, Sell Deer"

regards

[rainmaker] 04/9/2021 10:46

From many years experience as a Stockmarket Value Investor you learn that "The Market" has definite "blind spots" where it doesn't process information either effectively or efficiently.The accurate valuation of brands is one case in point as Investors overwhelmingly don't understand the competitive advantages they bring to a business and the enhanced value they create so they can't value them properly. Another is so called "earnings myopia" Investors all consuming fixation with very short term earnings outlook at the expense of all else rather than the longer term earnings and I believe this applies to Volex. Everyone knows, or should know, that Electric Vehicles are quite simply a better technology and there is huge growth to come and its happening right now.

AIMHO,DYOR as I have done mine

regards

[rainmaker] 04/9/2021 02:04

Certainly for a Volex's incredible predicted growth rates to come-according to a UBS report, EV are expected to reach 25% and 50% market share in 2025 and 2030 respectively from just 3% in 2020(note there was a report released at the beginning of August stating that EV market share of new vehicle sales are now 8.7%) and margins that are an excellent at 9.7% and growing consistently,there is a major anomaly that Volex is trading at just 2.27 times annual sales v a sector at 6.41 times sales. IMHO this huge discrepancy can only be resolved by a sharply higher Volex share price.

AIMHO, DYOR as I have done mine

regards

[rainmaker] 04/9/2021 00:56

Ben Graham's allegory "Mr Market"

hxxps://fs.blog/2013/11/mr-market/

Remember

The Market is there for your convenience to serve you and not you serve the Market.

Never take investment advice from Mr Market by buying when prices have risen steeply or selling when prices have declined considerably

Only deal with and take advantage of Mr Market when it suits your book and he is offering to buy your holding at an unrealistically high price that bears no relationship to the company's operating performance and prospects or he is irrationally offering you his holding at a substantial discount to its intrinsic value.

Always think about price and value

regards

[rainmaker] 04/9/2021 00:34

Hi Steve, sorry missed your post. I'm really not worried because I'm not too interested in the share price but far more interested in the underlying company,its developments and progress.As Ben Graham famously remarked "In the short run, the market is a voting machine but in the long run, it is a weighing machine." Personally I would be surprised to see further weakness in the share price.

AIMHO,DYOR

regards