Veltyco Share Discussion Threads

[basem1] 19/12/2017 07:58

I hope the management are putting together an RNS for this morning.

[basem1] 19/12/2017 07:57

I hope the management are putting together an RNS for this morning.

[basem1] 18/12/2017 18:28

I don't, tbh. But Gaming, sports, casinos and lottery say they are well spread and these sectors won't be affected. The bookmaking sector was clean today. William Hills were up.

[shanklin] 18/12/2017 18:18

basem1

How do you know the revenue break down? Is this provided in any document PIs can access please?

[basem1] 18/12/2017 17:38

Well it won't affect the majority of VLTY's business as sports betting and the new e-sports arena aren't affected. Would like some clarification from the company ASAP before adding further at this cheap level. Binary options are the 2 key words here.

[nurdin] 18/12/2017 16:04

I have sold too pending some clarification from the company regarding the likely impact of ESMA report on their business.

[mad foetus] 18/12/2017 16:00

Well, all ESMA are saying is that they will consult in January. It looks like they will ban it, though on what terms is another thing.

[twistednik] 18/12/2017 15:10

That's the odd bit. They could have been caught a bit with the timing of the announcement?

Surely an RNS is required to clarify either 'no impact' or 'no material impact' or 'some impact expected of x'.

Happy to buy back in once they confirm!

[rcturner2] 18/12/2017 14:57

I must admit that I don't know much about it tbh.

[pre] 18/12/2017 14:55

Thanks for posting this cottoner...patience needed here...they expect revenue and EBITDA to be significantly ahead of market expectations for the year ended 31 December 2017, based on recent update.

cottoner7 Dec '17 - 09:25 - 256 of 265
0 1 0
An opinion.


December Top Cheap Stock To Invest In
Arjun Bhatia December 7, 2017

Veltyco Group and Character Group are companies that are currently trading below what they’re actually worth. There’s a few ways you can determine how much a company is actually worth. The most popular methods include discounting the company’s cash flows it is expected to create in the future, or comparing its price to its peers or the value of its assets. The discrepancy between the price and value means investors have an opportunity to buy shares at a discount. Below are the stocks I believe are undervalued on all criteria, based on their latest financial data.

Veltyco Group Plc engages in the marketing and promotion of gaming Websites, lottery, and options trading operations in British Virgin Islands and the Isle of Man. Veltyco Group is currently led by CEO . With a current market cap of GBP £58.36M, we can put VLTY in the small-cap group

VLTY’s stock is currently trading at -56% under its value of €1.77, at a price tag of €0.79, based on my discounted cash flow model. signalling an opportunity to buy the stock at a low price. What’s even more appeal is that VLTY’s PE ratio is around 12.4x relative to its hospitality peer level of 21.3x, suggesting that relative to its comparable company group, we can buy VLTY’s stock at a cheaper price today. VLTY is also strong financially, with current assets covering liabilities in the near term and over the long run. VLTY also has a miniscule amount of debt on its balance sheet, which gives it headroom to grow and financial flexibility.

[shanklin] 18/12/2017 14:51

VLTY's RNS seem incredibly vague in terms of how much revenue and profit they generate from various parts of the business. On the basis of my uncertainty as to what I was invested in following the ESMA announcement, I decided to exit for the moment. May consider re-entering once I know WTF is going on.

On a separate tack it would be interesting to know what has driven the selling of the last few months. The company is increasingly positive about its prospects but the ongoing sellers seem to disagree,

[twistednik] 18/12/2017 14:36

Not sure MF. There's obviously been a few scandals around binary options being targeted at retail clients but I suppose professionals must use for the business model to be sustainable (i.e. assume most retail punters lose and then give up soon afterwards). Don't most professional investors just use CFDs / Spreadbets or buy the underlying asset?

Views welcome if anyone is able to quantify the impact (if any) on VLTY.

[mad foetus] 18/12/2017 14:12

Won't you just have a self-certification that you are not a retail client (I.e, that you either trade full time or have a minimum of £250,000 to invest, something like that). I can't think binary options are much used by genuine retail punters, more by professional investors.

[twistednik] 18/12/2017 14:06

RCT - this is the bit that really concerns me...

"1. prohibit the marketing, distribution or sale to retail clients of binary options"

Ok, there may be appeals etc and could take a while to come into force but longer term it's difficult to see this not having an impact.

The interesting bit is that IG, CMC, Plus500 etc don't seem too concerned about the binary options piece as they've been moving to other products.

Share price holding up well relative to the others which is a little odd !?

[rcturner2] 18/12/2017 13:44

Statement here:

[twistednik] 18/12/2017 13:40

Sold my holdings :( Seems too risky now following the ESMA announcement.

Trying to work out what their exposure is to binary options in Europe (ideally as a % of revenue or profit!). Very difficult as they don't really split out in the admission document. The bits I have found are below:

"Option888 is an online binary option platform. Binary option traders speculate on short term movements in volatile underlying assets or indices...The Option888 brand was launched in early 2015, focussing initially on the Swedish and German markets. Through Novox Capital Ltd, the Option888 platform is offered in three different languages (English, German and Swedish)"

"Binary options has seen strong growth in popularity in two of Sheltyco’s main markets; Italy and Germany. The Sheltyco Group intends to become a leading provider of marketing and promotion services in the binary option market and will seek to launch into other markets in Scandinavia such as Norway, Denmark and
Finland."

"As a CySEC regulated business Novox can only carry out marketing activities and provide binary options services in certain jurisdictions. If Novox could no longer operate in a jurisdiction in which it currently operates, or in which it plans to operate, this will have a detrimental effect on its revenue and, consequently,
on the Group’s business, financial condition, results or future operations."

In summary, I can't work out their exposure to Binary Options vs other products but it feels too risky for me at the moment.

If the next set of results come with a positive forward looking statement then I may consider re-entry! Best of luck all.

[samsj] 18/12/2017 08:47

What effect this ESMA announcement on VLTY? My understanding was binary options related stuff was boosting profits here?

[basem1] 17/12/2017 09:58

Quiet board given the prospects here. I still see 50% upside by the end of January. Conservative eps of 10p this year, fantastic growth, no debt, and a potential dividend to boot. Back the van up I say !!!! Current price is madness.

[basem1] 07/12/2017 09:36

Could do with that getting circulated further afield.

[cottoner] 07/12/2017 09:25

An opinion.


December Top Cheap Stock To Invest In
Arjun Bhatia December 7, 2017

Veltyco Group and Character Group are companies that are currently trading below what they’re actually worth. There’s a few ways you can determine how much a company is actually worth. The most popular methods include discounting the company’s cash flows it is expected to create in the future, or comparing its price to its peers or the value of its assets. The discrepancy between the price and value means investors have an opportunity to buy shares at a discount. Below are the stocks I believe are undervalued on all criteria, based on their latest financial data.

Veltyco Group Plc engages in the marketing and promotion of gaming Websites, lottery, and options trading operations in British Virgin Islands and the Isle of Man. Veltyco Group is currently led by CEO . With a current market cap of GBP £58.36M, we can put VLTY in the small-cap group

VLTY’s stock is currently trading at -56% under its value of €1.77, at a price tag of €0.79, based on my discounted cash flow model. signalling an opportunity to buy the stock at a low price. What’s even more appeal is that VLTY’s PE ratio is around 12.4x relative to its hospitality peer level of 21.3x, suggesting that relative to its comparable company group, we can buy VLTY’s stock at a cheaper price today. VLTY is also strong financially, with current assets covering liabilities in the near term and over the long run. VLTY also has a miniscule amount of debt on its balance sheet, which gives it headroom to grow and financial flexibility.

[mad foetus] 07/12/2017 08:29

I think the spread and lack of liquidity are holding this back significantly. TAP is in the same boat. They need more corporate coverage and a more proactive nomad willing to make a proper market IMO. But the fundamentals look fantastic.

[basem1] 07/12/2017 08:25

Yesterday will be just be a minor blip in 3 months time, nice support on the 1 year chart and I'm being qouted as much as 94p online this morning for 2500/5000 shares. (84p for 10000) Yesterday's idiot panic sellers will be scrambling to buy there stock back at 10p higher soon.

[rcturner2] 07/12/2017 08:16

In short term the stock market is a voting machine, in the long term it is a weighting machine.

(Warren Buffet, I think)

[basem1] 07/12/2017 07:12

I think potentially we are on a PE of 8 at present. 5c in first half, must be close to 6c or above in second half divided by €1.10 = approx 10p eps. Way too cheap. £1.30 short term target IMO.