Videndum Share Discussion Threads

[essentialinvestor] 27/2/2017 14:27

Added a small amount this AM.

Thought there may be small retrace following a strong run,
not happening as of yet, would like to add a few lower down.

[essentialinvestor] 24/2/2017 16:05

If the next update confirms recent positive momentum,
that opens up potential for a large multiple re-rating IMV.

The current rating is not a growth company rating, or anywhere near.

A dividend increase of 11% may underline the CEO's confidence, all just IMV only,
please DYOR as always.

[essentialinvestor] 24/2/2017 08:53

spooky, if it helps on the recent results presentation VTC mention a
return metric on all acquisitions made since 2011, lots of detail on the
investors site, as you may already be aware.

[wjccghcc] 24/2/2017 00:21

Spooky - not really, at least for the moment.

The restructuring costs were announced in 2015 and should reduce this year.

The acquisition charges are mainly amortisation of goodwill so non-cash charges.

Even including the cash outflow from the restructuring costs, their FCF (pre-tax/interest) is 45mm giving an EV/FCF of 8.7 which is pretty cheap. With 50% of their revenues from North America, that would make them a good target for a US acquirer.

[essentialinvestor] 23/2/2017 17:05

FX looks a main medium term headwind imv, GBP oversold v USD/EURO.

However even stripping away all currency considerations, there are some intersting
and very positive developments.

The company appeared to lose it's way a little for a while with the distraction of
MAG.

Now you have a double benefit of the refocus and multi year efficiency measures
increasingly kicking in, very welcome.

[spooky] 23/2/2017 15:41

WJ - Don't you have any concerns about their persistent use of restructuring costs and charges associated with acquisitions?

[essentialinvestor] 23/2/2017 12:24

Added a couple of lots having listened to the conference call


So at last a focus on core and previous restructuring efforts look to be creating an interesting growth play.

Buying distributers in some markets looks astute, hopefully more of this to come.

[essentialinvestor] 23/2/2017 11:58

Have held on an off down the years, remember VTC from the mid 90's when it
was a high growth business with a PER to match.

[wjccghcc] 23/2/2017 10:08

The FX benefit is likely to stay unless you think £ will recover strongly against the $.

I always strip out the working capital changes in valuing cashflow. I deduct the 2 year average capex from working capital adjusted cashflow to get free cashflow.

With VCT, that gives FCF of 42mm, and EV/FCF of 9.

[essentialinvestor] 23/2/2017 09:42

If you strip out the FX benefit and one off big inventory reduction,
is VTC still that cheap on cashflow?.

[wjccghcc] 23/2/2017 09:40

Also here. Bought back a while ago. Very cheap on a cashflow basis as well as PE. Given their international exposure, wouldn't surprise me if they were bought by a US company.

[bruceylegs] 23/2/2017 09:36

Just cropped up on my quality, value & momentum screen. Looks like a real hidden gem this one. Also reassuring that this board isn't full of idiots!

[the dark horse] 22/2/2017 08:14

Well cellars it only seems to be ye and me interested! This one probably won't be exciting but I reckon it'll top 800 by results next year. Well run, tightly held, $ earner, growth sector.....

[cellars] 21/2/2017 21:58

Forecast beating results duly delivered

[the dark horse] 19/2/2017 08:24

Results due Tues 21/2 and already flagged as better than market forecasts - with $ earnings from new acquisition they could be even better ....

[cellars] 20/9/2016 14:11

BB's do not come much quieter than this one!

Today, though, Vitec has made its biggest acquisition since 2011. It looks attractively priced and in a sector Vitec knows very well indeed.

[thomasthetank1] 18/5/2016 12:04

Read Arden Partners's note on VITEC GROUP PLC THE (VTC), out this morning, by visiting hxxps://www.research-tree.com/company/GB0009296665

"Standing on a PER under 10x and with a yield of 4.6% we think that Vitec is very attractively valued given its leading positions in growing markets. This valuation probably reflects the market’s concern over growth prospects given the headwinds seen in recent years, particularly from FX and the decline in Photographic markets, and also the “lumpy” nature of the contribution from its service activities, which are heavily influenced by major events such as this year’s Olympics in Rio. We believe that delivery of this year’s pr..."

[gswredland] 10/9/2013 12:33

Will it break through previous highs in March now?!

[gswredland] 20/8/2013 12:35

Good to see the strong recovery recently

[jakedog2] 28/2/2013 17:33

Sold out also.....revenue stagnant . To many questions going forward. Focusing on margins but no guidance on growth
Also £9m restructuring cost for transferring work to Costa Rico...

More opportunities elsewhere

[wjccghcc] 28/2/2013 13:01

I sold the few I had this am. Results were fine but they didn't give any outlook apart from the restructuring. I'd guess it's more of the same for this year. Just felt I had better things to do with the funds.

[8mp] 28/2/2013 13:00

Quiet thread indeed, but thought I'd ask if anyone had any thoughts on today's results? I'm not sure what to make of it. Revenue slightly down but profits and eps up on the face of it, although I think they are the adjusted figures. Otherwise both are down?! Dividend has been hiked up nicely though. share price doesn't seem to have reacted either way...

[wasteman2004] 18/1/2013 13:35

Jodi

I tend to see decent falls on no obvious catalyst as a good place to get involved. 591 felt about right. Like the market and the financials. DYOR

[jodi17qad] 11/1/2013 20:32

Why the fall today I wonder?

No obvious catalyst

[jodi17qad] 21/11/2012 14:07

Heavy buying today and no sales according to ADVFN.