Vmoto Share Discussion Threads

[rp19] 30/7/2014 09:38

Muted response by the market but I'm happy with the update.

[saucepan] 30/7/2014 07:28

Another strong quarterly update. Perhaps that will get the share price moving again.

[sandoval] 15/7/2014 23:36

You wouldn't think it was a signal to sell. I think there was a 1 mill buy couple days ago but all sells otherwise ?

[saucepan] 15/7/2014 19:13

Latest ShareScope metrics, in case of interest:



Rolling P/E 2 = 10.11
Slater PEG = 0.07

[saucepan] 15/7/2014 11:35

I have decided to return to VMT today. Paid 2.3p and 2.32p.

I did sell out on the resignation of the Chairman, to play safe, but the dust seems to have settled and I cannot get away from the belief that the underlying story remains an exciting one.

This is what the house broker FinnCap had to say on 23 May (the full note is available for download on the VMT website):

Following the over reaction . . .  the valuation looks ever better value, trading on a P/E for 2014 of 15.3x dropping to 8.8x for 2015. This looks very good value in our opinion and offers an excellent buying opportunity. Our PT remains 3.5p, based on a target of 12.6x 2015 earnings which continues to offer strong upside to a rapid growth company.

There has since been the further reassurance of the 2 July trading update.

I prefer to buy on technical strength, but on this occasion I feel it could be argued that the stock has found support, which appears to coincide with the bottom of a rising trend channel. I am anticipating another upleg to commence soon. Could be wrong of course!

[sandoval] 15/7/2014 08:48

Simon Farrell's replacement can't be far away. Can't see any other reason for share price retracement, growth ytd in line with forecast p/t profit £2.62 mill.

[pj 1] 14/7/2014 21:57

Stop getting closer everyday

It will not be moved..!! :-((

[huttgl] 14/7/2014 19:36

Looks like VMT has moved 'out of channel' chart-wise.
Should have another update in a couple of weeks. Summer doldrums I know, but this needs some good news other than the expected monthly increments. It was around this time or earlier last year that they came out with their 2013 profit target (and subsequently hit it, which was pretty impressive). It would be good if they came out now and said that they expect a profit of $4m for 2014 .... a 1000% increase on 2013 . . . .

[sandoval] 02/7/2014 09:54

Although no new stores it mentions "increasing the number of distributors and dealers to ensure the sales momentum continues" sounds like franchising/network marketing but can't be or would be stated surely.

[huttgl] 02/7/2014 09:38

Looking again I think the international sales, especially Vietnam, are really encouraging and I reckon this will become a revenue stream to rival their domestic market in the future.

Closed on days high (2.65p equiv) in Oz with almost 19 million traded.

[huttgl] 02/7/2014 09:24

sandoval - the water's never wrong . . . . unless it turns out to be wind :)

Good update - the rollout of direct retail outlets in China has gone ahead at an incredible pace over the last 12 months. Expansion like that for a small company like Vmoto often results in 'stretch marks', so I'm pleased that they are slowing this down to provide a better service. This is after all the public face of Vmoto on its home turf. The better the experience the better the feedback and more sales. What they don't want is to get a reputation for slipshod sales and support. Happy with that.
I'm also pleased to see the increase in other international sales and the DHL HK trial is good news as well. They have a fair number of 'trials' out there. If they can hook a big one then these will really rocket.
Remember they have massive headroom capacity at their plant - increasing production volumes can be done at little cost.

[sandoval] 02/7/2014 08:47

PJ1 - has everyone sold out ? probably . My take on the training is more sales per employee/sq ft/ better roce.
" At the same time Vmoto will be providing more support to existing dealerships to increase sales while also increasing the number of distributors and dealers to ensure the sales momentum continues. "

[pimsim] 02/7/2014 08:14

Sales of 8000 bikes in May, ytd 30414 bikes. Full year target of 70-80K units starting to look comfortable.

[pj 1] 02/7/2014 08:11

Has everyone sold out?

Positive monthly update.

Perhaps the slowing of new stores for 'Training' may warrant some discussion?

[sandoval] 02/7/2014 07:14

How did you do that huttgl ? anyway, adding one of the largest courier co's in the world to your customer base seems a good move for vmt

[sandoval] 01/7/2014 14:55

Hopefully share price is more SF related than fundamental.

[huttgl] 01/7/2014 12:12

Update tomorrow - I can feel it in my water - at least I think that's what it is.

[sandoval] 24/6/2014 22:20

Don't put the house on it for sure but some amazing growth numbers came out of China in 2007 for Renesola and more recently for WCC.
Maybe they get dispensation for rent/rates as the Chinese government are pushing alternative energy ?

[pj 1] 24/6/2014 21:28

Im ignoring it. $10k to set up a store, showroom, staff, stock, rent, rates seems very low to me. Surely Rent alone (in high visibilty, high foot traffic areas are almost that?
Staff costs usually the highest overhead

HMMMMM

[sandoval] 24/6/2014 21:15

PJ - "Opening company owned stores costing around $10000 to set up. Up and running they are selling around 100 scooters per month per store. @ 100 profit per scooter this story has a long way to run. Vmt has been a dog in the past , now it's a rabbit."
Taken from post 1123217 on topstocks.com.au under "will vmt double in the nest 3 months"

Only news I can find is from Australia so not sure how many Fosters are responsible for projections but in my experience they say what they see so I'm holding for a couple of years.... then again wasn't Poiseden Australian ?

[pj 1] 24/6/2014 18:42

sandoval 24 Jun'14 - 13:32 - 282 of 282 0 0

I read recently that each shop in China has a start up cost of $10,000 and profit per bike was $100 and some shops were selling 100 bikes per month so payback was 1 month ! Needs better PR - and a nice update.
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Can you please elaborate or post the link where you got that information from?

That is serious numbers!

[sandoval] 24/6/2014 13:32

I read recently that each shop in China has a start up cost of $10,000 and profit per bike was $100 and some shops were selling 100 bikes per month so payback was 1 month ! Needs better PR - and a nice update.

[saucepan] 24/6/2014 12:46

Watching, huttgl, but no current position; good luck.

[huttgl] 24/6/2014 12:01

Update should be/could be any day now - odd timing for folk to be selling. Any TA folks here ? (any folk here at all?). I'm not fully convinced about many charting techniques but many folk are and if this chart steps out of its channel, which it will if it closes here or lower, then I assume that will be a technical sell signal and some will sell and the price will come off further.
With an update close that would be an excellent time to buy . . . . if it's a good update of course.

[huttgl] 13/6/2014 11:13

Hi PJ - yes monthly updates do cut both ways sometimes. Last year I thought it was great to be able to see their sales increasing month on month as the retail outlets continued to roll out. Of course that really only started from June so we can't compare like for like with last year for the first 6 months of this. The first few months at the start of the year are generally acknowledged to be quieter and as a result the updates for these months have not quite continued the same pace of growth. That said they were better for jan and Feb than I had really anticipated. It would be heartening to see that growth rate pick up again as we get towards comparable months, but, as you say, if it doesn't then it can cause unbalance.