Volex Share Discussion Threads

[bbluesky] 17/4/2021 19:25

Been a big seller all year Ruffer/Downing, hence the 355 cap, eased off ahead of results and then have come back offloading. Great that there were very big volumes. Opportunity knocks, once they have finished for their own internal reasons, imv then to the races. Giddy up!

[mfhmfh] 17/4/2021 09:56

medical and industrial markets will recover as Covid-19 subsides which should result in margins improving.

IMHO.

[abarclay] 17/4/2021 07:35

Not really it’s just a change in mix as there was more cables and less of the medical stuff
Margin was 1pc when nat ro joined
H1 21 will include deka sales which is 14 per cent margin now !!

[inever] 15/4/2021 21:13

Part of the purchase price of acquisitions is paid for with new shares. My guess is that these new "shareholders" are converting their compensation into cash at the earliest opportunity. They are selling at a much higher price than when the shares were added as part of the acquisition consideration.They are probably only able to sell during specific periods - which suggests each results announcement will see a stock dump.I'm long in Volex and happy to be so. DYOR.

[davr0s] 15/4/2021 19:08

Lot of unnecessary panic and gloom today by a lot of people. News day = noise day - it always tends to be that way. VLX beat expectations and price held up from yesterday - very happy with that. In fact when you consider that yesterday's UT was above the closing bid offer which was in the high 350s it's actually up on anything you could have traded

[rachael777] 15/4/2021 18:59

Just a nice oppertunity to be able to add - value will out in due course (fingers crossed!)

[lsoc85] 15/4/2021 18:57

What downside issues? 🤷‍a94;️

While I expected sellers (buy on the rumour, sell on announcement 🥱😴), this is definitely the most dreadful reaction to an incredible TU I've ever seen.

To actually finish down by >1%. The mind boggles. Some people call it smart profit taking as well. Really?

On a very basic level, the EPS is going to c.double. Which means the p/e ratio will halve from its current c.28/29 to c.14/15.

Can we see it getting back to 28/29 in the next year? I can - look at the 187% growth in EV sales (admittedly not the largest iron in the fire presently, but still). Which means the price will be c.700 in 12 months.

Smart profit taking at 362 though 👌😂

[grabster] 15/4/2021 17:59

I am perfectly happy that the upside prospects will heavily outweigh any downside issues. Not bothered by today's reaction. ;-)

[igoe104] 15/4/2021 15:36

Bloody traders, they are been waiting for this update too offload. I'm going to have the last laugh, with a average buying price 2 years ago @ 92p.

[eagle eye] 15/4/2021 15:01

On L2 at 8am a block of 150K shares were unloaded at 380p.
Buyers were in abundance and the entire line was cleared in a few minutes.
Some very sharp selling by someone who knows what they're doing!

[ijamlon] 15/4/2021 13:33

What do you make of the margin defence comment?

[wanttowin] 15/4/2021 12:10

Texas..Shares have risen over 850% in the past 5 years, so let us hope for a repeat !

[whittler100] 15/4/2021 12:00

On the "Free view" part of Research Tree there is a very good note from N+1 Singer on today's TU. Worth a read:


I think that once this little episode of selling has abated we may see the share price appreciate once again.

[texas_caddy] 15/4/2021 11:54

Strange reaction but also topped up here this morning. Nice growth in a structurally growing market, possibly with some acquisitions to boot. Not cheap, but not ridiculously expensive either and think this will turn out to be a good long term buy in say 5+ years.

[daveme] 15/4/2021 11:52

If today's market reaction to a fantastic trading announcement is anything to go by then I'm just glad it wasn't a "trading inline" statement! I can only assume there is a big seller in the market that is using today's statement as an opportunity to offload a lump of shares. Until the seller is out, not a lot is going to happen.

[whittler100] 15/4/2021 10:58

Nice to see I am not alone in my optimism Re: VLX, Tweet from Small Co Sharewaych this morning:
#VLX Stifel note out and say "FY21 revenue expectation includes $52m from EV customers. This is an 187% increase year-on-year....demand from data centre customers continues to be supported by the home-working trend. Expect to see acquisitions in due course...." 410p target

[whittler100] 15/4/2021 10:52

I added further this morning: that was an excellent trading update and certainly a company doing well in the right place at the right time. I suspect with VLX it’s some of the hair-trigger happy RNS types shooting at the sell button & quite possibly hitting their foot. VLX has increased fourfold since I purchased and as ever, I am never afraid of adding to quality as the growth of the company and share price appreciates.
On the other hand, after such a good price appreciation these past 12 months I can understand some investors taking a profit.

[its the oxman] 15/4/2021 08:57

Not sure, talk of defending margin gain but rising copper price has to feed through. That said volume growth and market opportunity should still be far greater. Obviously confident re talk of further profit progression.

[jamessmith23] 15/4/2021 08:53

Also do we know if VLX have any hedges in place for copper pricing? I'm looking at adding Caml, partly because it looks like a good company but also as a hedge for potential rising copper prices effecting the margins in my other holdings.

[jamessmith23] 15/4/2021 08:51

Also need to remember that some people will have been in this since the low 100s, nothing wrong with taking some risk off the table when it has 3 bagged for you. FYI I'm not one of those people unfortunately as bought it significantly higher, but appreciate the position they're in, if a share gets to be 20-30% of your portfolio I agree it makes sense to trim it

[northwards] 15/4/2021 08:47

Stifel with a 410p target and anticipates upgrades from acquisitions.