Volex Share Discussion Threads

[disc0dave46] 21/2/2024 15:39

GHH today, from memory SDI. Can't remember every single one but does seem to be a theme of late. Just flagging it.

[dr biotech] 21/2/2024 15:34

I doubt its anything. Problem here is that are in the middle of a quiet news period - last set of results were in Nov and there is no news until April. I seem to recall this was the same last year when people just speculate on what could potentially go wrong.

Remember EVs only make 20% or so of revenues, and last year they were down a little on the previous year. VLX tend to update the market in April/June/July(AGM)/Oct/Nov so unless there is an unscheduled update this is the longest quiet period.

[johndoe23] 21/2/2024 15:22

Don't think so, Tesla up today

[bulltradept] 21/2/2024 15:20

TSLA having issues?

[igoe104] 21/2/2024 15:16

Which few customers are saying this then ?

[disc0dave46] 21/2/2024 15:10

Why the drop?, could it be the risk of some customer de-stocking is a concern. A few companies are still saying this is an issue.

[johndoe23] 21/2/2024 13:46

What's going on here?

[owenski] 15/2/2024 09:32

Interesting quote from a CTO at Digital Reality (builder of data centres) -

"Mr Sharp also points out that the entire web of technical support demanded by AI is greater. "You have five times more cabling, for instance."

Source, BBC

[foreverbull] 11/2/2024 23:24

Motley Fool are buying Https://www.fool.co.uk/2024/02/11/3-top-uk-ai-stocks-to-buy-for-the-artificial-intelligence-boom/A data centre playFinally, for a 'picks-and-shovels' play on AI, I've invested in Volex (LSE: VLX). This is a small UK manufacturing company that generates a decent chunk of its revenues from the production of high-quality data centre cables.Data centres play a major role in the AI ecosystem as they house the massive amount of data that is needed to train AI models. So, I expect this area of technology to grow rapidly in the years ahead.Volex is well placed to benefit. Its most recent results, for the six months to 31 October, showed that the data centre side of the business now makes up around a quarter of total revenues. And revenues from this segment were up a whopping 30% year on year to $101m for the period.Increasing investment in artificial intelligence technology requires intensive data processing, an application that is ideally suited to the cutting-edge products that Volex has developed.Volex H1 resultsVolex shares currently trade on a P/E ratio of just 12.6. I think that's a steal.This is a smaller company, however. So, the stock could be volatile.

[eagle eye] 07/2/2024 10:05

Interesting news posted yesterday:

06/02/2024 2:00pm
PR Newswire (US)

Spectra7 and Volex Announce Successful Demonstration of Industry Leading Performance for 800G Active Copper Interconnects

[pcok] 01/2/2024 18:15

SP hovering around the 2 year high. Feels like a bit of good news would kick it higher. Come on Nat...

[johndoe23] 31/1/2024 11:43

Wants to go higher

[disc0dave46] 23/1/2024 13:20

Well I read what you posted. Not very nice, another brave keyboard warrior.I will return the compliment and throw you in with all the other scum that float around this site.

[johndoe23] 23/1/2024 12:59

Can't read what you post I blocked you ages ago

[dr biotech] 22/1/2024 19:48

Unfortuantely MF articles are pointless. I think most are AI - this particular author has written 33 this year. Just click bait. The do about 15 articles on AV every month, and none are worth reading

[igoe104] 22/1/2024 19:13

VLX tipped here.

[igoe104] 20/1/2024 08:58

VLX should massively benefit from the growth of AI and Data centres popping up globally. Alot of cables are going to be needed....

[disc0dave46] 19/1/2024 22:10

Thanks hadn't clocked that.

[donald pond] 17/1/2024 10:29

started buying back here, the fact the Chairman is still adding (via scrip) tells me all I need to know. The tailwinds are not going to abate, it is one of a handful of high quality niche manufacturing firms on the LSE, and as soon as the market conditions start to improve will be in demand imo

[robow] 08/1/2024 10:03

from Citywire

Value at Volex after transition, says Berenberg
Volex (VLX), the manufacturer of electronic connectors, is ‘extruding value’ following a ‘remarkable transition’, says Bernenberg.

Analyst Eleanor Spencer initiated coverage with a ‘buy’ recommendation and target price of 400p on the AIM stock, which fell 8.1% to 299.5p last week. The shares are down from 313p in November when the company reported 16% growth in profits but a fall in electric car component sales.

‘Volex has undergone a remarkable transition over the past seven years from a business with high customer concentration, low margins and limited structural growth,’ she said.

‘Today, we think it has transformed into a diversified, higher-margin, structurally growing business with attractive prospects.’

Despite the opportunities at the group, it still trades at a double-digit discount to peers.

‘We think this looks unjustified and initiate coverage with a ‘buy’ rating and 400p price target. This offers 30% upside in the shares – a gap we expect will close as Volex proves its newfound strength to investors,’ said Spencer.

[ijamlon] 04/1/2024 13:29

(Alliance News) - Berenberg kicked off coverage of Volex at 'buy', hailing its "remarkable transition" in recent years.The German bank has a 400 pence price target for the Basingstoke, England-based specialist integrated manufacturer of critical power and data transmission products.Volex shares traded 0.6% higher at 308.70p each in London on Thursday morning."Volex is a leading global manufacturer of critical power solutions. In our opinion, Volex has undergone a remarkable transition over the past seven years from a business with high customer concentration, low margins and limited structural growth. Today, we think it has transformed into a diversified, higher-margin, structurally growing business with attractive prospects," Berenberg said.However, Volex still trades at a "double-digit discount to peers" something that Berenberg believes is "unjustified".Volex customers include firms in the electric vehicle end market, one that is being boosted by "strong structural drivers". Electric vehicle adoption is picking up speed."We estimate Volex's key end-markets are growing at 5-9% per annum, underpinning our forecasts for 5% per annum organic revenue growth to FY26. Further, Volex's efforts to diversify its end-markets and customer base should also yield better revenue resilience versus its history, in our view," Berenberg added.The company also has an "improved sustainable margin profile". Berenberg noted its adjusted earnings before interest and tax margin has picked up around 820 basis points since the year ended March 2014 to 9.3% at the end of financial 2023.Berenberg added: "We estimate 50% of this expansion has come from organic initiatives, such as exiting unprofitable contracts and developing new products in-house, which suggests the gains are structurally sustainable. The remainder has come from acquisitions of higher-margin companies. At 9.3%, Volex's margins are now 20bp higher than the average of our global cable manufacturing peers and have substantially closed the gap to our UK electro-components peers."Volex could also enjoy a double-digit earnings per share improvement through M&A moves, Berenberg predicted, nothing the "acquisitive" firm has already forked out GBP385 million on deals since financial 2019."We think Volex looks well positioned to complete future accretive M&A," Berenberg added.

[zho] 04/1/2024 10:41

Berenberg starts Volex with 'buy' - price target 400 pence

[johndoe23] 03/1/2024 14:15

Filling the gap back down to 300p

[johndoe23] 14/12/2023 19:55

First time in a while no icebergs on the order book