Western & Oriental Share Discussion Threads

[welshgoat2] 07/9/2010 14:21

Little and large
Created:7 September 2010Written by:David Stevenson
Regular readers will know that I don't tend to buy many individual stocks, as I prefer vehicles, however esoteric, that give me exposure to my favourite themes. But this month I've made an exception.

The only new holding I've added is specialist upmarket travel operator Western and Oriental. I happen to write about the travel sector for another publication and I've been tracking this minnow for some months now. It is worth just under £4m yet has cash on the books of around £6m and is capable of turning over between £40 and £50m, even in a poor year.

There are numerous structural problems with the travel industry and I wouldn't want anyone to believe that this small investment isn't a big gamble, but I think the travel sector will eventually re-rate upwards as capacity is taken out and cash flows start to increase again. W&O was loss making in the last six months but there's every reason to expect the second half to be much stronger. Very speculative but I'm happy to sit tight

[johnyee 7] 07/9/2010 08:54

over on plus

[jonno1] 07/9/2010 08:27

not one trade so far?

[loverat] 07/9/2010 08:19

Nice action yesterday. That's what I like about these companies which fall in SP, apparently because of a big seller. Pick them up at cheap prices, wait a few weeks and all of a sudden watch them come to life.

Lets see if there is any further momentum here.

[jonno1] 06/9/2010 19:41

great website, just had a look, very smart

[bones30] 06/9/2010 15:29

3.336m shares and 8m shares traded at 1p. Did some go to Credit Agricole? Makes nearly the 12.4m total that Allianz SE had.

[bones30] 06/9/2010 15:24

Interesting - a moment ago their website was popping up a login box, now it is letting me in:



(In the last 5 mins). Perhaps they were updating?

Grabbed a few as a punt.

[welshgoat2] 06/9/2010 15:16

and someone has just bought 23million share 10% of the company,

[welshgoat2] 06/9/2010 15:16

mkt cap £2.5m,The Group continues to be debt free. As at 31 March 2010 cash and cash equivalents amounted to £6.0 million (31 March 2009: £5.7 million

[bill182] 06/9/2010 15:00

It certainly was...looks interesting.

[johnyee 7] 06/9/2010 14:50

was that a 23 million buy that went through.

[knowing] 06/8/2010 20:00

Ive had a quick look over them and think that they have been hit hard due to the recession, volcanoe and problems in Thailand. Margins were down due to the event marketing being under budget which was the larger margin generator. This will all turn around IMO

Happy to tuck a few away for sure.

GL

[loverat] 06/8/2010 19:15

Knowing

When I see situations like this I always look at other examples. I remember SAM which tanked 90% in days because of a big seller. Short term I made plenty of money there - although later the underlying reasons for the malaise became evident.

Probably a risky play but I reckon there is a chance these could reward in the short to medium term.

[knowing] 06/8/2010 16:03

Looking at the volume if we get couple more days like we did on the 2nd that overhang would disapear rapidly.

[knowing] 06/8/2010 09:45

Needed a pull back as was looking overbought

[knowing] 05/8/2010 16:14

Directors were all buying at 3p

[ashtree2] 05/8/2010 16:01

I"m tempted to go for some more at this price.Once this overhang is gone then the shares will rise imv.

[gerryjames] 05/8/2010 15:36

There were 2 x 12.4m sells on the day, I'd think they've gone, farewell....

[knowing] 05/8/2010 15:17

You may be correct. But of that 3% the questions are as follows;

1. Are they selling them all?

2. Do they have 3% or 2 or 2.7?

Anyway we know there is a forced seller and a couple of weeks of 3M buys will clear it soon enough.

[ashtree2] 05/8/2010 15:12

Knowing. I read it as 12.4m have been sold already mopped up but potentially 3% more are available if this seller is getting out completely.Let me know your views.

[knowing] 05/8/2010 14:45

Allianz seem to be the seller here with 12.4M to go where as Credit Agricole have been buying. I like this as a recovery play as once that overhang has gone it should lead to a very strong recovery.

[knowing] 05/8/2010 09:56

Watched the rise and here is the fall back but seems to have posted a new low.

[loverat] 03/8/2010 15:18

Hardly any volume. Where the hell did all the buyers appear from yesterday then?

[loverat] 03/8/2010 08:26

Oh well, I wonder at what time the ramping will start. Looks like a few traders got caught with their pants down yesterday.

Anyway, still think this will recover short term at least.

[loverat] 02/8/2010 18:54

zac_mo

I have watched your posts here with interest.

Perhaps others will also read your contributions today and come to the same conclusion that I have. Perhaps it may be wise to suspend posting here for the time being.

Just a thought.