Yu Share Discussion Threads

[sparky333] 29/10/2021 11:20

CNG is an odd ball, because the company hasn't failed because of the B2B business it is because of the shipping side and companies like Avro leaving massive debt and causing distress to CNG.The B2B side is 100m turnover that was profitable post COVID If it goes SOLR there will be a large appetite for it and this isn't a loss leading book like domestic, totally the opposite as B2B isn't price capped. Gem taken for nothing because if they. Bought the business it comes unhedged so contract will be either honoured or new contracts at current spot rate , this is where the SOLR bidding will be interesting , again no one is going to want a loss leading book.But OFGEM seem intent on giving everything to the big 6 so 99% certain YU will not get a look in , even though they are a B2B specialist, which is the logical place for a B2B book

[powerslave1] 29/10/2021 10:29

There is a big difference between taking on a company and taking on its book of customers. Besides, they were not failing, CNG are a long established successful supplier. They are exiting the market due to a strategic change by their backer.

Having said that, most of their customers are relatively small and low margin, having been won through a TPI channel

If I were Yu I would at least kick the tyres and see what is there. Whilst there is no price cap to worry about, meaning the SOLR is likely to be more competitive, it is possible that there may be a bargain to be had.

They will need to be aware that high churn is likely, due to price and the involvement of TPI’s

[sparky333] 28/10/2021 21:03

Not surprised no bids if the hedges didn't come with it, who in there right mind would bid. No it's SOLR who ever gets it will place then on new tariffs. I wonder if YU will enter the SOLR process ?

[powerslave1] 28/10/2021 19:59

Sky reporting that CNG SOLR about to happen, maybe tomorrow. Sit back relax and see what happens next!.

[sparky333] 27/10/2021 12:52

Bullish budget, confident in the economy = business booming Hmm do YU benefit ? Oh yes

[sparky333] 25/10/2021 09:34

Looks like good energy have secured a new gas shipper after the fall of CNG. I expect some news shortly on CNG B2B book

[sparky333] 22/10/2021 17:04

Another 20k sold today. That 290 intra day down to 205 in a little over 3 weeks on bullish update.What does the market want ? It's does care about cash, no debt and profits and think 30mc is reasonable ?I find the stock market so odd at times

[sparky333] 22/10/2021 13:27

Right spread 205.2 to sell 207.44 to buy, never seen YU that tight

[sparky333] 22/10/2021 10:48

Also I have been an investor through several crisis now Dot com crash, banking crisis , high interest rates, etc Thee things are cyclical and about every 10 years five or take a few But out of every one of these crisis / recession the ones that come out the other side do extremely well ASOS dot com crash 7p hit a hit of £70 is a fine example I see YU in 5 years time not being £10 but 30 to 50 turning over in excess of 1-1.5b and one of the market leaders in B2B energy supply £10 is 160m MC£30 is 480m MC £50 is 800m MC This is where is see YU in the future but the Market caps are not unreasonable IMHO when you compare it to it peers PE of 30 would require a profit of 26m with a 800m MC If net margin was 3% you would only need a turnover of 800m to get around 25m profit

[sparky333] 22/10/2021 10:38

And before you all accuse me of ultra bull and no negatives I do have some things in my mind and actually asked a question about it at the last AJ bell webinar Mutualisation costs going forward as the pain will be felt sector wide and YU where very vocal how unfair they see this fund So I do expect YU will have to make a larger payment into this fund next year and beyond the question is wether they take the hit or pass it onto clients

[sparky333] 22/10/2021 10:36

Hi It is about the quality of your clients and YU are very selective on clients who have to pass rigorous risk management Also they are very spread sector wise from cricket clubs to care homes to councils etc so sector specifics like pubs may be high risk but care homes, councils football clubs etc are low risk because regardless of the UK falling into a prolonged recession those sectors continue regardless and low risk and not paying the bill.YU are now on the government procurement portal for government energy contract for councils, hospitals etc across the UK, not saying they win many or maybe they do but the fact they are bidding for this high profit low risk contracts illustrates the get up and go of YU group.

[iamhappy1] 22/10/2021 10:20

SME's are under massive pressure going into this winter with rising costs hope YU hold onto any cash they have to protect against bad debt.

"A third of the UK’s small businesses are classed as highly indebted, more than double since before the Covid-19 pandemic, the Bank of England said on Friday as it warned of a likely rise in company collapses by the end of the year"

[mrscocker] 22/10/2021 10:05

Sparky,

Not yet, will wait and see. As you say sector is very out of favour at the moment and Yu Energy has been hammered down since April highs. I think it will get cheaper but that's just my view and wtfdika. Not sure how long their hedge with Smartest Energy can continue to protect them from higher costs and how things will change going forwards?

[sparky333] 22/10/2021 09:48

Was it you ? Or just lurking

[mrscocker] 22/10/2021 09:30

At last a buyer appears

[mrscocker] 22/10/2021 09:04

Why do you keep mentioning other stocks here? This is the Yu. BB

[sparky333] 22/10/2021 09:00

Sector is not flavour of the quarter and if you look very low volume trickle selling Sentiment will change with a bang as it always does. Not you can get back to deepverge

[mrscocker] 22/10/2021 08:45

Why is no one buying here at these cheeeep prices or are they looking the gap and waiting for it to get cheeeeper still?