Zoo Digital Share Discussion Threads

[siwel100] 22/5/2009 12:16

Looks like the mm's have managed to claw in a bit of stock with their games. But there simply isnt much to be had. The next spike up should be impressive, the trading update has already said the results are going to be good.....and they arent far away.
imo

[deanroberthunt] 21/5/2009 20:41

Could be the end of Capitalism....thought of that, think we need the equivalent of natures forest fire....

[uzbekking44] 21/5/2009 19:55

Interesting.

[relishing] 21/5/2009 18:12

The dollar will eventually crash. At that point they will introduce the Amero, the common US, Canada and Mexican currency.

[siwel100] 21/5/2009 16:03

radarlove...The full year followed by half results will see a transformation in people's perception of ZOO.......Assuming there isnt an attempted bid first.

[radarlove] 21/5/2009 15:35

siwel,

I have been watching ZOO from afar for awhile. Was surprised by the 50% rise yesterday afternoon and wondered what had triggered this. I am hoping it isn't merely MM games, so made a small initial foray this morning after the price dropped.

The company improvements seem fragile though and I am not yet convinced that it is all plain sailing from here. Also, there can be problems with illiquid stocks. This can go against a share.

Anyway, I see ZOO as my 'flutter' for the year. The company hopes and promises are finally showing some fruition but still a way to go yet.

[siwel100] 21/5/2009 14:29

radarlove...my interest goes back a few years now. Have always liked the prospects, its nice that they are finally delivering.

Yep am upbeat about it, but as with any stock that transforms from flea ridden doggie to market darling, it takes a while for the adjustment to sink in.
The key for me are the multi year contracts up to a decade long. They are ousting Sonic and locking the door behind them. I always look for companies that own a sector. Zoo is rapidly taking ownership of their sector.

Actually the figures I mentioned are hype free. If you want hype then its looking for a spike to well above 250p+ over the medium term.
Currently ZOO are ignored and unloved. Once volume starts to climb, then with such an illiquid stock the share price goes vertical. Nearly all the stock is in safe hands who have invested and supported the company through development. They wont be selling on the cheap. I can see this one reaching maximum valuation as it continues to progress.

The single short term question mark is if the exchange rate will benefit ZOO. Personally I find it beyond belief that the £ will be strong over the next 5 years. It can be argued that the $ is also weak, but when comparing the monster Dollar to the fragile £, I just fail to see the £ holding even £1.50 to the $. The currency rate will simply leverage ZOO's results.

Zoo's share price may have tumbled from its high and flatlined in recent years but they are now delivering results, hardly suprising its starting to get attention. But its based upon fact and trading updates rather than speculation. The results will add even more flesh to the bones.

Try buying more than £5k and see what happens:)

[radarlove] 21/5/2009 14:10

siwel 100,

Given your spate of interesting upbeat posts today, I am presuming you own a large number of ZOO shares and are hoping the share price will continue to rise?

Do you feel the company is well and truly over its past woes? What is ZOOs forward P/E? And what is a realistic short to medium term share price projection without the hype?

[siwel100] 21/5/2009 13:56

Standard & Poors downgrades the UK economy today for the first time in 40 years. Now its an AAA but negative outlook.
Looks like any stock earning in a foriegn currency is going to benefit from the weakening £ over the coming years.
Given the level of debt the UK carries, £ v $ parity wouldnt suprise me within 3 years.
Bad news for the UK but good news for ZOO.

[siwel100] 21/5/2009 12:22

posting late trades, wagging the bid, putting 25k to buy on show, I wonder how long the mm's will punt for sellers?
A couple of buys and with the stock shortage and it will be off and running again. I would love to see the mm's trying to play the game if the market was 100 points up instead of down.....still, no doubt someone will take advantage and squeeze them before close today.
imo

[siwel100] 21/5/2009 10:31

With results 6 weeks away, its worth reposting THAT trading statement. The next half figures will be better than the last as DVD production ramps up to xmas. ZOO is now starting to deliver on its potential.
Personally I like the hedge factor, with the £ set to be crippled over the coming years, I see the $ income as a real bonus.




RNS Number : 3266Q
Zoo Digital Group PLC
08 April 2009







For immediate release 8 April 2009




ZOO DIGITAL GROUP PLC

('ZOO' or 'the Group')




trading update/CHANGE OF ADVISER




ZOO Digital Group plc, the creative media production and technology company, today announces an update on trading for the year ended 31 March 2009 and a change of adviser.




Trading Update




The Board is pleased to announce that ZOO's results for the year are anticipated to be in line with management expectations. Revenue for the period was in the region of £6.6m (2008: £3.3m) showing an increase of 100% over the previous year. The second half revenue exceeds that of the first half despite an element of seasonality which favours the first six months as the industry prepares products for the holiday season. Earnings before interest, tax, depreciation, amortisation were £1.3m (2008: loss £1.4m) after an exchange gain of £1.6m. Management expects the Group to achieve a profit of around £0.2m at the pre-tax level for the full year after an exceptional right off of intangible assets of £0.4m compared to a loss before tax of £2.1m in the year to 31 March 2008. The cash position at year end was approximately £989,000, compared to £675,000 at 31 March 2008.




Management's focus on its principal customers, the major film studios, has continued to prove successful and significant progress has been made in increasing the number of business units using ZOO's products and services. Within one studio ZOO is working with four business units including Technical Services, Home Entertainment, Television and Theatrical, demonstrating the potential to generate multiple revenue streams from a single organisation as the benefits of ZOO's products become clear throughout their business. This strategy also mitigates the Group's reliance on any one single business relationship within these organisations.




During the year ZOO focused on expanding the use of its Media Adaptation Tool (MAT) within a major Hollywood studio. MAT automates the process of producing printed material such as posters, packaging and marketing materials and ZOO has been working with other groups within the studio to deploy the system more widely. This is progressing well and the Board is optimistic of supplying a second business unit within this studio in the coming year.



ZOO is pleased to report the completion of the Blu-ray version of its templated authoring tool. The tool is being used successfully to provide production services for major Hollywood studios.




Industry developments are positive for ZOO's business model. ZOO's principal customer base, the home entertainment industry, continues to face a number of challenges in the current economic climate including a decline in retail sales. However, despite a decline in consumer DVD sales, the Group has not seen any evidence of a corresponding reduction in the number of new titles that are being developed and published by the major studios. Therefore, the market potential for ZOO's products and services remains unchanged.



The studios are looking into more efficient methods of production and reducing the associated spending and this is a situation the Board believes will be advantageous to ZOO as its solutions can significantly reduce the cost of production by automating processes.




The Board is confident that ZOO's strategy to develop and apply innovative technologies to automate and centralise complex production processes is gaining increasing traction at a time when the studios are re-examining their cost bases.




Outlook




Significant progress has been achieved over the last 12 months and as ZOO's products become more widely adopted and demand for production services increases, visibility of forward production volumes for the coming year is improving. Despite the difficulties in the current climate the Board is confident of continued progress.

[siwel100] 21/5/2009 10:10

mm's shaking trying to get some stock....fat chance, if they want any volume.

[deanroberthunt] 21/5/2009 08:27

the only time you can buy these in any quantity is when the sellers are out and its falling.

[8trade] 21/5/2009 08:13

Cant buy even 2k online, impossible, missed the boat, by the time
those useless people at selftrade answer the phone the bird has flown.

[deanroberthunt] 21/5/2009 08:12

and we're off again...

[aphzombie] 20/5/2009 22:23

Reckon that expectations (not to mention potential) for this company are far higher than any bidder would pay at this stage so can't see any realistic bid being successful for the forseeable future. Having said that, someone started buying with a certain degree of urgency today for some (as yet unknown) reason.

[deanroberthunt] 20/5/2009 19:46

if there was an all share bid, it would be far in advance of 22p......i would suggest in the order of 35p+

[wywcu1] 20/5/2009 18:41

If there is a bid I need 22p to break even. After the consolidation in 2004 I ended up with 866 shares at a cost of £6.84 per share (I kid you not). Luckily I have bought a lot more and now hold 100k at an average of 22p. My last purchase was in Dec. 50k at 11.25p. Good luck to all and let's hope it's not a false dawn.

[deanroberthunt] 20/5/2009 18:30

could there be an offer for the business......

[deanroberthunt] 20/5/2009 17:23

biggest single day rise since mid 2007.

[deanroberthunt] 20/5/2009 17:01

in a rational market, even as the balance sheet stands today this would warrant a pe of 15-20, based on forecast £1m pbt....so 15-20m mcap....discounting the cash pile.