Zytronic Share Discussion Threads

[arthur_lame_stocks] 01/7/2020 10:09

The robot girlfriend would probably break down every month.

[effortless cool] 01/7/2020 09:59

Mr_Spock,

Try these guys ....

[mr_spock] 01/7/2020 09:56

Buywell...when can I get a robot girlfriend? Current girlfriend is giving me grief.

[buywell3] 01/7/2020 08:06

There will be robotic machines cooking and serving humans as a result of Covid-19

Most smaller restaurants / cafes / pubs / coffee shops / and general eateries and drinkeries of any sort are going to go bust.

As are most small businesses of any sort for that matter

Plus lots of medium sized listed companies and some big names

Automation to reduce humans in food preparation and interacting with other humans in the sales /purchase process will be seen as being preventative regarding virus transmission.

Also robotics will ultimately be cheaper and more efficient than staff

Payment will be automated , facial recognition

Orders will be by audio command or pre-ordered via mobile along with payment

Touchscreens are now olde hat but will still have a limited market for a time

So workforce needs a cut by 50% IMO

dyor

[1pencil] 30/6/2020 22:00

From May 2020

Touchscreens have a role to play in improving safety during the coronavirus pandemic

[1pencil] 27/6/2020 15:18

May explain recent selling by Brown and Shipley.


Revealed: Brown Shipley makes 20 redundant in business shake-up

[dangersimpson2] 25/6/2020 11:22

It's easy to argue the opposite. Covid19 will accelerate the trend towards touch screens for food ordering etc. which are easy to wipe down regularly. Customers increasing accept touchscreens vs staff interactions which are viewed as higher risk.

In reality, none of us have any idea if Covid19 is good, bad or indifferent for touchscreens. There are simply too many rapidly moving parts to analyse effectively.

So in the absence of clear market trends we come down to price. If touchscreens are now in a permanent decline then the business is fairly valued at cash + nwc which will gradually unwind and be returned to shareholders as the business declines to nothing. We mainly just lose the opportunity cost.

If the world still needs touchscreens then the company can return to the £2m pa of FCF from the last year, then fair value is around £3/share.

If Covid19 is positive for touchscreens then the company can return to the £3-4m pa of FCF of 2010-2018 then fair value is around £5/share.

I have no idea if Covid19 is good or bad for touchscreens but I do know that the Kelly Criterion says that when you are presented with opportunities where the upside is very large and the downside is limited, you should bet big.

[buywell3] 23/6/2020 22:00

Nope

Amazon is coming soon

This is why all bigger supermarkets are upping their free home delivery services

Amazon will take a big market share of ALL sales of EVERYTHING when it has finished

[1pencil] 22/6/2020 15:06

There will undoubtedly be a change of public behaviour which makes more sense, better hygiene awareness and cleanliness of commonly used items, shopping trolleys, baskets and checkouts. This in effect would be similar to using gyms (pre-COVID) where each piece of equipment is wiped down after use, or in-store bathrooms being checked every hour using visible inspection sheets.

This was the general conclusion adopted by other market commentators, change peoples approach and understanding rather than re-invent the wheel.

In summary, don't throw the baby out with the bathwater.

[bookbroker] 20/6/2020 09:06

I know Zytronic are aware of public misgivings as regards the hygiene aspect of touchscreens, hopefully soon they will come up with improved solutions alongside software manufacturers to enable screens to recognise sensation, see Samsung produced a device called Glamos that recognises movement so that you do not need to physically touch the screen. As Zytronic expertise is in producing the screens, maybe they can align with big companies to more enable that to become commonplace, at the same time providing their own expertise in the use of the screen itself.

[bookbroker] 20/6/2020 08:17

I see your point, that society has been pushed more to the use of apps to purchase and scan to obtain. However people are still going to go out and there touchscreen technology will likely co-exist. It may have been the general drift prior to coronavirus, but touchscreen will still present a resource within the leisure industry as it does now for obtaining info. I see your points buywell, something I given much thought to as regards people go about their daily business, we’ll have to see!

[1pencil] 19/6/2020 15:28

Hoping we see increased demand for products such as this;

[bookbroker] 18/6/2020 14:18

If this company has not got anything better to do with its cash it should consider buying back at least ten per cent of its stock, maybe more, this is trading back at 2005 levels, time to stake advantage of that!

[1pencil] 17/6/2020 14:49

One of Zytronics partners Eurocoin offers some insight on future product releases, scroll down for new J screen and curve displays.

[dangersimpson2] 16/6/2020 12:35

50k gone through this morning so hopefully another chunk out of the BS overhang.

I wouldn't welcome a takeover offer here since I doubt any premium would reflect the potential of the business. A lot of companies that have seen a large Covid19 related sell-off have doubled or more off their lows, and I think we would have seen similar here if it wasn't for a persistent seller. So this could easily return to the £1.60 level on its own as the overhang clears.

This was trading about £2.50 in January prior to the announcement of weak H1 and Covid19 related sell-off - this sold off earlier than the rest of the market, presumably due to concerns with Macau gaming as China got hit first. So we are unlikely to return to these levels until trading starts to head back towards FY19 levels at least. But if it does in a year or so, there is no reason why the price won't similarly reflect this recovery.

So an offer at even say a 50% premium would in effect be no premium at all over where the general market for small cap stocks has recovered to and a discount to where the business would be priced at even on a fairly anaemic recovery in trading. So not an attractive proposition for long-term holders IMO.

[bookbroker] 16/6/2020 12:13

All about end markets ultimately, and position within it, but this company focused on one specific sector, which I will reiterate has demand, albeit soft presently in some sectors. Hopefully a recovery play there, but supported by decent balance sheet and expertise. Still believe vulnerable to a takeover at a decent premium.

[1pencil] 16/6/2020 12:00

I wondered if the recent crisis may favour UK manufactures given the virtual gridlock around deliveries, also US/China trade talks not going well which again could favour other suppliers - US being Zytronics 3rd largest market (APAC, EMEA 1st and 2nd respectively)

[bookbroker] 16/6/2020 09:36

Have contempt for ramping of stocks, but I can see that this company could be seen as a deep value play, touch screen capabilities have an important role in the modern world, easy to clean, maintain and a wealth of info.,without the need for human interaction. That is the only part I dislike in this insular, introspective, sterile world!

[gleach23] 15/6/2020 17:29

Another 225k reported after the close....some decent churn going on

Edit - make that 250k. Another 25k @ 107.5p reported late timed @ 16.24 will hopefully set things up nicely for the morning

[topnotch] 15/6/2020 11:04

Helleva spread 90p-105p

[1pencil] 13/6/2020 11:12

It looks like market makers have taken the rump, no bad thing as we have some idea of size.

It might stick around here for a bit until cleared unless already placed, volume wise, 2nd highest in two years.

Brown and Shipley had one remaining stock (IBT) which up until now remained over 3%, TR1 on 11th takes them under so looks like a complete exit.

Always seem to be in the news with a high turnover of staff including recent departure of London office head.

[dangersimpson2] 12/6/2020 21:09

Just annoying that the spread is so wide - if BS were willing to accept 90p for their shares as it appears from the larger trades and the stock was on offer at 92p instead of 97p then this thing would clear pretty rapidly. With no order book and MM's rejecting Fill & Kill at the mid it is no wonder this is taking an age to clear.

[gleach23] 12/6/2020 18:21

Impressive volume day @ 561k shares, including 250k @ 90p reported after the close from this morning. BS must surely be close to exit if not exited.