Something small and quick for the long weekend – a few suggestions
If they are not already notes in your investment calendars, then I would like to remind you that quite a number of this column’s Profile companies are due to have announcements or events in the next week or two, which could be impactive upon their respective share prices.
The first two of these mentions follow on from my comments of last Friday (19 August) in my ‘simple as ABC’ article.
Next Tuesday (30 August) we have the Finals to end February being announced by the newly name-shortened Braemar (LON:BMS). The group has been undergoing a significant Strategic Review, details of which may well be announced next week.
The group recently informed investors that
“Loss-making businesses have been closed, central costs have been reduced, the core shipbroking business has been expanded, the board has been strengthened, bank debt has been reduced to near zero and dividend payments have been restored on a progressive basis.
These improvements have enabled Braemar to deliver strong trading results for the year ended 28 February 2022 and improve further still with exceptionally strong trading in the current financial year.”
Its shares, which have been up to 302p this time last year, closed last night at 288.5p.
(Profile 05.12.19 @ 185p set a Target Price of 250p*)
(Profile 20.05.20 @ 99p set a Target Price of 150p*)
On the same day CentralNic Group (LON:CNIC), the global internet platform company, will be declaring its Interims to the end of June.
A 92% advance in first half revenues to $335m, was accompanied by a jump of 85% in adjusted EBITDA to $38m, while gross cash was up 68% to $94m and net debt down 20% at $65m.
Just what Ben Crawford, CEO, has to state about H2 prospects is what will help to generate further interest in the group’s undervalued shares.
Analyst Bob Liao at Zeus Capital has estimates out for $617.1m ($410.5m) revenues for the year to end December, with EBITDA of $70.0m ($46.3m) and earnings of 17.4c (11.8c) per share.
The shares closed last night at 121.5p, while Zeus have a raised valuation on the shares at 221p.
(Profile 12.07.21 @ 89p set a Target Price of 110p*)
On Wednesday Flowtech Fluidpower (LON:FLO) will announce its Interim results to end June. The specialist technical fluid power products group is, hopefully, back in charge of its supply chain management.
The second half year could extend sales and profits.
Analyst Sanjay Vidyarthi at Liberum Capital rates the shares as a Buy with a 190p price objective. He estimates £114.5m (£109.1m sales for the current year, with profits of £7.7m (£4.9m) and earnings of 10.0p (5.8p) covering a 2.0p (nil) dividend per share.
The shares, which were up to 156.50p last September, were just 124.5p at last night’s close.
(Profile 23.04.21 @ 105p set a Target Price of 130p*)
While The Fulham Shore (LON:FUL) restaurants group will be holding its AGM for its year to the 27 March. Takings were up 105% at £82.7m (£40.3m) while pre-tax profits were £3.9m (£7.5m loss).
For the current year Sahill Shan, analyst at Singer Capital Markets, rates the shares as a Buy with a 24p price objective. He sees £105.3m in revenues for this year, but with an almost stand still in profits at £3.6m.
We look for a positive AGM Statement to help to lift the shares from the current 12p price in the market.
(Profile 15.12.21 @ 16p set a Target Price of 20p)
Thursday 1 September should see the Johnson Service Group (LON:JSG) present its Interims to end June. The leading UK textile services provider saw revenues rise to £176.2m (£99.6m).
Estimates for the full year are for £359m (£271m), with pre-tax profits recovering from £5.10m to £27.0m, with earnings trebling to 6.00p (2.00p) per share.
An even better year in 2023 is anticipated to help the group return to profits closer to its circa £37m norms.
The shares at the current 103.20p have yet to get some rejuvenation alongside the recovery in its profits.
(Profile 24.12.19 @ 196p set a Target Price of 250p)
The same day will see the Circassia Group (LON:CIR) hold a General Meeting to seek approval to change its name to Niox Group and its market code to NIOX.
The company, which is engaged in the design, development and commercialisation of medical devices for asthma diagnosis and management, is due to announce its Interims to end June on 14 September.
But before that it needs to change its name to more closely align its corporate identity and growth strategy with the identity of its principal market leading product, Niox Vero.
Analysts Chris Glasper and Kevin McColgan-Bannon at Singer Capital Markets rate the shares as a Buy, with a price aim of 47p.
They estimate the current year to end December to show £32.5m(£27.9m) sales while it could swing from a £2.4m adjusted pre-tax loss to a profit of £3.4m, worth 0.8p (0.5p loss) in earnings per share.
The shares which peaked at 49.95p within the last year, closed last night at 34.35p.
(Profile 23.01.20 @ 25p set a Target Price of 40p*)
An extra bit……
Looking a bit further out – we have the Totally (LON:TLY) AGM being held on Monday 5 September, together with the Interims from the Belvoir Group (LON:BLV) and the Finals from PCIPal (LON:PCIP).
The following day, Tuesday 6, will be when we see announcements from Alumasc Group (LON:ALU) for its Finals, the AGM for Brickability (LON:BRCK) and the Interims from STV Group (LON:STVG).
The Thursday of that week should see Severfield (LON:SVR) hold their AGM for the year to end and MPAC Group (LON:MPAC) declaring its Interim results.
And then a little bit further out …….
Towards the middle of September we should be seeing the Kier Group (LON:KIE), the infrastructures, construction and property business, reporting upon its full year results to end June this year.
They will be much as expected, however it is the current year prospects that should make investors realise how undervalued its shares are at the current 68.75p.
(Asterisks * denote that Target Prices have been achieved since Profile publication)