Bill1703
30 Aug 2016
Re: Profits warning "EPS of 20p this year? Leaving the company sitting on a high P/E. Will it cut or hold the divi?"Yes, not clear from the statement whether they expect EPS to be significantly lower on an underlying or post-exceptional basis - or both. Most likely they don't know themselves, at this still-early stage in the year. It could be that underlying EPS will still be quite a bit better than 20p, but perhaps unwise to bet on this.Either way, they probably will - and should - cut the divi. They have probably been over-distributing for some time, and the 26p divi hasn't grown in years - although the strong balance sheet and free cash flows have helped to keep it going without too much stress. It will likely depend, not just on the quantum of underlying earnings this year, but how quickly they see it recovering, given market conditions and their own actions. But I suspect this is a consideration over how deeply they cut it, rather than whether they hold it. Probably best not to assume anything better than a 50% cut to 13p, though it might be able to grow nicely from there as (if) and when conditions improve.All this said, it's still not too demanding a valuation down at this price (the SP reaction looks about fair), and will probably reward with a reasonable total return from here. But unlikely to be anything dramatic - has always struggled to sustain anything better than 430-450p. I too am sitting tight for now.
Greyinvestor
30 Aug 2016
Re: Took a bite I'd buy the whole company if someone is selling at £1.59 !
soi
30 Aug 2016
Took a bite HiNot wise to try catch a falling knife but bought some at 159.GL Allsoi
Greyinvestor
30 Aug 2016
EPS number When I say 20p EPS, I mean normalised EPS ie the one that matters. The actual may be well below.......
Greyinvestor
30 Aug 2016
Profits warning A nasty profits warning today. Expect a serious hit to the price.This is very frustrating, when not so long ago the news was positive. Management has been caught on the hop and the read across from Clarkson would have been more accurate.I'll be sitting tight; I probably won't have much choice.EPS of 20p this year? Leaving the company sitting on a high P/E. Will it cut or hold the divi?The balance sheet last showed an £18m surplus of current assets over all liabilities, so very solid. The company has got some water under the keel, thank goodness.
DAWTO
08 Aug 2016
might be of interest [link]
Greyinvestor
04 Jul 2016
Bad day A bad day for Braemar today; it's the read across from Clarkson. Difficult to know quite what to do, Braemar's latest RNS was much better......
Greyinvestor
16 May 2016
Results today To my mind these results are 'as expected'. I've got a decent sized holding in the shares, and intend to hold them for the yield of around 5.7%.On the P&L side, the EPS is in the range 21p to 32p, according to your view of exceptionals. These seem to feature every year. But on a like for like basis, I believe that earnings are up about 7%. This is pretty sensible.Revenue is +9% on the previous year. Also sensible.The balance sheet shows current assets exceeding all liabilities by £18.5m. Perfectly good. Cash is down by £5m, but it's been used to pay down short term borrowings by the same amount. Good.Directors shareholdings are on the low side. A negative point.The Outlook is flat. Not so good.I believe that the whole European market is overvalued. These shares aren't cheap. But the results are decent. Given that European corporate profits are down 20% so far this year, according to some research, I think that these results are fine. Divi cover has risen slightly, but is still low. The only trouble is that the Outlook is tough, as it is for most companies.All things considered, a Hold for me.
TX2
16 May 2016
Results Dividend covered by operating cash generation.Ship broking performance seems decent aided by ACM purchase.Reasonable result in a difficult market.Company has the advantage of not requiring large amounts of invested capital.Worth holding as income share in my opinion.
gamesinvestor
22 Apr 2016
Re: Braemar [link] - interesting what the brokers have said, but the above article suggests anything but world trade picking up.""" and the oil price fall has, paradoxically, increased tanker hire rates"""can't see how this can be true, since commodities started falling 5 years ago and Braemar's margins have fallen consistently with it.Oil has started to tick up in price, does this mean tanker rates will fall again?Games -- This doesn't look too safe.
jonwig1
22 Apr 2016
Re: Braemar You're right that it's tough out there in the shipping business: cyclical with the longest downturn for ages.But "basket case" is usually reserved for highly indebted companies in terminal decline, and debt isn't really a problem here. They've said they will grow earnings this year, and the dividend looks at least sustainable. The single broker is suggesting eps over 40p by 2018, so the dividend could progress. World trade might just be coming off the bottom, and the oil price fall has, paradoxically, increased tanker hire rates (tankers being used for storage).
gamesinvestor
21 Apr 2016
Braemar Confused as to the attraction here. Haven't performed extensive research on this, so please try to enlighten me, but on first glance it looks like a basket case.Why?It's pre tax profit has fallen every year for the last 5 from 2011 to 2015 it's done this :-12.93->9.36->9.33->8.85->5.23 ---- the last number in 2015 being less than half that of 2011 despite an increase in revenue £126M in 2011 to £145M in 2015.So the company grew revenue by 15% (3% a year) and more than halved pre-tax profit.I guess this is partly predicated by the collapse in it's operating margins from 10.25% to 3.5% over the same period. But hang on, haven't the oil companies been clamouring to store oil in their big boats whilst they have been unable to sell it during the glut? So why have margins shrunk so much?The EPS is also down on 5 years ago. There is expected growth next year and the year after, but on a P/E of nearly 13 and a growth expectation of 6% it already looks expensive..I've obviously not got the whole story here.Games
jonwig1
15 Apr 2016
Re: Interims? They are full year, not interims, and the co has issued a correction, not a potponement.
Spieler
15 Apr 2016
Interims? What is the reason for the postponement of the Interim Results?
soi
09 Mar 2016
Re: Topped up Hi GreyThanks for comment, guess I should have dug a bit deeper.Still following it for now.ATBsoi
