gamesinvestor
12 Jan 2017
Extensive reading OK I just started reading and stopped when I saw the debt at £1.35Bn This has grown ridiculously in the last 5 years as follows :-£350M; £316M; £606M; £1446M; £1345MOperating Profits during that time were :-£252M; £230M; £155M; £57.6M; £12MIt looks like the only way this company can make money is to ask the shareholders for more.It's not as if this is a short term problem, they have been messing this up for 5 years.Net gearing is 252. Can anyone offer a reason why this is something to invest in?For a company with it's fingers on the pulse of advanced RF and motion control systems, they seem to be lacking any talent in running a business.There was an old saying -- "The best way to keep out of trouble, is to avoid it in the first place"Games -- It doesn't get a 10 from Len!!
gamesinvestor
12 Jan 2017
Bang goes the divi Ooohhps -- I'll just be reading about this for a while now.Games -- no divi, no cornflakes I'm afraid.
gamesinvestor
12 Jan 2017
Re: I'm in "LKH on the flybridge resisting it with some difficulty"Looks like you resisted well - it's down again this AM.Starting to look at this. Must confess to having scant knowledge of the company.Games -- isn't it ever the case eh!!
Callun
11 Jan 2017
Re: 3rd profit warning Indeed 3rd profit warning, and don't foget the cash call last year as well.However, Cobham had a management change at the beginning of this year, with the finance director coming from Qinetiq and the CEO from Laird, so good pedigree.The profit warning should be seen as legacy from the departed bunch, and hopefully the market will give the new chaps a bit of breathing space before binning the stock.There's a lot to sort out. They have to stop missing delivery deadlines, reduce debt and streamline the business.The worrying bit for me is the KC46 contract. There's a fella over the pond who could cause problems there, and if it's not sorted quickly and favourably the company will haemorage cash. But I'm not adding to my holding. Didn't manage to sell before the fall so by default it's a hold for me, for now.Callun
Myunderstanding
11 Jan 2017
Re: I'm in The term for this type of Investment is " buying the glitch "
LK Hyman
11 Jan 2017
Re: I'm in Jack,"I've decided to develop a smallish high-risk portfolio"Starting with a largeish high-risk portfolio, eh?Sorry ... couldn't resist!LKH etc
LK Hyman
11 Jan 2017
Re: I'm in Jack,"The probabilities are auspicious with shares that have lost 2/3rd of their value"That made me chuckle, m8! Obviously you never invested in such raving munters as African Potash, HMV, Frontier Minerals, the wonder that was Woolies, African Eagle, D1 Oils, ARMS, yadda yadda I could go on. All of them munters lost 2/3rd of their value .... and then lost t'other 1/3rd LOL ... despite my long term warnings about the munterdom of the various companies.But yeah, Cobham is prob'ly different. Anyone who can make a flexible tube and a nose cone that can refuel a fast jet at 35,000 feet can get the abacus-rattling bit of the biznay right, surely? LKH on the flybridge and the sidelines ... for the nonce anyhoo
Jack_Walsh
11 Jan 2017
Re: I'm in One of his finest.As you know, I'm a maths-man. The probabilities are auspicious with shares that have lost 2/3rd of their value - especially if you group them into a basket with half a dozen other, similarly hammered, equities.Also, generally, people have more fear than greed - so massive falls are often overdone.I won't quote the Sage of Omaha - as that would be trite - but he does talk a lot of sense.My greed remains undiminished.
LK Hyman
11 Jan 2017
Re: I'm in Jack,Good stuff, m8.Cobham always makes me think of the intro to Dr Strangelove:[link] must say, I'm tempted to dip a toe into the watter .....LKH on the flybridge resisting it with some difficult
Jack_Walsh
11 Jan 2017
Re: I'm in Hi LK.Nowt owed on the Cappa! I try to keep my leverage pretty low; although, that may be a bad plan in the current low-interest environment.I've decided to develop a smallish high-risk portfolio (in addition to my main fund) - within which this fits nicely.The fund has only got a few constituents at the moment: Cobham, CMC Markets and Laird. I will only hold these in my IG account (rather than in my ISA.CMA account) as I see them as short term investments.With the exception of Laird (which is only a bit underwater allowing for div), both seem to be doing OK!
LK Hyman
11 Jan 2017
Re: I'm in Jack,"Perhaps overly marked-down?"You're braver than I am, m8 ... the "warning about a possible warning" with regard to the tanker contract was, erm, a bit of a warning. There's not enough info for me to dip a toe in here.Good luck. You've got no debt outstanding on the Capri, right?LKH on the flybridge
Jack_Walsh
11 Jan 2017
I'm in Perhaps overly marked-down?Opening position of £40pp at £1.35.May add later on further falls.
idontwanttolose
11 Jan 2017
3rd profit warning Am I glad I dropped these shares some time ago at a profit as it looks to me that the existing accounts "aint quite right"Cobham Post-close Trading Update Cobham plc ('Cobham' or 'the Group') today provides a post-close trading update in respect of its results for the year ended 31 December 2016. 2016 Trading updateGroup trading profit1 in the unaudited draft management accounts for the year ended 31 December 2016 is £245m, below the range of £255m to £275m set out in the Trading Update of 24 October 2016. The detailed year end close and audit is ongoing but is not expected to result in an increased trading profit. The new management team is commencing a thorough closing balance sheet review, including major contracts and asset carrying values. The trading profit disclosed above is before any adjustments that may arise from this review and, in particular, there is significant uncertainty surrounding the outcome of the KC-46 tanker programme. Cobham remains in discussions with its customer on the commercial terms for the complex conformity and qualification phases of this contract, which are taking place concurrently with the early phase of production. Financial position and dividend The Group's draft managements accounts indicate net debt at 31 December 2016 of £1.03bn (2015: £1.21bn) at the closing rate of $1.24/£, which is again before detailed year-end close reviews and unaudited. In the light of the disappointing trading and higher than expected net debt, the Board will not be recommending a final dividend payment in respect of financial year 2016. The dividend policy for 2017 and beyond will be set out following a full review of the Group's financial situation. Other information Cobham's preliminary results for the year ended 31 December 2016 will be announced on 2 March 2017. This document has been determined to contain inside information.
Callun
21 Dec 2016
Re: Rise? .. OR it could have been that the new CEO took up his post last week.
Callun
19 Dec 2016
Re: Rise? Rise not continued today so it looks like nothing special. There have been a few reasonable broker coments recently that might have helped, and an absennce of bad news.SP has been in a rising channel about 10p wide for the last 6 weeks or so. It happened to span all of it on Friday. Slow rise, but at least it's upwards.Callun
