gretel
10 Jan 2017
Finncap top tip for 2017 Finncap have released their top 10 stock ideas for 2017. IDEA is one of them (I also hold CAPD - not impressed with most of the others):http ://www.iii.co.uk/articles/381415/top-10-small-cap-share-tips-2017"IdeagenProviding highly regulated industries with software that specialises in enterprise governance, risk and compliance, Ideagen (IDEA) has a strong record of coupling organic growth with strategic acquisitions, and delivering on its forecasts. There is now another certainty in life in addition to death and taxes, says finnCap: compliance.With momentum behind the software group, earnings are expected to jump by over 20% this year, which could underpin a leap in its share price to 78p - 16% higher than current levels.Ideagen's market value has already surged from £11 million in 2012 to over £110 million, which should attract bigger investors."
charlie51
02 Jan 2017
Re: Tipped by Shares Mag for 2017 The Midlands-based company concentrates on what it calls the governance, risk and compliance (GRC) space, providing information management solutions to highly regulated industries.Target markets include healthcare, complex manufacturing, banking/finance, defence and energy.Ideagen supplies an integrated system that combines information from multiple operational sources on top of the typical internal audit and compliance functions.This provides clients with a detailed overview of corporate risk, controls and consequence mitigation analysis.There’s a net of rules, regulations and red tape tightening over many industries. Little UK software supplier Ideagen (IDEA:AIM) has a wide range of off-the-shelf specialised software tools smack bang in this, albeit unglamorous, sweet spot.That’s an increasingly compelling sale once an organisation begins to grasp the significant financial and reputational damage potential of not having adequate systems in place.We’ve been fans of the company since it gravitated to AIM from the old Plus Markets in 2012, first flagging the investment opportunity at 16p in August that year.The company hasn’t put a foot wrong ever since; adding carefully vetted bolt-on acquisitions to its underlying progress. Three acquisitions have been made since summer 2016 alone, being Covalent, Logen and IPI Solutions.Full year results to 30 April 2016 revealed a 52% revenue jump to £21.9 million including respectable 10% organic growth. That led to a 57% leap in adjusted EBITDA (earnings before interest, tax, depreciation and amortisation) to £6.3 million and improved operating cash conversion metrics.Shareholders should feel rightly chuffed about a 96% client renewals hit rate and 100 new customers won during that year.Ideagen also won its biggest single contract ever, worth £4.9 million. We believe the scale of new business is also improving.Healthy and wealthyA trading update in November implies the business is still in excellent health. We’ll find out more when half year results are published in January.FinnCap forecasts pre-tax profit rising by 21% to £6.9m for the full year to April 2017 – and then advancing to £8.4m a year later.It is also worth noting that Ideagen could potentially benefit from Brexit as that will increase red tape. Companies will need to comply with existing EU and international standards as well as the potential for the implementation of UK standards. (SF)
Willow67
01 Jan 2017
Re: Tipped by Shares Mag for 2017 Is anyone able to post the shares magazine article?
lawdoc
30 Dec 2016
Re: Tipped by Shares Mag for 2017 Yes, meets all the Growth criteria too
eg FC <1+ve growth past 5 yearsCFS>EPSQR>1Chairman optimistic, sp within 10% of maximum.Pity Divi is meniscal.Nevertheless, bought in. Useful for LT IHT planning too.GLA
Willow67
22 Dec 2016
Re: Tipped by Shares Mag for 2017 Great news. They made an early call on the stock a few years ago; you might have been in then Gretel but it was before my time[link]
gretel
22 Dec 2016
Tipped by Shares Mag for 2017 Apparently IDEA has been tipped by Shares Magazine today as one of their 10 nap tips for 2017 (along with IAE and CAPD which I also hold).
Willow67
19 Dec 2016
Re: New contract win You shouldn't be concerned. The share price (on a consistent earnings multiple) over the last 3-4 years demonstrates how consistently they have performed. I take your point about the one announcement about the CDIS platform but I actually think organic earnings are accelerating here from the 10-15% level with the recent contract wins. I've owned them since the low 30's in 2014 and have added numerous times (incl today) and the frequency and scale of announcements along with the earnings growth is accelerating.
The Dutchman
19 Dec 2016
Re: New contract win A bit concerned about this company announcing every new contract win. Indeed one of the recent ones wasn't even a win but just getting on the shortlist. Surely getting on short lists and winning new contracts is the very life blood of a company like this. It must also have some clients who don't renew for whatever reason (rival wins business, gets taken over, sees no ongoing need, rationalises suppliers, goes bust etc) but we don't get announcements of those. I can see the logic of announcing mega wins say those that will increase turnover by more than 5% or 10%, but the time for announcing a series of smaller wins and the overall impact on the business in a fair and balanced way should be the half year and full year results and/or pre-close trading statements.
gretel
19 Dec 2016
New contract win [link] secure six figure, five year contract with Air Transat16 December 2016Air Transat , the Canadian leisure airline, is to work with software firm Ideagen in a six-figure, five-year contract to enhance aviation safety reporting across its operations. Ideagen Enlighten, Ideagen’s cloud-based software, will be rolled out across Air Transat, strengthening its safety culture and increasing efficiency for staff, particularly safety investigators. Enlighten will allow Air Transat’s safety investigation and senior management teams to analyse safety data in real time, helping the airline to react quicker to potential hazards and mitigate risks.... .....“Ideagen Enlighten will also allow us to deploy the system to sub-contractors such as Ground Operations at different airports. Those safety reports from Ground Ops – and other services as well – will feed into our system directly to increase our safety and risk knowledge. “I believe Ideagen Enlighten will take us to the forefront of safety reporting.� Based in Montreal, Quebec, Air Transat operates scheduled and charter flights and serves 63 destinations in 30 countries. The organisation has over 2,000 employees and has a fleet of 30 aircraft including Airbus A310-300s, A330-200s and A330-300s as well as 7 Boeing 737-800s. Ideagen is a global leader in developing information management software and providing supporting services to organisations operating in some of the most highly regulated industries in the world. It currently has a global customer base of over 2,500 organisations, including more than 300 airlines, and counts Boeing, Emirates, Thomas Cook and KLM amongst its client list."
gretel
16 Dec 2016
IDEA win place on huge new framework Good news - IDEA have won a place on a new £800 million-£1.3 billion healthcare framework:[link] successfully secures place on Clinical and Digital Information Systems (CDIS) framework15 December 2016 Ideagen is pleased to announce it has successfully achieved entry onto a new Clinical and Digital Information Systems framework (CDIS).The CDIS framework lists providers of electronic patient records, hosting, portals, mobile working and other digital solutions in a central register of organisations providing software and services to the healthcare industry. As part of CDIS, Ideagen will be able to list its Ideagen Clinical Portal, Ideagen QScan and Ideagen KW software solutions as part of an overriding electronic document management solution.Paul Jackson, Senior Product Manager of Healthcare Solutions at Ideagen, said: “We are absolutely delighted to achieve our place on the CDIS framework.“Recognition as an industry leader of quality, clinical and content solutions providers through frameworks such as CDIS really is testament to the strength of our people, products and services.”Ideagen provides information management software and services to healthcare organisations including over 80% of the NHS. As well as Ideagen Clinical Portal, Ideagen QScan and Ideagen KW it’s suite of software includes quality, clinical and content management products such as Ideagen Q-Pulse, Ideagen PatientFirst, Ideagen OCM and Ideagen EDM.An operational partnership with Restore, one of the leading providers of document scanning, storage and secure shredding, will offer healthcare organisations an enhanced level of information management.The CDIS framework will provide mental health NHS trusts, acute NHS trusts, GPs, Clinical Commissioning Groups, social care bodies in Local Government, charitable organisations and private sector healthcare providers with access to a highly flexible suite of software applications, bringing together key clinical and administrative data in one place.The framework, valued between £800 million and £1.3billion and involving 38 NHS Trusts, will support health care providers as they follow the National Information Board strategy of Digital Health by 2020.Mr Jackson concluded: “We look forward to continuing to work closely with the healthcare industry and playing an active part in the CDIS framework to help organisations with their Digital Health 2020 requirements.”
Willow67
11 Dec 2016
Re: Excellent new acquisition Went through the numbers again and have concluded the shares still look quite cheap despite this wee's jump. With 16% of organic growth and £0.8m from IPI, that suggests pre-tax £8.1m pre-tax and £6.5m post tax assuming no tax offsets are available. Thats 3.6p of earnings minimum which at 20x is 71p. There is lots of upside beyond that with further acquisitions and the contract wins that have been announced feeding though....I'll be looking to add quite significantly if we see 60p or below again
Willow67
09 Dec 2016
Re: Excellent new acquisition Agreed GretelI definitely don't want to be all doom & gloom about this because its probably another great acquisition but it's likely as they grow they will be more and more ambitious with their acquisition sizes and we are going to get diluted as they issue equity but don't offer exiting small shareholders the rights to participate. This deal pretty much empties their bank account.When they made the Gael acquisition they commented on this point: "The Directors appreciate that it would be normal when a company issues a material number of new shares for cash for that issue to be fully pre-emptive i.e. to incorporate an offer to all Shareholders. However, the Directors believe it would not be in Shareholders' best interests to incur the significant additional expense that would be required for such an offer to Shareholders to be implemented"Unfortunately we are just going to have to live with this. I would certainly love to get offered to buy more shares at 56p now. If feels like the growth here is accelerating so lots of good news to come so thats good compensation
gretel
09 Dec 2016
Re: Finncap increase target price by 13% More detail from Finncap's note today per another poster elsewhere:"...the acquisition of IPI Solutions Ltd, a profitable and cash generative governance risk and compliance software company already integrated to operate within the Ideagen product suite.IPI's own IP extends Q-Pulse's reach into manufacturing Industry processes, currently delivering annualised recurring revenue of £1.4m out of total run rate revenue of £1.9m. Net consideration of £5.54m includes £2.9m initial net cash consideration plus 889k shares (£500k at 56.2p), with deferred consideration of £2.1m over 24 months.Forecasts are increased 2% at revenue and EBITDA level in FY17 (April year end) and +7% revenue, +9% EBITDA, FY18. Target price increased to 78p."
gretel
09 Dec 2016
Finncap increase target price by 13% Finncap have increased their target price to 78p from 69p....[link]
gretel
09 Dec 2016
Excellent new acquisition Today's new acquisition looks excellent:[link] immediately earnings-enhancing- already known to IDEA and integrated with IDEA's software- £0.6m EBITDA rising to £0.8m on a £5.54m consideration looks a bargain- lots of recurring income- blue chip and new customer list with big aerospace names
