Dhaka John
15 Oct 2015
Why the long drop Strange that this keeps on downward trend. No bad news, seem well managed and good econ background here and spain so should be a recovery play. Is there something us punter don't know?
MJS1234
01 Jul 2015
Tempus Recommendation Northgate Revenue £614m Dividends 14.5p Investors will be relieved to learn that Northgate’s Spanish operation, the source of much grief in recent years, is now earning the sort of returns that will not lead to the board being put under any more pressure to sell the business. The van hire company has benefited from the unexpectedly fast revival of the Spanish economy, with something similar happening at its operation in Ireland. This has allowed it to gain a share of the market serving SMEs, while moving away from block contracts with national companies. The last business is less profitable, while it also means more wear and tear on vehicles, which reduces their resale value. Something similar is happening, in a more limited way, in the UK. Spain is now generating returns on investment, the best measure of performance for such businesses, of almost 13 per cent, not much behind the UK. Figures for the year to the end of April are distorted by changes to depreciation, underlying profits up by 41 per cent to £85 million. Northgate shares, perversely, fell by 43½p to 575p. They sell on 12 times this year’s earnings, which does not look expensive in the longer term given its strong market position. My advice Buy long termWhy Multiple looks attractive given strong market position
MJS1234
01 Jul 2015
Re: Good result so why the big drop in sp Tempus agrees with you and I do as I doubled up yesterdayGLTAMJS
Dhaka John
30 Jun 2015
Good result so why the big drop in sp Am I missing something, result update looks but huge drop in sp (even before results came out)? "Northgate, the UK and Spain's leading specialist in light commercial vehicle hire, has announced that for the year ended 30 April 2015 there was an increase in underlying profit before tax to £85.0m (2014 - £60.3m).Profit before tax rose to £83.0m (2014 - £51.2m).There was a 45% increase in dividend per share to 14.5p (2014 - 10.0p)."
albent
08 Apr 2015
Interesting income payer however with suspect financial health. Check out this infographic report on Northgate (LSE:NTG): [link] useful.
