Hardboy
06 Nov 2017
Re: Open Offer That's right - different from a Rights Issue, as I don't think you can sell the rights (but don't take my word for that.) It's simpler to administer and cheaper than a Rights Issue, so that's good from the company point of view, but not as cheap as a placement, which basically cuts out the Private Investors, so I'm glad they've not gone down that route. I agree it's not that much of a discount to the share price when it was announced, which may make it less attractive; but I've been boring this discussion board for ages saying the share price vastly under values the company, and if the share price doubled it would still look cheap. I suspect a lot of income funds have this on their books, and they will be applying for their full allocation plus lots - the chances of buying a shares offering a well covered progressive yield of around 4.5% (without brokers' costs or stamp duty) would be very attractive to them.
The Darkyhorse
06 Nov 2017
Re: Open Offer Yes Hardboy. It would appear the directors see it that way, but not much of a discount to current Sp?....Also as I understand it. Different to a rights issue and not able to sell any rights as such?
Hardboy
06 Nov 2017
Open Offer The acquisition sounds very sensible - it sounds like a good fit with the rest of the business, and hopefully one which they can exploit further than the current owners, which should, with other synergies, make it earnings enhancing very quickly.The open offer will be interesting to see how much in demand this share really is at this price. Always difficult to know how much to go for. I've applied for my full allowance plus just over the same again. Part of me wants to get all I apply for, but part of me wants the open offer to be greatly over subscribed.
Hardboy
14 Oct 2017
Re: Numis I wonder if Numis will give me a job
nk1999
13 Oct 2017
Numis ....... target 300p. From Citywire:"Norcros is ‘significantly undervalued’, says NumisShares in bathroom supplier Norcros (NXR) have dipped and Numis believes investors are significantly undervaluing the business. Analyst Christen Hjorth reiterated his ‘buy’ recommendation and target price of 300p on the shares, which jumped 6.5% to 179p yesterday.‘Norcros’ share price is down 5% year-to-date and the group now trades on a [forward] price/earnings ratio of 5.7x and dividend yield of 4.8%,’ he said. ‘We continue to believe that this significantly undervalues a business that has recorded revenue growth of 8% compound annual growth rate (CAGR) ove the last four years and profit before tax growth of 19% CAGR.’The most recent update from the group also shows ‘that strong organic progression is being maintained, and with balance sheet optionality, we believe that incremental growth could be driven through mergers and acquisitions’, said Hjorth. "
The Dutchman
12 Oct 2017
Re: Update I agree - positive on all fronts. I may top-up, but first I will check what my stake already is!
seadoc
12 Oct 2017
Update Someone likes it:[link] do,rRegards,Seadoc
bizana
21 Sep 2017
RNS In July Canaccord put a target price of 315p on NXR. No kidding.Now they hold 15%.Intereting or not?
Hardboy
27 Jul 2017
IMS Another good trading update, and a little bit of a reaction today.How long is the market going to keep this undervalued, in the face of strongly rising sales & profits?
nk1999
06 Jul 2017
Canaccord From ADVFN:"Analysts at Canaccord Genuity hiked their target on shares of Norcros, telling clients it was "potentially" the most undervalued stock in its sector.The branded showers and bathroom accessories provider's finals on 14 June had come in comfortably ahead of their estimates and progress on its pensions deficit, UK core brands and South Africa.On the back of the above, they revised up their estimates for the company's revenue and earnings before interest, taxes, depreciation and amortisation over the next two years by roughly 3% and 12%, respectively."
Hardboy
22 Jun 2017
Alliance Trust Their thoughts: "The small cap whose share price could rise 75%Shares in showers and taps specialist Norcros are cheap and offer an attractive dividend yieldShares in bathroom fit-out specialist Norcros (NXR) look cheap despite the company delivering an eighth consecutive year of revenue growth in the 12 months to 31 March 2017. At 173p, the shares trade on 6.1 times stockbroker Numis’ forecast earnings per share of 28.5p for the year to March 2018. They also offer a prospective yield of 4.5%. The expected dividend payment is covered just over 3.6 times by forecast EPS, which is a very healthy ratio.The discounted valuation suggests the market believes earnings forecasts cannot be achieved in the current macro-economic environment as well as concern about pension liabilities.Chief executive Nick Kelsall tells Shares managing the pension liability, which fell from £97.8m to £62.7m in the second half of the latest financial year, does not impede day-to-day running of the business.He is reassuring about management’s ability to achieve growth even in uncertain times as the company tries to increase market share.Norcros’ best-known brand is probably the Triton range of showers. It is focused on the UK and South Africa. The South African operation, which Kelsall says was once a ‘problem child’ for the group, delivered 8% revenue growth at constant currency in the year to 31 March 2017.Shares says: "The stock is attractively valued. Numis has a price target of 300p, implying nearly 75% upside for investors over the next year."
deepsleeves
14 Jun 2017
Re: Finals DuchyThe idea that any profit never mind anytthing under IFRS is "real" is truely illusinary and dreamt up by the point heads of the accountancy insitutes.Follow the cash. Even auditors can usually check bank balances in a competent way.Deep
The Dutchman
14 Jun 2017
Re: Finals The 'Real' ie IFRS profit after tax, is down from 13m to 8.5m. I realise that all the adjustments to get to Underlying profit are meant to be one-off, not underlying items, but are they really?
deepsleeves
14 Jun 2017
Re: Finals HardboyNot sure about a re rating. Yield is 4.1% on todays £1.75.Personally if it keeps uping dividend by 5% or more and cover remains somewhere near 4 times I will be more than happy to hold regardless.Pension deficit is a worry but once bond yields increase it will evaporate and they will eventually have to increaseCould be sooner than later as when we leave the EU yields will need to increase to attract buyers for our increased borrowing demand.Deep
Hardboy
14 Jun 2017
Finals As the opening comment said - good performance in difficult market.15% rise in sales (10.6% @ constant forex) is pretty good given the economy in here & SA, IMHO. The results give this a PE of 6 (for a business offering consistently growing profits - ridiculously cheap) & a yield of 4.2% after another healthy rise. The Pension Deficit is still a worry, but it seems manageable.At some stage this will surely get a re rating to a more sensible valuation.
