gamesinvestor
30 Aug 2017
Re: In for more! - Target and Optasense LK -- Diclectin was a peripheral part of the last deal they did, and it's already approved in Canada and the US -- It's a paperwork exercise and it wasn't built into the numbers.Overall it's a stable and steadily growing business and isn't reliant on the patchiness of government spending, save NHS, which much of it's over the counter stuff is not really that reliant on.I wouldn't dismiss it too quickly, like I did with QQ LOL, even though I'm keeping an enquiring eye on QQ.The thing with APH is it's less likely to go txts up like a Chemring, Meggit and too a lesser extent, in the short to medium term at least, QQ.Games -- I'm looking for companies that don't light my fire as you point out, but one's that though possibly of tedious nature, tend to deliver a steady up and to the right trend.
LK Hyman
30 Aug 2017
Re: In for more! - Target and Optasense Games,"there is a complete A-Z list on the web site"Yes, I saw that, m8. When I saw what happened to Diclectin I nearly threw up [do you see what I did there?]LKH on the flybridge
gamesinvestor
30 Aug 2017
Re: In for more! - Target and Optasense "margins can't be that crash hot?"LK -- Alliance's operating margins are 24%ROCE up at 87%Dividend 2.4% covered 3.3X -- loads of scope for uprating thisDividend growth rate 11% per annum over the last 5 yearsP/E -- 12Forward P/E 11 with growth estimate of 11% --- PEG = 1Founder still a significant shareholder and driver of the biz - something you normally likeMore than doubled Rev and Profit in 5 yearsStrong Balance Sheet - with borrowings 2X profitsYou quoted two products, then there is a complete A-Z list on the web site that has been growing through acquisition or licensing for years and the product sales are very repeatable -- a bit Unilever like -- if you like!![link] to a GSK or AZN that are hocked up with debt, and never seem to be able to find another block buster drug despite many expensive reapeated attempts -- and in AZN's case a meglomaniac from France spending shareholders funds that he no longer has.What's not to like is the old sayingGames -- Thinking of taking profits on Britvic and adding to APH
LK Hyman
30 Aug 2017
Re: In for more! - Target and Optasense Games,"It [Prednisolone] seems to work a treat."It's also incredibly cheap .... margins can't be that crash hot?LKH etc
LK Hyman
30 Aug 2017
Re: In for more! - Target and Optasense Games,Hmmm. I see that Alliance Pharma sells Paludrine. I used to take that stuff for malaria prevention back in the day, if memory serves. And our family dog takes Prednisolone to stop her scratching. It seems to work a treat.Unfortunately that's about it, so far as my knowledge of tabs goes. Lip balm ... do people still buy that?Yeah, it could be OK but I can't see an immediately compelling reason why I should buy it.LKH on the flybridge analyst in chief
gamesinvestor
30 Aug 2017
Re: In for more! - Target and Optasense LK -- and Alliance Pharma?Games
LK Hyman
30 Aug 2017
Re: In for more! - Target and Optasense Games,Thanks for the tip, m8, but I'm afraid that the phone biznay in Douglas chust doesn't light my fire!I once had a plate of delicious Queenies on the front in Douglas, but that is the extent of my investment in the IoM.LKH on the flybridge
gamesinvestor
30 Aug 2017
Re: In for more! - Target and Optasense LK -- If you are looking for new ideas along the lines of low EV/EBITDA then Manx Telecom might be a candidate for you and Alliance Pharma.Manx is EV/EBITDA stands at 10Alliance -- is also pretty modest -- need to check the number on thisGames
gamesinvestor
29 Aug 2017
Re: In for more! - Target and Optasense "EV/EBITDA ratio is a mere 7.5"It is and compared to the likes of Meggit and Chemring, the lack of debt makes it relatively cheaper, so it has that on it's side and low debt makes optasense in many respects.Games
LK Hyman
29 Aug 2017
Re: In for more! - Target and Optasense Games,My research suggests that Bill's much-loved EV/EBITDA ratio is a mere 7.5, which makes this puppy pretty cheap in my eyes. Also, amazingly, there's a fat pension scheme surplus of (from memory) some £145 million. There must be some way of snaffling some of that for shareholders' benefit, surely?Other than that I'm beginning to wonder what it was that made me put QQ onto my Top of the Pops. I think it was largely such soft factors as thinking that I ought to support a company that is at the forefront of keeping Blighty's security up to date. Also the Empire Test Pilots' School is a worthy cause.It certainly doesn't look as if the Meggitt target biznay is gonnae be a huge money spinner, though it must be a helluva lorra fun to launch those Banshees and see if the RAF can shoot 'em down.LKH on the flybridge in reflective mood
LK Hyman
29 Aug 2017
Re: In for more! - Target and Optasense Games,Yeah, I know whatchoo mean about Optasense not actually selling much of their incomprehensible kit. As regards the Talon black robots I think they've sold a lot more than 10 or 20, at least judging by my main source of intel ... YouTube. Take a look at the capabilities of them puppies here:[link] yes, I grant you, a well placed hoof with a Jesus Wellie on the part of a terrorist would have the Talon flailing around on its back unable to get back on its tracks but one would hope that it would have wiped out the bad guys first. Wouldn't it be great to send a sabre squadron of Talons trundling down the main drag in Pyongyang? That would put the fear of God into the Youngster, no?I'm currently ploughing through the latest annual report and accounts for QQ while, coincidentally, being sat in the harbour here in Najin and will report back with any more thoughts on the investment attractions of QQ when I've had my supper.LKH on the flybridge ... mmm ... this bosintang soup is delicious; I wonder what's in it?
gamesinvestor
29 Aug 2017
Re: In for more! - Target and Optasense LK -- still reading up on QQ despite my early reservations on the WPP board.Do you have the drone FT link?Here is the link on the Target purchase, it's cheaper than Casamigos m8, but it ain't going to set the world on fire -- it might set a few targets on fire of course.[link] last years figures it bought it for almost 12X profits.Meggit said they sold it to concentrate on businesses that scale -- the assumption then is perhaps Target doesn't scale and maybe it's not going far -- is 12X too much do ya think?On Optasense, which seems to reside inside the Global Products division, the revenue is peanuts at £20M and yet it has seemingly been around a good few years and now has 141 bodies attached to it -- is audio a bit of an outdated technology to be monitoring fluid leaks and disturbances on pipes?On Talon, this resides in the American bit and is part of the Americans £50M revenue, but most of that is still services so how many Talons have they sold do ya think -- 10-20?Talon could be even smaller than Optasense --.looking on the bright side of course!!I think I know why they have not set any strategy, because there are so many many disparate parts to the staff and services addressing so many areas, mostly military, that the Chairman and CEO journeymen don't really know what to make of it all and just go out for nice lunches with their biggest punters -- i.e the MOD who represent 65% of the biznay.Or am I still too harsh here. The stock price has a lot of these uncertainties, if they are that is, baked into the share price and the fact that they have no-low debt and a few bob in the bank possibly gives them breathing space -- but at the end of the day, you have to be careful this doesn't end up like a Meggit or a Chemring.Games -- Adopting a military approach to analysis - pull no punches there Mr Mayweather!!
LK Hyman
25 Aug 2017
Re: In for more! Another reason to buy more QQ is their good position in drone technology. There's an excellent article in today's FT hypothesising a big rise in asymmetric warfare using swarms of tiddly little drones. Not sure exactly what the little guys will acksherly do but it looks as if there might be some money in it.LKH on the flybridge tracking steadily south west
LK Hyman
24 Aug 2017
In for more! I've had a further scan of QQ as an investment and I've concluded that it is oversold. Rock solid balance sheet with a couple of hundred million net cash; a hedge against sterling via the non UK businesses; Optasense and the Talons are a great pair of businesses; and my old Dad used to fly out of Boscombe Down.So I've plunged in for some more. It's reasonably uncorrelated with my other stuff as far as I can tell but who knows?What the heck ... it's only money.LKH on the flybridge I'm in ... I'm in deep ... or, rather, deeper as I already had some
LK Hyman
24 Aug 2017
Re: we're oversold Jack,"Mr Market confused........"Hmmmm. He's more confused today. Opportunity or value trap?LKH on the flybridge
