72_fastback
30 Mar 2017
Re: RPC GROUP, STRONG UPDATE "Shares magazine says dup the stock as there are shorter on this stock."Does Shares Mag have anything to back that up?The FCA daily short positions data doesn't show anyone having a reportable (i.e 0.5%) short.[link] seemed OK to me - certainly nothing to scare the horses - so I am happy to ignore short term noise and hold.Numis reiterated their 'Buy' rating and 1200p target today too.
Willow67
30 Mar 2017
Re: RPC GROUP, STRONG UPDATE Time to keep calm and not worry too much in my view.
peddlar
30 Mar 2017
Re: RPC GROUP, STRONG UPDATE Something does not quite equate with the statement.Nothing new ,except that the future is bright!!!So why such a drop.Shares magazine says dup the stock as there are shorter on this stock.I have reluctantly sold all.Might be wrong but can't handle too large a loss.Good luck hope this goes up,as it should.
r21442
30 Mar 2017
Re: RPC GROUP, STRONG UPDATE Seeing multiple trades at the same suspiciously random number of shares 499, 406, 308....
r21442
30 Mar 2017
Re: RPC GROUP, STRONG UPDATE You really think these money worshipers care. More likely the recognition gives them an ego trip.
Clued-in
30 Mar 2017
Re: RPC GROUP, STRONG UPDATE If it is manipulation then the Regulator she be involved. Naming individuals in these firms is to become the law soon rather than these dishonest leople hiding behind their firms.
Moonsurfer
30 Mar 2017
Re: RPC GROUP, STRONG UPDATE Small trades.Very small trades are often present when an sp is falling for no apparent reason, and yes, I do believe that this can signal organised price manipulation.In the last hour , trades of 6, 24, 3, 1, 11, 15, 1 and 23 shares are shown. There are quite a few trades higher but still below 100 shares. It is more difficult to class these as "suspect".However, on shares of much lower price, it is pretty obvious that trades below 100 shares are all pretty suspect. Small trade numbers are repeated again and again. I have seen this many times over the years.I can prove nothing. I am not paranoid about it. The MM's must know who are making these trades but business is business !Moon
Clued-in
30 Mar 2017
Re: RPC GROUP, STRONG UPDATE Exactly ! Who is manipulating this share price. 'Significantly ahead' is very very positive, what more does the market want ?
oldjoe1
30 Mar 2017
RPC GROUP, STRONG UPDATE>>>>>>>>> <b>BRIEF – RPC sees FY revenue to be significantly ahead of last year</b>30-03-2017 07:15March 30 (Reuters) – RPC Group PlcPre close trading statementRevenues for financial year 2016/2017 are anticipated to be significantly ahead of last year<b>Overall performance has been encouraging with adjusted operating profit for year ahead of management expectations.</b>Group's financial position remains robust with good cash flow developmentBoard will continue to implement vision 2020 focused growth strategyIs looking to grow selectively in a consolidating industry whilst further enhancing its strategic buying position - ceoSource text for Eikon: ... Further company coverage: RPC.L([email protected]
Heorot
28 Mar 2017
Re: Share price is a shambles third of my holding
Heorot
28 Mar 2017
Re: Share price is a shambles I agree. It does look dodgy so I have arranged a trailing stop loss sell of two thirds of my holding at 10p off the peak price going forward. This will recover my outlay and still retain a this of my holding at essentially nil cost.
The Dutchman
27 Mar 2017
Re: Share price is a shambles We'll see - I have sold about 20% of my various holdings. Where to re-invest though??
72_fastback
27 Mar 2017
Re: Share price is a shambles I notice Paul Moran didn't feel strongly enough to either put a price target on RPC, nor open a (reportable) short position (see [link] from a blog that quoted Moran: "We believe RPC is a business that is stuck in a structurally weak position, caught between a weakening relative price position with customers and its labour cost inflation. These trends will worsen we think. It is our view that management is using a dramatic step-up in acquisitions in the last 12 months (10 deals and a doubling of revenues) and some of the most aggressive accounting we have seen, to help mask these risks. Given a history of weak free cash flow generation (FCF) and a levered balance sheet, RPC’s acquisitions require rights issues – and therefore, a compelling equity story. This is an equity story the sell-side has been very bullish on for many years, perhaps because of underwriting deal fees on offer. Multi-year restructuring programmes and acquired synergies have delivered surprisingly little real gains in true net income or FCF in our view. Innovative management incentives and definitions of returns on capital or return on assets, are encouraging value destructive deals we think. This can be clearly recognised in the erosion of returns on capital, which on our analysis, are now well below the cost of capital. After the FY16 accounts, where the raw material tailwind effect failed to materialise, management sold a significant amount of stock. In H1, this tailwind effect was even weaker on our analysis. We think consensus assumes the drag from one-off costs disappears and ‘adjusted’ profit matches the true underlying profit figure. We disagree and believe that a strategy to buy industry peers in other segments or geographies, with modest synergies, doesn’t alleviate structural threats of pricing power and cost inflation, it just reinforces them. We accept that a rights-issue funded, value destroying roll-up story can continue to report ‘adjusted’ EPS growth for as long as shareholders are willing to fund it. But should the hitherto supportive appetite for rights issues fade, we think shareholders will find a structurally challenged, low margin, highly levered, sub cost of capital business trading on c.23x Mar-18 P/E on our estimates, an undeserved 50% premium to the market. The unusually poor reaction from the market to a recent large acquisition suggests to us that cracks in the story are beginning to appear. We think it is best to get out now. Sell."There is nothing I have seen to suggest that this analyst is in a better position to judge RPC's prospects than anyone else (in fact he seems to have spent most of the last 20 years not being an analyst at all! [link] disagree with his opinion that RPC is in a "structurally weak" position. I would say that recent acquisitions (like the lid maker - Global Closures?) were entirely appropriate in a fragmented market. At the moment he looks to me like someone making a lot of attention-seeking noise about a successful firm that has had a good run. I don't expect any share to only ever go up (sadly).Reported FCF was up 107% at the interim, and the balance sheet doesn't seem unduly leveraged (because, as Moran points out, RPC uses rights issues to fund acquisitions).I am happy to hold at the moment. We have a trading update on Thursday and if that is poor or causes other analysts to downgrade RPC I'll consider my options then.My opinion only - good luck whatever you decide.
The Dutchman
27 Mar 2017
Re: Share price is a shambles I must admit to some anxiety about this company, what this analyst has said is just the sort of thing I was worried about in my second post of 1 March. Is there any way of getting a full text of his research. I would be very interested in the accounting issues. In the meantime I think I'm going to start reducing my position here which is my largest single company holding and quite significant to me .
Willow67
24 Mar 2017
Re: Share price is a shambles I'll hold on but I will reduce my holding at some point. I don't like the way they announced a rights issue in a really casual way, unconditional on their acquisition going through. Leaves me feeling uncomfortable compared to how one of two other companies I know well handle the same situation.
