claude reins
03 Aug 2017
Re: SOM top AIM company quality list Not doing a lot for the share price at the moment!
Hardboy
02 Aug 2017
Re: SOM top AIM company quality list Thanks for posting that Gretel. I've got 2 on the list & I only have 5 AIM stocks. However using some measure which isn't really explained, and which the author may not actually know how to calculate always makes me wary. When using any measure, it is important to understand Exactly what it tells you (& in my experience this is a failing of many business managers in large companies.) With investing several people use RSI. But to my way of thinking a relative strength index which takes no account of volumes doesn't really reflect strength or weakness.
gretel
20 Jul 2017
Tipped by Jupiter fund manager [link] Jul 2017James Zimmerman, who runs the Jupiter UK Smaller Companies fund has revealed the UK small caps on which he is keen to invest right now.""The second stock he mentioned is Somero Enterprises. He said, ‘Somero Enterprises, which is up 128 per cent in the past twelve months, (is) a US-focused manufacturer of concrete levelling machinery, was also among the strongest performing positions over the past two years. Somero has a 99% market share globally in the leading concrete-laying technology, and after recently meeting with the company in Florida, I was impressed by the strength of its ongoing new product development, as well as the strength and longevity of its customer relationships with contractors that buy its equipment both in the US and the rest of the world.’"
Hardboy
18 Jul 2017
Re: Strong trading statement today I thought it was basically saying the same thing as their last trading statement, with the addition that June had been a good month; but I agree the future appears to be bright.
gretel
18 Jul 2017
Strong trading statement today Excellent trading update today, with SOM now definitively trading in line with expectations:[link] June trading and a good outlook going forward all bode well. All areas are now trading well except the Middle East - and China appears to be rebounding strongly.Very bullish outlook statement:"Jack Cooney, CEO of Somero, said:"With improved margins and positive cash flow generation, momentum in H1 2017 has continued and we are particularly pleased to see that our customers anticipate a high level of activity going into the second half of the year. We look to the period ahead with confidence and this is reflected in the Board's decision to pay a special dividend as announced in our previous trading update."
Hardboy
15 Jun 2017
Re: SOM investor presentation June 17 Listening to the presentation you get the impression that they are a company which tries to look after its clients and offers great service. Of course what they outline is just what everybody should do. And of course this is the company itself praising its service. I hope they are right.
piw
14 Jun 2017
SOM investor presentation June 17 Investor presentation (c.50 mins)[link] CEO, Jack Cooney, and CFO, John Yuncza.Audio and slides only.Jack Cooney, CEO:Why laser screed? – 00:16Somero unique selling points – 00:49Training & client support – 3
0A Somero customer – 5:50Applications of laser screed – 6:45End users – 7:31The important of specifications by multinationals – 10:10Key differentiators – 11:28Competition – 12:33The machines – 14:30Reconditioned machines – 17:27John Yuncza, CFO:Financial highlights – 9:12Operational highlights – 20:50Sales by territory – 22:48Sales by product – 23:38Operating results – 24:27Balance sheet – 26:36Cash flow – 27:25Current trading and outlook – 280Q&A – 33:25After sales revenues? 33:29Political uncertainty in trading update? – 357How has the year been going? – 37:28Sales in Asia? – 397Equipment finance options? – 41:43Sales to equipment rental companies? – 43:18Finance currency? – 45:49European sales? – 46:20Operating expense & revenue? – 47:58Fixed & variable costs? – 49:30Weather? – 50:15
Ramptastic
13 Jun 2017
Re: New tip for SOM On the other hand, IC has it as a sell from Friday.I reckon they are being a little over cautious as SOM clearly is a super company. However, any sign of a down turn in US construction and I'd be quick to cut.Jim
smilingmickey1
12 Jun 2017
Latest investor presentation (May2017) Latest investor presentation from web site dated May 2017.[link] to note that sales of "spares" seem to be significantly on the way up.
gretel
12 Jun 2017
New tip for SOM [link] Somero(LSE: SOM) offers a 7.1% yield this year, courtesy of a special dividend. Its concrete-laying machines create the best surfaces in the business. This exceptional quality has attracted a star-studded client list, including Walmart and Tesco, who include Somero products in planning specs to ensure the floors in warehouses are flat and strong.The boom in North American construction and online retail over the last five years or so has propelled operating profit from $1.4m in 2012 to $21.2m in the same period.Shares in the company dipped slightly earlier this week after the company reported a flat Q1 in North America. This market is all-important to the company and accounted for 71% of its revenues last year, but the sector looks healthy enough.Somero trades on a PE of 15 and yields over 7% this year, returning to a more manageable 4% next year. With a $12.7m warchest and a base dividend covered four times by last year's free cash flow, Somero surely looks attractive to income investors."
Hardboy
05 Jun 2017
Re: Good AGM statemnt today From the reaction of markets I guess the people that matter read it like my initial thoughts. i.e. Flat in the US is bad. Spending money on non productive things and increasing the overheads is bad. On reflection I still think this is the wrong view and see the TS as positive.
gretel
05 Jun 2017
Finncap increase target price to 350p Finncap have increased their target price to 350p today (from 325p).Looks like a few nervous nellies taking profits and concentrating on the historic hiatus in the USA rather than the overall context as I posted above - volumes are small and the MMs are taking advantage. It wouldn't surprise me to see a decent bounce.
Hardboy
05 Jun 2017
Re: Good AGM statemnt today Gretel, You were quick off the mark. I wasn't that happy with the initial part of the statement. Whilst their international businesses are growing nicely, over 70% of their income is still US based, so having flat income in North America is disappointing after their recent stellar figures. And then going on to talk about spending money on expanding the head office. All very nice and necessary for a growing company, but that is not investment which directly improves income (like investing in increased manufacturing might.) So although things are good I was getting a bit concerned that directors were rewarding themselves with new plush offices whilst taking their eyes off the ball of business in their home patch. However with a bit of considered reflection I agree with you. Things are still going the right way, and their is a lot of great growth ahead. The US's stagnation is temporary, and the market is still healthy; and even if China has not taken off yet, growth in other newer markets is going well; and as for the investment in the HO - it is a small bite into the cash pile; and less than a quarter of what they are going to return to shareholders.
gretel
05 Jun 2017
Good AGM statemnt today in overall terms:- trading in line with market expectations for the year to date- and a whopping 10p+ special dividend for holders on 28th JulyAnd this achieved despite weather-related delays in the USA and slow growth in China! Strong European trading and elsewhere has driven the growth. With the USA and China recovering, prospects remain good, reflected in the special dividend, the additional HQ expansion and the growing cash pile.
gretel
09 May 2017
Yet another tip just out.... [link] under-the-radar growth stocks with huge upside potentialIan Pierce | Monday, 8th May, 2017 Ensuring concrete floors are laid laser-level is not the most exciting business in the world, but shareholders of Somero Enterprises (LSE: SOM) certainly don’t care because they’ve seen the value of their shares grow over 1,300% in the past five years alone. And with a major competitive advantage over rivals, a huge potential market size and very capable long-standing management team the future is bright for this fast growing small cap.The key to the company’s success lies in its revolutionary Laser Screed machine it patented in 1986 that ensures concrete floors are laid incredibly level. This may seem mundane but it is critical for the warehouses of end users such as Amazon, Wal-Mart and Tesco as it increases efficiency, lowers maintenance costs and lessens the risk of catastrophic failure such as huge shelving units falling over.Having pioneered this technology, Somero has built upon its first-mover advantage by continually inventing and patenting better machines and promising customers 24/7 global support from engineers in any major language as well as on-site training and next day in-person support across the globe. This has made the company the Rolls Royce of concrete levelling and built it a huge moat to entry against competitors that has stood for over 30 years.The growth prospects for the business are also quite impressive. In 2016 $56.6m of the company’s $79.4m in sales came from its home territory of North America and even in this relatively more saturated market the company increased sales by 15% year-on-year. With sales in other huge markets such as Europe and China accounting for only $8m and $6.4m in sales in 2016 it is clear there is space to grow many times over as the company brings on new sales staff to target these regions.While investing in AIM-listed small caps can be worrying for some investors, Somero’s corporate governance mechanisms and its CEO, who has been at the helm for 20 years of rapid but sustainable growth, reassure me greatly. There’s also the company’s healthy balance sheet with $20m in net cash, EBITDA margins that rose to 31% in 2016 and continued focus on prioritising customers rather than short-term investors. Add in a sane valuation of 14 times forward earnings and a respectable 2.77% dividend yield and Somero is a company I believe has great prospects."
