gerihatric
14 Oct 2016
RNS today the fact that HSBC is willing to give Telit a credit line for $116m implies to me that they are confident they will get their money back-and at 2.2% which reflects a low degree of risk. If you borrow from Funding Circle or the like you pay 6% or more. I find this encouraging and so does Techmarketviews this morning
Dumbanddumber
27 May 2016
Re: Good analysis report on TCM About £2.75 at today's rates and so 20% upside from here, then based on that analysis?
mcescher
27 Mar 2016
Good analysis report on TCM I have been using this website for their discounted cash flow. They value TCM at $4 - [link]
bramthefrog
11 Mar 2016
Shorts JP Morgan have closed their short position - just need Ennismore to do the same- perhaps it will move up, but think the general market will hold it back.Bram
LuxInvest
26 Nov 2015
Unbelievable this stock......how is it even possible....it rises from 200 to 230 in 4 days, after which all gains are given back in 3 hours with so little volume....this surely must be manipulation!!
LuxInvest
17 Nov 2015
entered the same trap, but I cant imagine this being the case and I certainly hope it is not
LuxInvest
17 Nov 2015
Or there is really something wrong with the company and we all enterde
LuxInvest
17 Nov 2015
Well I agree on wether such à large portioneren op R&D should be capitalized, because if you add those to opex the ebitda would schrink to marginal levels and might be even negative....therefore the fcf when these capitalized costs are included is only marginally positive. But this is inherent to the business and industry and allowed them to grow so fast....also these capitalized costs were no issue when the stock went up towards 350p at the beginning of the year!!! So this stinks....either some shorters are collaborating with each other and with brokers like cannacord......manipulation....which can be seen when looking at price action and blocks traded! But why is this not reported to the fca or whatever????
LuxInvest
17 Nov 2015
The buyback announcement seemed à bit of à panic move to resterende confidence, but they clearly failed restoring this! I agree that buyback was à bit panick move, but it should confirm there are no liquidity issues within company....although for the share the buyback will actually worsen liquidity! I hope an announcement will come soon in order to resterende confidence, because otherwise this stock is sub 100p next week
LuxInvest
17 Nov 2015
However,seems there is no stop to this fall, cant be only due to the cannacord note alone, who takes them seriously anyways. But this prince action seems to be telling there is something going on that we dont know yet? I fail to believe they are comitting fraud or something like Globo, which is mentioned on the forum as well.....CEO has 20% in company so he would-be be robbing himself doping something like this.....also te board of directors consists of some well knowhow heavyweights. But stille way these moves? Stil plenty of growth and margin improvement potential left, so this crash does not seem justified!!
LuxInvest
17 Nov 2015
I thought the move from 350 to 250 was largely driven by illiquidity in combination with manipulating brokers....some large players buying blocks sub 250 which caused the bizar move of 100p down in à week
justfactual
08 Nov 2015
Re: Paul Scott Taken from a post by Marben...'want to put a couple of counterarguments. You (PS) say:"You have to run to stand still these days, so development costs are not in any way long term projects that should be capitalised."Now that is true, of course, where a business is not growing rapidly and introducing new product families. In the case of TCM, however, revenues have been growing at a healthy 27% CAGR. Much of that growth will be as a result of new product launches (not merely replacements for existing product lines).In that respect, development expense is directly analogous to a company having new tooling made and/or adding to factory space, in order to manufacture new products for sale. Can't recollect anyone suggesting that such costs should be expensed rather than capitalised.It's worth checking the amortisation policies in such cases. Paul is quite right that the life of tech. products is relatively short, compared to traditional manufactures and the amortisation rate for any capitalised development expenditure should be correspondingly high. Telit's policy is as follows:"Internally generated intangible assets are amortised on a straight-line basis over their useful lives, typically 3-5 years, from the date at which such assets are available for use. Where the internally generated intangible asset is not yet available for use, it is tested for impairment annually by comparing its carrying amount with its recoverable amount."That doesn't seem unreasonable to me.Finally, a number of posters have described Telit as a "software company". The vast majority of Telit's sales ($274m in 2014) are of hardware communications modules, which the company designs & manufactures for its customers. A large part of the capitalised costs will be the design, testing and obtaining regulatory approval of these modules.Yes, accounts would be "cleaner" if such development costs weren't capitalised, but is it unreasonable to do so? It has also been argued that doing so is mandatory under IAS 38, which states:"This Standard requires an entity to recognise an intangible asset if, and only if, specified criteria are met." '
acsatix
08 Nov 2015
Re: Paul Scott Yes man but I think he should be a bit more accurate. The reason for the fall wasSierra wireless and not globo. If we say that developed software as part of a project cannot be capitalised then by the same token when a company assets include developed software which became an intangible asset that should be immediately written off and deducted from goodwill. I guess Google does have on its books android or the code it runs for Google search or maps as intangible unless it has already amortised it ... I guess that he went on a tangent on expecting multi year development projects cannot be capitalised... I would venture to say that even patents would have to be booked as a loss then as to get a patent granted it takes a lot of money? So even goodwill should be prudentially marked to zero??
zulu principle2
08 Nov 2015
Paul Scott I'm a holder of Telit and of the view the shares look good value.However I'm not one of these rampers who slates anyone who thinks differently to me.Paul Scott is someone who's views I respect. Some times he is wrong but often correct.So to people who might invest here do a little research around what Paul is saying. If you are still not sure invest elsewhere or reduce your possible investment.
acsatix
08 Nov 2015
sierra wireless i think the main reason of the fall on friday was the sierra wireless outlook fo the current quarter well below market expextations. It sent sierra shares down 20% on friday.... so this was a read-through on telit shares. it should recover from here.
