Kier Group - KIE Stream Log

Ripley: Is this just rumour-mongering? Which CEO, which contractors and which banks?

Luckily, most of Kier's work is local authority and regional groups. Kier is known as a regional construction company. HS2 isn't a big part of its work. Only has 2 small HS2 contracts out of something like 30 that have been signed on. Neither has broken ground. Kier has around 1,000 regional projects; that's where it's market is. When all the builders dropped the other day on Brexit news, Kier didn't move 1p. Solid resilient order book, with new contracts won practically every day. Results out on the 19th next. Expecting some writedown, but as long as debt is not going up, some asset sales and any kind of profit, with good turnover, this share should take off. Currently it's priced to fail. Anything less than a disaster in the results and the share price will probably hit the broker targets of today (£2). Might be volatile between then and now, but I'm buying on any significant drops. Also, one hedge-fund shorter appears to be closing its short (Squarepoint) reducing every few days and will soon be at zero. The other hedge funds not moving yet.

Peel Hunt has a new rating out on Kier - Buy with a target price of 200p. Widely reported (am not posting a link) easily googled.

I agree frog; proroguing parliament seems wrong and most people think so. However, the political machinations do not seem to be affecting the Kier share price. Reasonable share volume and the share price is steady around £1.20 at the moment. Just three weeks until the results presentation.

Post-brexit, gov has promised massive infrastructure spending. Sajid David's speech has been deferred, probably so he can position his big spending on construction at a meaningful moment pre-election.

The investment case here is that Kier is massively undervalued. The share price doesn't reflect any kind of value. Even as a construction business with low margin business, this company is worth more than £200m (ie the current market cap). Underlying profit is over £100m annually. New management team committed to slimming down the business and using less debt. Even current debt is easily paid by Kier (very low interest rates). Sentiment has driven this to an unrealistic low point. The share price is likely to get boosted by shorters closing (ie creating buys as they cover their short), the sale of assets, any news which shows debt reduction, any news which shows the business isn't going bust. I reckon £3 is easily achievable, which would probably be a p/e of about 5, if current write downs are taken into account. Avoid if you're a nervous type though. Results are out in three weeks. Maybe take a look then.

Yes, share price has doubled recently. Shorts still seem to be the same. Not sure what bad news they could be expecting; recent RNS confirms debt is coming down. Construction Enquirer shows Kier as the top firm for winning contracts: [link] I'm seeing an interesting debate on ADVFN, pointing out that the rights issue and cancelled dividend has put over £300m into Kier's bank account. That's presumably why debt is falling. So far, all the metrics that I can find look good. Let's see what the actual profit is when they publish the end of year report in September. But since this doesn't seem to be another Carillion, it looks like the share price fall has been way overdone. I bought at 110p. Some big hedge funds involved so expecting price moves, but the recent broker note says £1.50 is a realistic target if it's not broke. There are loads of Kier jobs advertised too. Doesn't look like a bankrupt business!

There'll be a contingency cost for 'dusruption' in the project's risk planning, so ultimately, the client pays. Kier has about 900 other projects too. No anti-prison campaigners on most of them.

Kier went up 15% today btw. Closed at £1.34. Been climbing for 4 days now.

I'm reposting this because of the spammer below filling this screen (jeromedo). Regarding Kier, shorts are closing and people are buying in. Volume is high today and yesterday. Share price represents about 1.5 year's earnings; way too low. Broker notes put 150p as near-term target. I'm invested and aiming for £4 before year-end. Debt is reducing, even without selling Kier Living, according to the numbers in the recent RNS. All seems good as far as I can see. Hedge-fund inspired hysteria through shorting, people comparing it to Carillion. Now returning to normal. Not like Carillion after all. Debt is under control, good contracts, seems to win new ones every other day.