Redde Northgate PLC Equity Research & Stock Reports

Equity Research, Broker Reports, and media content on Redde Northgate PLC

Access the latest forecasts, broker valuations, multiples, and video content from the city about Redde Northgate PLC
See live updates from analysts, company announcements, and other news in a personalised/single dashboard

29 Nov 19

Redde

Proposed share-for-share merger with Northgate

Companies: Redde Northgate PLC

Arden Partners

30 Oct 19

In line Q1 performance, value clear with 10% yield

Redde’s brief AGM statement outlines an in line Q1 performance. We do not make changes to our forecasts ahead of the key Winter trading period, and will review our estimates at the HY update in December. We believe that the valuation – 9x fwd PER and 10%+ dividend yield – remains at too great a discount, with the recent contract loss overplayed against a backdrop of developing relationships. A 12x fwd PER would point to a 160p/share intrinsic value, with an accompanying 7% yield.

Companies: Redde Northgate PLC

Singer Capital Markets

30 Oct 19

Small Cap Feast

African Export-Import Bank a supranational financial institution whose purpose is to facilitate, promote and expand intra- and extra- African trade, of its potential intention to publish a registration document, the Bank hereby confirms its intention to proceed with an Initial Public Offering. The GDRs are expected to be admitted to the standard listing segment of the Official List of the FCA and to trading on the Main Market of the LSE. DNEG Limited intends to apply for admission of its Shares

Companies: 21W SNX AVG SAR BGO HSP KEFI TERN IHC PTR

Hybridan

21 Oct 19

The legal services read across from recent bids on CTR and MUR

At a time where UK public market valuations remain subdued, especially given GBP weakness, it seems reasonable to assume the potential for opportunistic private bids may increase. We have long argued the merits of certain business services companies with exposure to the legal sector, and we believe recent private interest in the space supports this. In our view, the demonstrable private intrigue may provide a floor to valuations, leaving significant upside risk; if the public market does not cor

Companies: 21W ANX NAH GTLY INCE

Arden Partners

05 Sep 19

Finals in line, valuation too deeply discounted

We appreciate that Redde’s contract loss earlier this year has caused some consternation, but we cannot reconcile the current 8x PER valuation which we think is too deeply discounted. Finals are in line, and several events reinforce the quality and integrity in the business model. We make no material change to earnings and observe the indication that the dividend will be maintained until working capital has been released – resulting in a flat progression. We see considerable shareholder return;

Companies: Redde Northgate PLC

Singer Capital Markets

12 Jul 19

Forecast updates & customer analysis

Last week’s pre-close statement provided several updates, with the two main items being that H2 trading was in line with the Board’s expectations and there will be a five-month extension to the large contract that was lost in March.

Companies: Redde Northgate PLC

Arden Partners

03 Jul 19

In line FY update, contract run off prompts upgrade

Redde has issued an in line FY trading update, with case volumes as expected through H2. There have been a number of contract wins and a significant renewal. The run off on the lost contract (previously announced) will now be better than expected – prompting a 4% upgrade to our FY20e PBT forecast. Redde trades on 8x PER and an 11% dividend yield, with the reaction to the contract loss having persisted.

Companies: Redde Northgate PLC

Singer Capital Markets

11 Mar 19

Contract lost, 8-9% earnings impact in outer years

Redde has lost a large insurer contract. This has no impact on FY19e earnings, but prompts an 8-9% reduction in outer years. Working capital will be released as a result. The reduction in earnings increases the payout ratio but our dividend forecasts remain covered and we leave them unchanged. The dividend is flat yoy in FY19e, before resuming growth. The valuation is at a new low since optimisation began in 2012 – with an 8.0x FY20e PER with a 1.1x covered 11.7% dividend yield.

Companies: Redde Northgate PLC

Singer Capital Markets

27 Feb 19

Small Cap Feast

United Oil & Gas (UOG.L) an oil and gas exploration and developm ent com pany brought to the Official List (Standard Segment) in July 2017 by way of a reverse takeover of Senterra Energy plc. No capital to be raised, expected market cap of £17m and expected 1 March Techniplas –global producer and support services company providing highly engineered and technically complex components, making the supply chain to original equipment manufacturers more efficient. FYDec17 rev $515m. Polemos, to be ren

Companies: PGDC 21W AVG IGE VAST ROCK JAY BKS NTOG TRS

Hybridan

27 Feb 19

Earnings in line, maintaining dividend to fuel growth

Redde has reported in line H1, however the dividend is lower than expected – maintained at 5.5p (vs N+1Se 6.0p). Strong growth continued, funded by FCF, driving 8% growth in adj. PBT to £23.6m (48% of FY19e). In order to fund further growth, dividend cover will be increased to rebuild cash. We leave our earnings forecasts unchanged – noting a strong start to H2 – but reduce our DPS forecast to flat yoy in FY19e, before resuming growth trajectory FY20e. Even after our changes, Redde offers a rich

Companies: Redde Northgate PLC

Singer Capital Markets

01 Feb 19

Most popular equity research this week | 28 Jan - 1 Feb

See what's trending this week...

Companies: MODWJAHMIARSATYM21WRBMTFAVONCSRTCGSTIDEELMFPOHEADHILSHTGAMSMACFMKLWOXIGAPPSCPARSWRNOSUSKCTTRIVIDIQEZTFDEMGEMRBLVNGRIHDYSHGRKHJHDTRAKSOLGVNETJET2LAMZOOHBRCALLHURCAMLANXPCARBGPKGHTWDPIERHAYDFLO7DIGSPERORGTLYW7LJOGPRSMKEYSINDIIBPORBWABBYGENLFSTGEECIO7

Research Tree

18 Dec 18

In line, forecasts unchanged: growth sustained

Redde has issued an in line trading update covering H1 to date. Revenues and trading profits have grown year on year. We already assume some growth in our forecasts, and so leave our estimates unchanged. We will review our model again at the interims (27/2) once the key winter trading period has been completed. Redde continues to offer a strong 7%+ dividend yield which we feel does not reflect earnings quality. At a 6% yield, this would imply a >200p/share intrinsic value.

Companies: Redde Northgate PLC

Singer Capital Markets

03 Nov 18

Most popular equity research this week | 22 Oct - 2 Nov

See what's trending this week...

Companies: HMIARSATYM21WRBMTFAVONCSRTCGSTIDEELMFPOHEADHILSHTGAMSMACFMKLWOXIGAPPSCPARSWRNOSUSTRIVIDZTFDISWMHAMERFPMDEMGEMRBLVNGRIHDYCKTSHGSXXRKHJHDTRAKSOLGPHDVNETJET2LAMPINECALLHURCAMLAREANXPCARBGPKGHTWDPIERHAYDCAKENAH7DIGRORGTLYW7LJOGCRDLKEYSGYGINDIIBPORBWABBYFLTRENTGENLFSTGEEC73SIO7

Research Tree

24 Oct 18

Morning Song

Redde (REDD LN) Positive start to FY19e, forecasts unchanged | Xaar (XAR LN) Appointments of CFO and Company Secretary

Companies: Redde Northgate PLC (21W:FRA)Xaar plc (XAR:LON)

Singer Capital Markets

24 Oct 18

Positive start to FY19e, forecasts unchanged

Redde has maintained a positive trajectory into the new financial year. The finals in September reported a solid performance in the first months of FY19e, with today’s AGM statement now indicating this has continued through the Autumn months too. Redde continues to trade on a 7% dividend yield – unwarranted in our view given the repeating case flow from blue chip insurers and the value of the protocol relationship to insurers. At a closer yield to the market, a 5% dividend yield would imply a 25

Companies: Redde Northgate PLC

Singer Capital Markets