Equity Research, Broker Reports, and media content on Lombard Risk Management

  • Access the latest forecasts, broker valuations, multiples, and video content from the city about Lombard Risk Management
  • See live updates from analysts, company announcements, and other news in a personalised/single dashboard
  • 10 Nov 17
Most popular equity research this week | 6 - 10 Nov

See what's trending this week...

Companies: SEEFOGWRLNETAVOND4T4IDOXIGPIOMKCOMSDMTEPUNGIQENAUTKBTAMOLRMEOGMAIALTSRTTRAKNASAPHDBOTBZOOARTAPPCHURVIPRCNQXTKWSONEVTAXIOGCYANABALPMGCITYQTX7DIGFEVRTPOPSPECTPRTHMCHARSSYSIMTRMRWANDSTR932MMXDTC
  • 10 Nov 17
Most popular equity research this week | 6 - 10 Nov

See what's trending this week...

Companies: SEEFOGWRLNETAVOND4T4IDOXIGPIOMKCOMSDMTEPUNGIQENAUTKBTAMOLRMEOGMAIALTSRTTRAKNASAPHDBOTBZOOARTAPPCHURVIPRCNQXTKWSONEVTAXIOGCYANABALPMGCITYQTX7DIGFEVRTPOPSPECTPRTHMCHARSSYSIMTRMRWANDSTR932MMXDTC
  • 09 Nov 17
The Joy of Techs

This quarter we use finnCap’s Slide Rule to provide both top-down and bottom-up analysis of the UK’s Technology and Telecoms sectors. Our findings are very reassuring: the Tech sector scores the best (across all sectors) when considering Growth and Quality – Taptica*, Frontier Developments* and dotDigital* in particular stand out on these metrics. Given these attractive characteristics and growth prospects, the Tech sector is unsurprisingly one of the most expensive – currently trading at 17.2x FY1 EV/EBIT and 23.8x FY1 P/E, versus 15.0x and 18.5x respectively for the wider market. Despite valuations appearing high, we believe there are value opportunities. For example, Proactis* features in finnCap’s QVGM+ portfolio (ranked 17/462) – the company offers attractive organic and inorganic growth, with earnings forecast to grow by 26% CAGR over the next two years, but despite this, only trades on 15x FY1 earnings and offers 8% FCF yield in FY2.

Companies: 7DIG ALT AMO ARTA BOTB BLTG CTP CITY D4T4 DTC DOTD ELCO FDEV GBG IDEA IDOX IGP IOM KBT KCOM KWS LRM MAI MMX NASA NET PHD QTX QXT RCN 932 SEE SIM SPE SRT STR TRMR TAX TEP TPOP TRAK UNG VIP ZOO CYAN ONEV SSY ABAL WJA

  • 09 Nov 17
The Joy of Techs

This quarter we use finnCap’s Slide Rule to provide both top-down and bottom-up analysis of the UK’s Technology and Telecoms sectors. Our findings are very reassuring: the Tech sector scores the best (across all sectors) when considering Growth and Quality – Taptica*, Frontier Developments* and dotDigital* in particular stand out on these metrics. Given these attractive characteristics and growth prospects, the Tech sector is unsurprisingly one of the most expensive – currently trading at 17.2x FY1 EV/EBIT and 23.8x FY1 P/E, versus 15.0x and 18.5x respectively for the wider market. Despite valuations appearing high, we believe there are value opportunities. For example, Proactis* features in finnCap’s QVGM+ portfolio (ranked 17/462) – the company offers attractive organic and inorganic growth, with earnings forecast to grow by 26% CAGR over the next two years, but despite this, only trades on 15x FY1 earnings and offers 8% FCF yield in FY2.

Companies: 7DIG ALT AMO ARTA BOTB BLTG CTP CITY D4T4 DTC DOTD ELCO FDEV GBG IDEA IDOX IGP IOM KBT KCOM KWS LRM MAI MMX NASA NET PHD QTX QXT RCN 932 SEE SIM SPE SRT STR TRMR TAX TEP TPOP TRAK UNG VIP ZOO CYAN ONEV SSY ABAL WJA

  • 01 Nov 17
Small Cap Breakfast

Ten Lifestyle Hldgs. Technology-enabled lifestyle and travel platform providing trusted concierge services to the world's wealthy. Net revenue increased from £20 million in the year ended 31 August 2015 to £33 million in the year ended 31 August 2017, a compound annual growth rate of 29%. Offer and date TBA. AfriTin Mining—Demerger from Bushveld Minerals (BMN.L). Offer TBA. Due 6 Nov. The Uis Tin project (Namibia) is considered the flagship tin asset within the portfolio, as this was once the largest open cast tine mine of its kind in the world . Footasylum Ltd—UK-based fashion retailer focusing on the branded footwear and apparel markets announced its intention to seek admission to AIM. Expected value between £130m and £150m. Due Nov 2017. Central Asia Metals (CAML) -RTO of Lynx Resources. Anticipated market capitalisation at Admission: £404.8m. Raising £113m at 230p. Acquiring the SASA zinc-lead mine in Macedonia from Solway Industries. Due 15 Dec. OnTheMarket—Intention to float on AIM to raise c.£50m which will be used to fund the growth of the OnTheMarket.com portal, already the third biggest UK residential property portal provider. Expected valuation £200m to £250m. Orogen plc, to be renamed Sosandar plc on Admission. Sosandar is an online womenswear brand specifically targeted at a generation of women who have graduated from younger online and high street brands, and are looking for affordable clothing with a premium, trend-led aesthetic. Offer to raise £5.3m with market cap of £16.1m, expected 2 November 2017 OG Graphite, brownfield development-stage graphite company focused on the reactivation of its wholly-owned Kearney natural flake graphite mine and mill located 280 km north of Toronto, Canada. Offer TBA, expected mid November .

Companies: MERC EME RQIH SOLG LRM AEG BEG

  • 01 Nov 17
Small Cap Breakfast

Ten Lifestyle Hldgs. Technology-enabled lifestyle and travel platform providing trusted concierge services to the world's wealthy. Net revenue increased from £20 million in the year ended 31 August 2015 to £33 million in the year ended 31 August 2017, a compound annual growth rate of 29%. Offer and date TBA. AfriTin Mining—Demerger from Bushveld Minerals (BMN.L). Offer TBA. Due 6 Nov. The Uis Tin project (Namibia) is considered the flagship tin asset within the portfolio, as this was once the largest open cast tine mine of its kind in the world . Footasylum Ltd—UK-based fashion retailer focusing on the branded footwear and apparel markets announced its intention to seek admission to AIM. Expected value between £130m and £150m. Due Nov 2017. Central Asia Metals (CAML) -RTO of Lynx Resources. Anticipated market capitalisation at Admission: £404.8m. Raising £113m at 230p. Acquiring the SASA zinc-lead mine in Macedonia from Solway Industries. Due 15 Dec. OnTheMarket—Intention to float on AIM to raise c.£50m which will be used to fund the growth of the OnTheMarket.com portal, already the third biggest UK residential property portal provider. Expected valuation £200m to £250m. Orogen plc, to be renamed Sosandar plc on Admission. Sosandar is an online womenswear brand specifically targeted at a generation of women who have graduated from younger online and high street brands, and are looking for affordable clothing with a premium, trend-led aesthetic. Offer to raise £5.3m with market cap of £16.1m, expected 2 November 2017 OG Graphite, brownfield development-stage graphite company focused on the reactivation of its wholly-owned Kearney natural flake graphite mine and mill located 280 km north of Toronto, Canada. Offer TBA, expected mid November .

Companies: MERC EME RQIH SOLG LRM AEG BEG

  • 01 Nov 17
Morning Note

Lok’nStore* (LOK): Expanding the pipeline (CORP) | Revolution Bars (RBG): Revised forecasts (BUY) | OptiBiotix* (OPTI): SlimBiome supply agreement (CORP) | Velocity Composites (VEL): Strong H2 uplift delivers trading in line (CORP) | Lombard Risk Management* (LRM): Challenger bank selects AgileREPORTER (CORP)

Companies: LOK RBG OPTI VEL LRM

  • 01 Nov 17
Morning Note

Lok’nStore* (LOK): Expanding the pipeline (CORP) | Revolution Bars (RBG): Revised forecasts (BUY) | OptiBiotix* (OPTI): SlimBiome supply agreement (CORP) | Velocity Composites (VEL): Strong H2 uplift delivers trading in line (CORP) | Lombard Risk Management* (LRM): Challenger bank selects AgileREPORTER (CORP)

Companies: LOK RBG OPTI VEL LRM

  • 25 Oct 17
H1 sees collateral damage but FY affirmed

H1 was surprisingly challenging for the collateral management business, but management has sufficient visibility and confidence in the pipeline to reaffirm guidance for the company’s FY growth and profit expectations. A poor six months hampered by a fall in service revenue and contract delays does leave a mountain to climb in the second half, but the company feels it has sufficient momentum given the £9.2m contracted orderbook and record pipeline to achieve a demanding target. It is important that the operational accomplishments over the last 18 months are not lost in the gloom of an underperforming half: sales have moved up to a different level since 2016; operations are now truly global with growing success in Asia; a new development centre has been set up; and a partnership has been formed with Oracle. Given the board’s obvious confidence and the record pipeline, we leave our FY expectations and target price unchanged.

Companies: Lombard Risk Management
  • 25 Oct 17
H1 sees collateral damage but FY affirmed

H1 was surprisingly challenging for the collateral management business, but management has sufficient visibility and confidence in the pipeline to reaffirm guidance for the company’s FY growth and profit expectations. A poor six months hampered by a fall in service revenue and contract delays does leave a mountain to climb in the second half, but the company feels it has sufficient momentum given the £9.2m contracted orderbook and record pipeline to achieve a demanding target. It is important that the operational accomplishments over the last 18 months are not lost in the gloom of an underperforming half: sales have moved up to a different level since 2016; operations are now truly global with growing success in Asia; a new development centre has been set up; and a partnership has been formed with Oracle. Given the board’s obvious confidence and the record pipeline, we leave our FY expectations and target price unchanged.

Companies: Lombard Risk Management
  • 25 Oct 17
Tough H1, but primed for a record H2

Predicting the exact moment when large contracts land is never easy, but made doubly difficult if customer purchasing decisions are impacted by outside forces. This has been the case for LRM in the first half, as several chunky orders have been pushed to the right ahead of new MiFID II rules being introduced on 3 Jan’18. Not least, one significant collateral deal, worth £3.25m in license fees alone, which is now anticipated to be signed in late Q3, or early Q4.

Companies: Lombard Risk Management
  • 25 Oct 17
Tough H1, but primed for a record H2

Predicting the exact moment when large contracts land is never easy, but made doubly difficult if customer purchasing decisions are impacted by outside forces. This has been the case for LRM in the first half, as several chunky orders have been pushed to the right ahead of new MiFID II rules being introduced on 3 Jan’18. Not least, one significant collateral deal, worth £3.25m in license fees alone, which is now anticipated to be signed in late Q3, or early Q4.

Companies: Lombard Risk Management
  • 29 Sep 17
Most popular equity research this week | 25 - 29 Sept

See what's trending this week...

Companies: CONNDSCVBOOTRNWHCMSLOKLRMCLLSTAFSXXULVRWYGUTWEVRHSVCAPRSMPURPVANLWATRPPHTRMRBOOFCRM
  • 29 Sep 17
Most popular equity research this week | 25 - 29 Sept

See what's trending this week...

Companies: CONNDSCVBOOTRNWHCMSLOKLRMCLLSTAFSXXULVRWYGUTWEVRHSVCAPRSMPURPVANLWATRPPHTRMRBOOFCRM
  • 18 Sep 17
Morning Note

Stride Gaming (STR): Changing pace (BUY) | Lombard Risk Management* (LRM): Strategic alliance with Euroclear (CORP) | Wentworth Resources (WRL): Payments received (BUY) | Petra Diamonds (PDL): Annual results (BUY) | Amino Technologies* (AMO): German contract win (CORP) | MP Evans (MPE): Excellent interim results (BUY)

Companies: STR LRM WRL PDL AMO MPE

  • 18 Sep 17
Morning Note

Stride Gaming (STR): Changing pace (BUY) | Lombard Risk Management* (LRM): Strategic alliance with Euroclear (CORP) | Wentworth Resources (WRL): Payments received (BUY) | Petra Diamonds (PDL): Annual results (BUY) | Amino Technologies* (AMO): German contract win (CORP) | MP Evans (MPE): Excellent interim results (BUY)

Companies: STR LRM WRL PDL AMO MPE

  • 27 Jul 17
Morning Note

InnovaDerma* (IDP): Sun’s out (CORP) | Savannah Resources* (SAV): Portuguese lithium exploration update (CORP) | Keywords Studios (KWS): Pedal to the metal (BUY) | Lombard Risk Management* (LRM): A Smart move by Lombard Risk (CORP)

Companies: IDP SAV KWS LRM

  • 27 Jul 17
Morning Note

InnovaDerma* (IDP): Sun’s out (CORP) | Savannah Resources* (SAV): Portuguese lithium exploration update (CORP) | Keywords Studios (KWS): Pedal to the metal (BUY) | Lombard Risk Management* (LRM): A Smart move by Lombard Risk (CORP)

Companies: IDP SAV KWS LRM

  • 19 Jul 17
Positive market and encouraging pipeline

After such an outstanding close to FY17, it was almost inevitable that Q1’18 was going to be somewhat quieter for new license orders. This happens most years (see below) as the pipeline is naturally replenished following a strong Q4. Typically leading to a 35%- 45% vs 65%-55% revenue split across H1:H2. We suspect FY18 will be no different, albeit perhaps pitched towards the bottom of the range.

Companies: Lombard Risk Management
  • 19 Jul 17
Positive market and encouraging pipeline

After such an outstanding close to FY17, it was almost inevitable that Q1’18 was going to be somewhat quieter for new license orders. This happens most years (see below) as the pipeline is naturally replenished following a strong Q4. Typically leading to a 35%- 45% vs 65%-55% revenue split across H1:H2. We suspect FY18 will be no different, albeit perhaps pitched towards the bottom of the range.

Companies: Lombard Risk Management
  • 25 May 17
Lombard delivers on promised growth

The new management team has more than delivered in the first of the two year plan to transform LRM into a profitable and cash generative, leading-edge software supplier to the global financial services industry. That plan is predicated on the belief that development costs were not too high for the size of business, but rather the business was too small for the proper investment required to develop regulatory and compliance solutions for Tier-1 banks. Funds raised last summer are being utilised to step up sales to a more sustainable level, and this will allow the operational gearing of a software business to deliver profit and cash. In this first year we have seen revenues and earnings beat even upgraded expectations, and the £7.0m year-end net cash position is impressive after excellent H2 cash generation. The share price has responded but has a long way to go, and we increase our target price to 18.75p in line with the progress on delivery.

Companies: Lombard Risk Management
  • 25 May 17
Lombard delivers on promised growth

The new management team has more than delivered in the first of the two year plan to transform LRM into a profitable and cash generative, leading-edge software supplier to the global financial services industry. That plan is predicated on the belief that development costs were not too high for the size of business, but rather the business was too small for the proper investment required to develop regulatory and compliance solutions for Tier-1 banks. Funds raised last summer are being utilised to step up sales to a more sustainable level, and this will allow the operational gearing of a software business to deliver profit and cash. In this first year we have seen revenues and earnings beat even upgraded expectations, and the £7.0m year-end net cash position is impressive after excellent H2 cash generation. The share price has responded but has a long way to go, and we increase our target price to 18.75p in line with the progress on delivery.

Companies: Lombard Risk Management
  • 24 May 17
Record order book, sales and top line growth

‘You ain’t seen nothing yet’ was a phrase famously coined by US President Ronald Reagan back in 1984. 33 years on, it could equally apply to today’s hugely impressive FY17 prelims from Lombard Risk

Companies: Lombard Risk Management
  • 24 May 17
Record order book, sales and top line growth

‘You ain’t seen nothing yet’ was a phrase famously coined by US President Ronald Reagan back in 1984. 33 years on, it could equally apply to today’s hugely impressive FY17 prelims from Lombard Risk

Companies: Lombard Risk Management
  • 24 May 17
Morning Note

Abzena (ABZA): TNT009 bought by Bioverativ for $400m (BUY) | Europa Oil & Gas* (EOG): Placing and open offer (CORP) | STM* (STM): A strong base with optionality (CORP) | Trakm8* (TRAK): Telematics contract win underpins FY 2018 (CORP) | Lombard Risk Management* (LRM): Lombard delivers the promised growth (CORP) | Mortgage Advice Bureau (MAB1): In-line trading update (HOLD) | Ideagen* (IGP): New hires demonstrating the sales focus (CORP)

Companies: ABZA EOG STM TRAK LRM MAB1 IGP

  • 24 May 17
Morning Note

Abzena (ABZA): TNT009 bought by Bioverativ for $400m (BUY) | Europa Oil & Gas* (EOG): Placing and open offer (CORP) | STM* (STM): A strong base with optionality (CORP) | Trakm8* (TRAK): Telematics contract win underpins FY 2018 (CORP) | Lombard Risk Management* (LRM): Lombard delivers the promised growth (CORP) | Mortgage Advice Bureau (MAB1): In-line trading update (HOLD) | Ideagen* (IGP): New hires demonstrating the sales focus (CORP)

Companies: ABZA EOG STM TRAK LRM MAB1 IGP

  • 21 Apr 17
Most popular equity research this week | 17-21 April

See what equity research was trending this week...

Companies: ACSOTRILRMGATCSDXGMDPEL
  • 21 Apr 17
Most popular equity research this week | 17-21 April

See what equity research was trending this week...

Companies: ACSOTRILRMGATCSDXGMDPEL
  • 19 Apr 17
44% organic growth plus £7m of net cash

Many bank executives often complain about the reams of financial red-tape coming out of Brussels, London and New York. Not so Lombard Risk, which this morning delivered what can only be described as a ‘phenomenal’ set of results – reporting FY17 turnover, EBITDA and net cash all substantially above our estimates at £34.0m-£34.4m (vs ED at £31.8m), £2.4m-£2.8m (-£0.4m) and £7.0m (£1.4m) respectively.

Companies: Lombard Risk Management
  • 19 Apr 17
44% organic growth plus £7m of net cash

Many bank executives often complain about the reams of financial red-tape coming out of Brussels, London and New York. Not so Lombard Risk, which this morning delivered what can only be described as a ‘phenomenal’ set of results – reporting FY17 turnover, EBITDA and net cash all substantially above our estimates at £34.0m-£34.4m (vs ED at £31.8m), £2.4m-£2.8m (-£0.4m) and £7.0m (£1.4m) respectively.

Companies: Lombard Risk Management

Research, Charts & Company Announcements

Research Tree provides access to ongoing research coverage, media content and regulatory news on Lombard Risk Management. We currently have 69 research reports from 6 professional analysts.

Open
N/A
Range Today
N/A
52 Week
5.50/15.3p
Daily Volume
N/A
# Shares
0m
Daily Liquidity
0.0%
Pension Liability
£0m
Enterprise Value
£43.9m
Market Cap
£50.9m
Latest PE (hist)
0.00
Div Yield

Latest News/RNS

(more news)
Date Source Announcement
23Feb18 12:15 RNS Exercise of Options
23Feb18 09:58 RNS Scheme of arrangement becomes effective
23Feb18 07:30 RNS Suspension - Lombard Risk Management plc
23Feb18 07:19 RNS Cancellation of Shares from trading on AIM
22Feb18 12:05 RNS Court sanction of the scheme of arrangement
16Feb18 14:56 RNS Results of Court Meeting and General Meeting
02Feb18 15:23 RNS PDMR Shareholding
Get free RNS email alerts

  • Frequency of research reports

     

  • Research reports on

    Lombard Risk Management

  • Providers covering

    Lombard Risk Management

  • 17 Feb 20
CloudCall

New CRM partnership with Vincere

Companies: Cloudcall Group
  • 18 Feb 20
Crimson Tide*

Commercial momentum continues with Rail win

Companies: Crimson Tide
  • 20 Feb 20
BBB to lead £6m project with government funding

Bigblu Broadband (BBB) has announced that its subsidiary Quickline will lead a £6m project to boost rural connectivity in North Yorkshire. The project is a continuation of Quickline’s previous work as part of the 5G Rural Integrated Testbed project, and is focused on bringing mobile connectivity to the 35% of the county without 4G mobile coverage and testing how superfast mobile connectivity can benefit the county. To fund the project, Quickline and its partners (2 universities and 4 businesses) have secured £4.5m of government funding, which is roughly double the size of the previous grant, and this will support Quickline’s investment in R&D and infrastructure to complete the project and improve its rural coverage. Quickline’s lead in this project consequently reinforces BBB’s reputation as an innovative provider in delivering superfast rural broadband, and demonstrates the strength of the relationship Quickline has developed with the UK government after several successful projects. Overall, we believe that BBB is excellently positioned to deliver strong and sustained growth as it benefits from transformative developments to its core technologies and greater government investment in rural broadband, and we look forward to initiating with FY results towards the end of March.

Companies: Bigblu Broadband
  • 17 Feb 20
Nanoco Group - Patent infringement lawsuit filed against Samsung

Nanoco has announced that it has filed a patent infringement lawsuit against Samsung. The lawsuit alleges that Samsung has wilfully infringed the patents relating to Nanoco’s unique synthesis and resin capabilities for quantum dots. Nanoco is seeking a permanent injunction from further acts of infringement and unspecified but significant monetary damages.

Companies: Nanoco Group
  • 19 Feb 20
WHI Morning Comment: Pennant International (PEN)

New £5m contract win heralded – expected to convert in 2020 News from PEN this morning that it has received a Statement of Intent for a contract to supply training aids to a long-standing client in the Middle East adds yet another piece to the 2020 jigsaw, assuming conversion. With £20m revenues forecast for the current year, and the company “optimistic” about conversion FY20E, the extra £3m anticipated for 2020 looks like taking estimated revenue cover in the current year from 70%-plus to more like c.85%. We see this as a very healthy figure at this stage in proceedings. This is the second Middle East win announced in so many weeks, once again involving a long-standing client. It also follows in the footsteps of the Australian Defence Force (ADF) contract announced earlier in the month and the £3.4m helicopter training aid contract with a major UK OEM which emerged at the end of October. No guarantees re this specific contract, but PEN is continuing to throw off plenty of signs of ongoing progress.

Companies: Pennant International Group
  • 19 Nov 19
Strong interims and exciting long term prospects

Interims reveal a particularly strong trading period for the group, with underlying organic sales growth accelerating to +20% c/c (previously mid-single digit), underpinned by both strong trading in the US (+c.50% u/l) and the UK (+11%). Additionally, Eckoh benefitted from a large perpetual Coral licence deal, bringing reported sales growth to +37%. In our view, these results speak to the strong proposition, opportunity and momentum Eckoh across its markets. We leave FY u/l forecasts unchanged but acknowledge they look more than achievable. Currently trading on a 5% FCF yield, rising to 6% in FY21E, we think Eckoh offers a unique investment opportunity.

Companies: Eckoh
  • 21 Oct 19
Quarterly Research Outlook Autumn 2019

Following continued delays of a Brexit agreement, few sectors within the UK market have remained attractive to investors despite low valuations. One sector which has continued to outperform despite the political drama has been the UK video gaming sector (henceforth UK gaming), which we are fans of. We believe a combination of sector-leading growth, strong cash conversion and timely cyclical positioning support our positive view on the UK video gaming sector.

Companies: ABBY AMS ANX ARS ATYM AVON BLVN PIER BUR CGS CAML CDM CSRT TIDE CYAN DTG DEMG ELM EMR FPO FDEV GTLY GENL GHH GRI GEEC GKP HMI HAYD HEAD HILS HTG HUR IBPO IOG INDI JHD JOG KAPE KEYS KWS KCT KGH LAM LIT LOK MACF MANO MOD OXIG PCA PANR APP SRE PHC PMO RBW RMM RBGP REDD RSW RNO ROR SUS SCPA SEN SHG SOLG SOM SUMO TM17 INCE TWD TRAK TRI VNET VTC ZOO ZTF

  • 06 Dec 19
Bigblu Broadband - H219 trading in line, confident in FY20

Bigblu’s trading statement confirmed an H2 performance in line with expectations. Actions to cleanse the customer base should yield operational benefits over time and the above consensus year-end net debt figure (£14m vs £9m) primarily reflected a Brexit-driven inventory build that should reverse in the next few months. Bigblu remains confident in FY20 consensus (see below), which implies an acceleration in revenue growth.

Companies: Bigblu Broadband
  • 12 Dec 19
Arden Tech SoundBytes

Disney+ hits 22m mobile users, SoftBank backed firm downsizes IPO, German mobile carrier selects Huawei

Companies: ENET 7DIG EVRH ZOO ZOO AMO BOOM MIRA MWE

  • 12 Dec 19
EPS enhancing purchases of minority stakes

Corporate life is full of tricky decisions, often having to weigh up various scenarios, each perhaps involving numerous competing forces and associated risks. Therefore it is nice when occasionally a ‘no-brainer’ comes along. Earlier today, Blancco announced that it had lifted its stake in its Japanese JV (FY19 PAT +£1.2m) from 51% to 80% by issuing 813,253 new shares at 132.8p (or £1.08m) to its local ‘mobile reseller / ITAD’ partner Aucnet (Ticker: 3964, Tokyo Stock Exchange, £271m market cap). Here Aucnet is 44.3% owned by Flex Corporation (Singapore based contract electronics manufacturer), and will continue to act as an important route to market in Japan, Asia and other parts of the world, retaining its 20% stake in the JV.

Companies: Blancco Technology Group
  • 06 Feb 20
Expanding the ecosystem to drive growth

This note aims to summarise the information delivered at Bango’s recent Strategy Day, and to analyse the key messages. Our analysis focuses on three areas: the ongoing delivery of the virtuous circle strategy; the growing importance of data to the group - monetising the Bango “Data Mountain”; and platform expansion as a driver of future growth. Overall, in our view the Strategy Day reassures on the group’s ability to achieve its goals, and we re-iterate our forecasts following the event.

Companies: Bango
  • 29 Apr 19
Interims and strategic update

Interims indicate performance in line with the February trading update. Review of operations since February has given a clearer picture, leading to revised but broadly unchanged FY19 revenue & EBITDA expectations; changes to FY20 (delivering stabilisation and improved margins); and maiden FY21 (restoring growth). Following the departure of former CEO Hamp Wall (January) and awareness of weak trading (February), the Board has identified changes to enable replication of successful operations (UK, NL) across weaker territories (US, FR, DE). As the fifth-largest procurement solutions business globally, PHD remains undervalued due to a series of challenges which have the opportunity to be corrected with significant valuation benefit – and if not, then private equity or trade buyers will be interested., Given the current share price, we trim our 12-month target price to 100p, with further upside available on proof of execution.

Companies: Proactis
  • 22 Aug 19
Strong FY19 results, strong structural position

Arcontech has reported a strong set of FY19 results that have driven large but still conservative upgrades to our existing 2020 estimates. In this report, we also present an in-depth review of the Arcontech investment case, which we split into two parts. For Arcontech’s organic business, we expect that the company’s robust structural position can continue to deliver at least 6% revenue growth (FY19 +12%) and at least 7% EPS growth (FY19 +26%) in 2020-21. Meanwhile, we believe that Arcontech’s strong balance sheet creates a range of options for Arcontech as an acquirer or target, or could alternatively facilitate greater shareholder returns. We upgrade our price target to 200p based on 25x 2020 EPS, and Arcontech trades on 12m fwd multiples of 19x P/E, an EFCF yield of 3.8%, and a dividend yield of 1.4%.

Companies: Arcontech Group
  • 01 Oct 19
Investing in growth

Digital transformation services provider The Panoply’s AGM statement highlights the momentum in the Greenshoot Labs (Artificial Intelligence solutions) and Human+ (Robotic Process Automation) businesses. Although in the early stages of their lifecycles, both units have recorded a number of contract wins over the past seven months and are gaining traction with major institutional clients. As a result of these successes, management has announced increased investment in the two operations in the current financial year. We take the company’s cue and have reduced FY 2020E EBITDA by 19% to £3.3m. Our FY 2021E and FY 2022E estimates are unchanged.

Companies: The Panoply Holdings
  • 23 Oct 19
Texas Instruments tanks semis; Lyft forecasts FY21 profit; TransferWise expands to Middle East

The recent run-up in semiconductor stocks hit a speed bump Tuesday afternoon that could turn into much more. Texas Instruments gave a forecast that was much worse than expected in a Tuesday earnings report, raising questions over whether the cycle is anywhere near the trough as was widely expected.

Companies: ENET TRAK BGO BOKU CAPX CML EQLS IQE SEE TCM TRCS QTX XPP FIN NETW