Research, Charts & Company Announcements
Research Tree provides access to ongoing research coverage, media content and regulatory news on SYNECTICS PLC. We currently have 19 research reports from 2 professional analysts.
|21Feb17 07:00||RNS||Final Results|
|30Jan17 07:00||RNS||Notification of Final Results|
|10Jan17 07:00||RNS||Adoption of Financial Reporting Standard 101|
|08Dec16 07:00||RNS||Year End Trading Update|
|21Oct16 14:20||RNS||Director/PDMR Shareholding|
|19Jul16 07:01||RNS||Contract Wins|
|19Jul16 07:00||RNS||Interim Results|
Frequency of research reports
Research reports on
Share & share alike
14 Feb 17
The rally in the last fortnight, highlighted in the table, reflects a continued flow of positive updates and economic news. The FTSE 250, Small cap and Fledgling indices have reached record highs. We are in the lull ahead of results for those companies with a December year end, a welter of economic data regarding the UK economy, the State of the Union address in the US on 28 February and the UK Budget on Wednesday 8 March. We will learn at that stage the latest forecasts from the Office of Budget Responsibility. As highlighted previously, the reaction to corporate updates will continue to set the tone.
Half-term report- Satisfactory?
02 Feb 17
The end of (half) term report reads reasonably well. We have survived the company pre-reporting season with sanity just about intact. Updates have been as anticipated and relatively upbeat with some notable exceptions. The microcosm of smaller companies has soldiered on in the face of a myriad of external distractions both political and economic. Most indices other than AIM have surrendered some of the gains achieved over the last quarter. With outlooks remaining broadly positive, the relative undervaluation of microcaps remains. The reaction to corporate updates will continue to set the tone.
Share & share alike
11 Jan 17
Last week’s note ‘2016 AIM IPOs- Another discerning year’ *prompted further perusal of the AIM December 2016 Factsheet. With acknowledgement to BuzzFeed – we have set a simple quiz~. Which are the largest companies on AIM, which trade most and how much? It is a timely reminder that at the year end, focus remained on the FTSE 100 and larger companies, yet the prospects for smaller companies continue to be broadly positive. As the company trading statement season gets underway, the initial signs are encouraging. The tone of these updates will set the trend near term.
“So this is Christmas and what have you done?”
21 Dec 16
The answer to the festive question in the lyric – is in the case of the smaller companies market – not too badly really. The table shows that the various indices have all enjoyed the recent rally but have also performed well over the year. The graph on page two highlights the considerable volatility in the year, driven predominantly by macro-economic factors and political developments. All indices ended the year higher with the FTSE 100 and larger international companies leading the way but the smaller brethren have also held their own, on the whole. It seems likely this volatility may well continue in 2017.
No change to profit forecasts
08 Dec 16
Synectics’s year-end trading update is positive in our view. It expects to report adj. PBT in line with our £2.4m forecast on sales of £71m (vs our forecast of £75.2m). Despite the high levels of activity in the last two months it had c.£2m of net cash at year-end vs our £0.4m forecast. Gaming was the main driving force in FY2016 with trading solid in other areas bar oil & gas. At this stage, other than to the FY2016 sales, we make no other forecast changes and retain our 315p target price and Buy recommendation.
Small Cap Breakfast
08 Dec 16
Creo Medical group—Schedule 1 update.. £20m raise. Expected market cap £61.2m, admission expected 9 December. ECSC—Schedule 1 from provider of cyber security services. Raising £5m. Vendor sale £0.8m. Target date 14 Dec. Expected market cap £15m. RM Secured Direct Lending - The secured direct lending fund intends to float on the Main Market on 15 December raising up to £100m
20 Feb 17
Hayward Tyler Group* (HAYT): Trading update and financial position (CORP) | Petra Diamonds (PDL): Interim results (BUY) | Gemfields* (GEM): Interim results (CORP) | Premaitha Health* (NIPT): Middle East momentum (CORP) | Sound Energy (SOU): Acquisition update and TE-8 well spud (HOLD) | Proactis* (PHD): Interim trading on track (CORP) | 7digital* (7DIG): Automotive contract win (CORP)
The Slide Rule
12 Jan 17
What is The Slide Rule? The Slide Rule has been designed to dramatically simplify the identification of the best companies in the UK small/mid-cap sector by making a quantitative assessment of the relative potential of each company. At its core, The Slide Rule aims to identify those companies that create genuine shareholder value through strong returns on capital and solid growth, but also present a value opportunity with the potential tailwind of earnings momentum. Companies are assessed within a Quality, Value, Growth and Momentum (QVGM) framework.
21 Feb 17
Lighthouse Group* (LGT): Middle Britain growth (CORP) | Utilitywise* (UTW): Double-digit sales growth (CORP) | Trakm8* (TRAK): Earnings expectations cut again (CORP) | dotDigital* (DOTC): Myriad growth opportunities (CORP) | Artilium* (ARTA): Five-year Telenet deal secured and prepaid (CORP) | Netcall* (NET): Cloud investment pays off (CORP)
Emerging from the clouds
16 Feb 17
Rolls-Royce’s underlying performance in FY16 was ahead of both its own and market expectations. Media focus on the non-cash £4.4bn headline FX loss is missing what looks to be the basis for optimism. As the civil model starts to move from investment in engines for the A350 and A330neo into the aftermarket delivery phase over the remainder of the decade, we think cash flow is likely to improve, particularly if supported by an eventual recovery in Marine.
N+1 Singer - Small-cap quantitative research - New quality style screen + 11 quality focus stocks
09 Feb 17
We introduce our fourth and final style screen representing “quality”. This screens for stocks with the best combination of high returns on capital/equity, EBIT margins and operating cash-flow conversion rates. These criteria should help us monitor how strong underlying returns translate into share price performance over time and under varying market conditions. The screen selects the “best” 25 stocks from our universe of just over 500 stocks and, as usual, we focus on a shorter list of stocks we cover or otherwise know and believe to be particularly interesting. We provide brief investment summaries on these focus stocks on pages 4 – 9. We will monitor performance and refresh the screen in approximately 3-4 months time.
15 Feb 17
At the current market capitalisation of £29m, we believe the shares are significantly undervalued. We estimate that the highly profitable Maritime business is alone worth at least £40m. With net cash of £9m at end-2016, this implies that the market is currently ascribing a combined negative value of £17m to the rest of the group, which together account for c.54% of group revenues. This is very harsh given the management actions to transform TP Group to a profit-driven Tier 2 specialist services and engineering company are bearing fruits across the divisions. TPG Managed Solutions is expected to more than double its profits in 2017, while TPG Engineering and Design & Technology are on course to deliver sustainable profits from 2019. Even if we ascribe zero value to Engineering, Design & Technology and Managed Solutions, the shares are worth 9.5p a share, a 38% upside from the current share price. BUY.