FXPO – Special Dividend Decleration

StockRank 98, Q87, V78, M96, Highly Speculative, Super Stock

Ferrexpo is pleased to announce a special dividend of 3.3 US cents per share. This follows the payment of an interim dividend for the first six months of 2017 of 3.3 US cents per share which was paid on 8 September 2017 (1H 2016: nil).

The Company has continued to trade strongly since it announced its half-year results on 3 August, and its cash flows have further reduced net debt and funded capital expenditure. Together with the strong demand outlook for pellets in 2018, this has given the Board confidence to declare this dividend.

The special dividend will be paid on 15 January 2018 to shareholders on the register at the close of business on 15 December 2017.  The ex-dividend date will be 14 December 2017. The dividend will be paid in UK Pounds Sterling, with an election to receive in US Dollars.

Opinion

The price has fallen 11% since my buy price of 278.3p with no indication as to why.   It is a naked trader qualifying stock and all criteria is met.   At cap/ptp at 8.5 and cap/ptp(fc) at 4.8, FCF>EPS and net debt reducing to around 1.5x ptp, then on this rare occasion I have slightly lowered the stop loss.  The stop is now on the 200MA so hopefully survive the ex-Dividend drop.   I’m still not however willing to let it drop further from that point, no matter how positive the news is.

 

FEVR – North American Update

StockRank 68, Q91, V3, M90, Adventurous High Flyer

Since Fever-Tree first entered the North American market 10 years ago, its pioneering approach to taste and quality of ingredients has seen the Group become the number one premium mixer brand in the US. Today’s announcement is the next step forward, signalling Fever-Tree’s commitment to and focus on the North American market. The US premium mixer sector continues to represent a significant opportunity for the Group given the existence of the same trends of premiumisation, authenticity and mixability that have been driving the success of Fever-Tree globally.

As part of this transition and reflecting the Group’s increased ambition in the US, Fever-Tree has given notice to Brands of Britain (“BoB”), its US agent. The Group will continue to work closely with BoB over the next six months with formal handover to be completed during the second quarter of 2018 after which time Fever-Tree will directly manage the current distribution network.

Opinion

FEVR has become very high rated.   Stockopedia has a High Manipulation Risk Warning.   There was also a bearish article on ShareProphets.

Forecast figures show huge growth and this may explain such a high rating.   This is not usual play for me , but price is close to my stop loss position so i may just allow that level to determine my position here.

IGG – Pre Close Trading Update

StockRank 94, Q96, V61, M79, Adventurous Super Stock

Following a strong first quarter, IG continued to perform well in the second quarter. Net trading revenue in the first half is expected to be around 9% higher than in the same period a year ago.

Operating costs excluding variable remuneration in the first half of FY18 are expected to be around 7% lower than in the same period a year ago, primarily reflecting a lower level of advertising and marketing spend. IG maintains the guidance given in July that operating costs excluding variable remuneration for the full year are expected to remain at a similar level to FY17.

As previously noted, the nature and timing of potential regulatory changes in the UK and some other key markets for the Group remain uncertain. The Company continues to implement measures to differentiate itself further within the OTC leveraged derivatives industry and to protect the business from regulatory change. It remains difficult, however, to predict what impact regulatory change may have on the Group this financial year and beyond.

Opinion

Seems to be priced in at the moment, or at least price pausing until we hear more of the regulatory changes to the UK Leveraged markets.  I believe that IG are best placed to cope with any changes.   Not much growth forecast for this year, but the stock is worth keeping due to the Dividend Yield (fc) of 5%

MCLS – Q4 and Full Year Trading Update

StockRank 85, Q53, V61, M97, Adventurous, Neutral, Dividend Yield fc 3.6%

  • Total revenue up 28.9% in Q4 and 19.1% for the full year following successful integration of 298 acquired convenience stores (completed in mid-July)
  • Full-year like-for-like (LFL) sales1 up 0.1%, with significant mix improvements as a result of growth in key grocery categories alongside declining traditional categories, split as follows:
    • LFL sales in convenience stores up 0.1%
    • LFL sales in newsagents down 0.2%
  • Total LFL sales down 1.1% in Q4 impacted by declining traditional categories and unfavourable weather
  • LFL sales in recently acquired and converted stores2 up 1.3% in Q4 and 2.4% for the full year
  • 25 convenience store refreshes successfully completed in H2, bringing the total to 27, with a further 100 planned in FY18
  • McColl’s is one of Subway’s fastest growing UK franchisees with 18 franchises now in operation
  • The Group remains on track to achieve results for the full year in line with management’s expectations

We were both sad and disappointed to learn that Palmer and Harvey (P&H) was placed into administration on 28 November 2017. P&H has been a long-time partner of the McColl’s business and we have been grateful through the years for their continuing support.

Opinion

Seems all priced in at the moment and a inline statement.   Gained 52% since buy in on the 9th December 2017, so held for a full year.   With a yield of 3.6% this is a stock worth holding onto but not worth topping up.   Cap/PTP 18x and Cap/PTP(fc) 13x.