HI
I am knew here so I don't know what standard of discussion and help I can get.
I am trying to research debt free companies. I have not had much luck in locating many. Does anyone know of a simple way or a website I can get this information from.
Any help would be very much appreciated.
alaniow - I use Sharescope, which is an excellent piece of software that i can't recommend highly enough... it costs £14 per month and is worth it... you can use their data mining tools to locate debt free companies... i.e. companies with a 'net gearing' greater than zero.
Otherwise, digitallook.com have a good data mining tool... which is totally free.
Stockopedia hasn't got any data mining at present, although they do show financials... the other sites listed above don't have any place to discuss stocks though, and Stockopedia is designed for that. I think they should create a 'pub' or somewhere for people to talk about miscellaneous stuff like this though... I'll send them a message.
 Name |
Market Cap (m) | Avg EPS Grth. 1yr | Gross Gearing | Net Gearing | Operating Margin | ROCE | Price | 30 Day Chg | Beta | Watch |
| DataCash Group | £216.91 | 17.50% | 16.45% | -4.99% | 24.34% | 48.24% | 235.00p | 7.55% | 0.2 |  |
| Dignity | £393.28 | 25.56% | -7,173.91% | -6,030.43% | 29.91% | 36.52% | 619.50p | -0.88% | 0.4 | |
| Invista Real Estate Investment Management Holdings | £84.71 | 166.74% | 18.49% | -74.88% | 67.39% | 27.45% | 32.00p | -20.00% | 0.5 | |
| Ladbrokes | £1,112.65 | 118.43% | -339.35% | -330.97% | 33.61% | 277.05% | 185.25p | 18.37% | 0.9 | |
| Next | £2,067.54 | 15.47% | -2,158.46% | -2,088.51% | 16.10% | 77.44% | 1,049.00p | 6.93% | 1.1 | |
| ORA Capital Partners | £54.00 | 1,505.60% | 4.62% | -36.75% | 94.68% | 37.07% | 54.00p | -10.00% | 0.6 | |
| RCG Holdings | £73.54 | 18.18% | 3.45% | -28.13% | 31.86% | 27.02% | 31.75p | -24.85% | 1.2 | |
| Sylvania Resources (DI) | £47.95 | 0.00% | 8.99% | -40.60% | 36.67% | 18.47% | 26.50p | -30.26% | 1.0 | |
| Trading Emissions | £259.09 | 7.08% | 10.17% | -12.93% | 1,156.46% | 30.41% | 95.50p | -7.51% | 0.2 | |
| Trikona Trinity Capital | £81.13 | 97.79% | 13.25% | -4.65% | 1,263.97% | 16.74% | 35.00p | -15.15% | 0.3 | |
| TRIO Finance | $36.00 | 0.00% | 14.99% | -99.99% | 59.69% | 40.78% | $4.50 | 26.76% | n/a | |
Most kind of you to take so much trouble to help me.
Sorry I have been so long in replying but have been away to the sun for Xmas and New Year.
With regard to Digitallook I have failed to find gross and net gearings.
If you were research the Banking Sector on Digitallook how would you do it.
Happy New Year
Re: Digital Look... You find the net and gross gearing on the 'full screener option'
However it looks suspect... Though it is a good place to start - especially if you don't have factset or Capital IQ
From the above list - Dignity has some rather odd figures! DTY actually has about 275m of debt ex. Op Leases which come to 40-50m, with 50m of Cash. Thus Gross Gearing is around 80% and Net at 70%.
When you are looking into 'debt free' companies you must check the back of the accounts and look for operating leases (as well as contingent liabilities and pension deficits)
Once you capitalise those you may well find that your 'Debt Free' company is looking a touch more expensive as the ROCE falls and the EV/EBIT rises.
Starbucks is the classic example where investors failed to notice this - and just look at their Share Price post 2006.
As for the banks... The way I would start is to use a scatter plot - ideally EV/IC against ROCE - or P/B against ROE - but digital look only offers P/B vs ROCE - which is a mismatch as you are comparing a ratio to the firm against an equity only multiple - but nonetheless its a good start.
This wont factor in growth - but should give a good glance at where the value is.
Remember that ROE/Cost of Equity should be equal to the P/B (assuming no growth) - to factor in Growth (in perpetuity) use (ROE-Growth)/(Cost of Eq-Growth) - and you will get a basic DCF that rolls out a theoretical P/B.
