shares that have drifted down in price recently for no reason (or have not risen) thread

29th Feb by rmillaree

57 comments 2990 reads

ok i am on the lookout for something to buy having funds burning a hole in my pocket

anyone have any stocks on their radar that have been drifting down in price (without bad news) - or going nowhere with positive outlook.

Volex (LON:VLX) - i could be tempted here but i wouldnt buy before next trading update.

Epwin (LON:EPWN) - i am tempted here to top up - price is less than 10% off recent peak but recent trading update was at top end of expectations outlook solid and pe is cheap (under 8) so i dont expect it to go much lower.

£KIE - this looked tempting but price going up rather than having pullback.

Ideally forward outlook should be positive ref earnings expected to grow and trend in narrative should be positive (ie ideally brokers forecasts wont be trending down)

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Rusty2

3rd Apr

Wish I had sold them all now, that is the trouble with Zotefoams (LON:ZTF).

BenHazz

When I saw them 7% down today I thought the same. Thankfully it recovered somewhat. Next few days will be telling. I wouldn't be surprised to see a return to 340p

Yes recovered slightly, l don't trust Stocko's prices, my broker has Zotefoams (LON:ZTF) down 5.7% at close, would not be surprised to see 330p next week. Seems to be the pattern, quick spike up and fall back.

17th May

Hope you didn't sell out Rusty, hit 530p this morning at one point!

Yes l saw that, l did sell some but still have a reasonable holding.

Glad to hear it. Could push a fair big higher over the coming months as retail investors are getting wind of the potential of the Rezorce project.

Having banked some profits recently, l'm searching for some better value stocks, but not finding very much. I could wait for pullbacks that is not happening much at the moment.

Any ideas?

Stocks l have been buying are YouGov (LON:YOU), SDI (LON:SDI) and Victorian Plumbing (LON:VIC), all these have gone down.

Castings (LON:CGS) and Property Franchise (LON:TPFG) l mentioned previously, have done quite well, taken some profits in Property Franchise (LON:TPFG).

Snowbum

Iofina (LON:IOF) looks good value just now imo, Watkin Jones (LON:WJG) threatening a higher higher - still looks cheap, Treatt (LON:TET) looks like it may have bottomed too. I hold all three having bought over the last month or so.

Thanks. I was holding Watkin Jones (LON:WJG) last year, got out before the fall, not looked at it lately, will have a look. Treatt (LON:TET) was trying to buy but price kept going up, it is on my watchlist, will buy if it pullsback.
Iofina (LON:IOF) l did hold once many years ago, probably not for me.

l'm considering Gear4music (HOLDINGS) (LON:G4M) that looks good value and trading should improve, as things get back to normal.

9:52am

Maybe this topic needs reviving?

There have been numerous pullbacks, especially on momentum shares, this month.

I will list a few that l know:

Judges Scientific (LON:JDG) Billington Holdings (LON:BILN) Time Finance (LON:TIME) Treatt (LON:TET) Ashtead Technology Holdings (LON:AT.) Liontrust Asset Management (LON:LIO) Yu (LON:YU.) Mortgage Advice Bureau (Holdings) (LON:MAB1) Porvair (LON:PRV) TP Icap (LON:TCAP) 4imprint (LON:FOUR).

N0vice1Nvest0r

10:30am

I too have bought a small bag of YouGov (LON:YOU) simply due to all the elections on the horizon, however their balance sheet is concerning and I plan to get out by end of October.

10:33am

the 80s adventure gamer in me really hopes this is your real name, if so I want to shake your father's hand lol

jonno

11:13am

For reasons previously posted, I am of the opinion that Bloomsbury Publishing (LON:BMY) and Property Franchise (LON:TPFG) will beat current market expectations.

I also think that Volex (LON:VLX) looks to cheap on improved margins and revenue. I suspect that operating margin will come in close to 10% with the contribution from Murat Ticaret and strong growth in the higher margin Medical and Complex Industrial sectors. On that basis I would not be surprised to see some upgrades. We will know next week as the prelims are scheduled for the 26th.

"Full year performance ahead of market expectations

Revenue is now expected to be at least $900 million, representing an increase of at least 25% over the prior year, including seven months contribution from the acquisition of Murat Ticaret, while underlying operating profit¹ is also now anticipated to be slightly ahead of analyst expectations².

This performance underscores Volex's ability to secure additional customer commitments and deliver new projects, whilst maintaining robust financial and operational discipline.

Operating profit margins improved in the second half of the year. This was partly a result of product mix, including the contribution of Off-Highway sales, offset by accelerating investment in future strategic growth initiatives to support increased, long-term customer demand.

The Medical and Complex Industrial Technology sectors delivered extremely strong growth, partly due to pent-up demand arising from previous global supply chain challenges, as well as increased sales of high-speed data centre cables. Off-Highway operations achieved high growth in addition to the incremental contribution from the acquisition of Murat Ticaret.

Performance in both Electric Vehicles and Consumer Electricals improved in the second half of the year. Although revenues in these sectors remain below FY2023 levels, a reduction in the amount of customer destocking experienced in the second half creates confidence in the potential for a return to growth in the forthcoming financial year."

BnB

11:28am

I too have bought a small bag of YouGov (LON:YOU) simply due to all the elections on the horizon, however their balance sheet is concerning and I plan to get out by end of October.

I prefer my holdings to have no debt at all, but I am not alarmed at debt levels that are below 3x cash flows and only 2x pre-tax profits. What is it in the balance sheet that concerns you?

11:32am

You can add Zotefoams (LON:ZTF) and Renold (LON:RNO) as well, both down around 15%. I think most of these falls are due to profit taking after decent runs. The market has definitely changed in June.

11:49am

The concern I have, simply due to not doing a comprehensive deep dive, I was surprised by;

cash etc - estimated to be dropping 50%
Net debt - More notably, estimated from -£96m to a £179m, a change of £265m!!!
working capt - changing from £74.1m to -£38.9m

That is not saying that this stock is by any means terrible or horrific, but like I say im playing the election card. I want out "quick" due these alarming changes. To which I am yet to pinpoint the huge sway, and furthermore seeing if its a one off or continuing trend.

Cancun

2:16pm

That was down to the acquisition of part of GfK presumably?

Thomas Whitehead

4:26pm

I have been buying Wise (LON:WISE) and YouGov (LON:YOU) . They're both trading at attractive valuations now for me. I am aware of the risks, especially with Wise, but I do think it is oversold after last week's FY24 results.

4:39pm

Like I say, I didn't deep dive, but it concerned me. I was willing to risk the trade due to this being an exceptional year for elections and will only become more prevalent come November.

shares that have drifted down in price recently for no reason (or have not risen) thread

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Rmillaree

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