Occupation: Company Director
Interests: Stocks
Location: United Kingdom
About Me:
Investor with over 30 years experience.
Work in insurance.
Target 15% IRR. (16.1% IRR achieved January 2015 - November 2018).
2015: +20.7%
2016: +7.0% (rescued by a good December)
2017: +34.5% (just one down month)
2018: +5.5% (down 9.4% in October)
AO World (LON:AO.) is an online electrical retailer. It describes its mission as "to be the best electrical retailer in Europe. It may well be succeeding in that mission, claiming industry-leading scores on customer review websites and very high net promoter scores. The price of delivering that level of service, however, as I will set out below, is that is a loss-making business that seems…
Water Intelligence (LON:WATR) came to the Aim market in 2010, through a reverse takeover of Qonnectis plc. Its principle asset is the American Leak Detection (ALD) business, which it operates on both a franchisee and corporate-owned basis. Background As described in the 2010 prospectus: http://www.waterintelligence.c... “ALD focusses on the accurate, non-destructive detection of all types of leaks including hidden water and sewer leaks, together with…
Based on Paul Scott’s analysis of ABDP’s recent interim results and the ensuing discussion, there seems to be a poor understanding, even amongst savvy investors, of the methodology through which share-based payment costs are calculated and the appropriateness or otherwise of including them in earnings-based valuations.http://www.stockopedia.com/content/small-cap-value-report-tue-25-apr-2017-bltg-cpr-abdp-180864/ I was one of those confused investors, and the ABDP situation spurred me on to do some research to…
I sold out of Zytronic (LON:ZYT) in late-October, when I felt a Questor tip had taken them to an excessive valuation.Looking at the results today, my concerns are twofold.Revenue growth has stalled and has, in fact, barely progressed since 2015 H2.Gross margin in 2018 H2 was at its lowest level since 2014 H1 and has been on a declining trend since peaking in 2015 H2.It…
To be frank, I would say that ruling out investments based on the ratio of board salaries to profits is a clumsy and inefficient method for filtering potential winners. It effectively rules out any early stage opportunities. A $450k salary is not excessive for the CEI of a quoted company, especially for a US business, and he has conceived what seems to be a winning…
Howard, These are all legitimate concerns regarding Water Intelligence (LON:WATR), and ones that I share. My approach to them is to get a very good understanding of the business, watch it very carefully, and get to know the management. In my view, the risk-reward relationship remains favourable. However, I will follow up on all of the issues you raise directly and post further in due…
Graham,Is Water Intelligence (LON:WATR) too good to be true? Perhaps, but I think that there are good answers to the particular concerns that you raise in your post.“And yet Water Intelligence (LON:WATR) are growing revenues and earnings at a fast rate. I cannot see a clear reason for this or determine how it can be sustainable. If it is true, the competition will react and…
Thanks, rhomboid1. We're all embittered ex-holders of something!
Effortless Cool has 14 followers including:
