handoverfist
03 Apr 2015
Re: Cracking results Mpg1Have a look here for an explanation. [link] website does give a lot of information about investing in shares and explains lots of different terms. If you search with google you will find lots of websites that will help with the learning process. I'm sure Sansione's comment was kindly meant. It is really like the very sound advice of Warren Buffet. Invest only in companies that you understand what their business is. Cenkos seems to be doing very well but prices that rise very quickly sometimes fall very quickly unfortunately. While you are learning slowly why not look at some stable 'boring' shares paying a good dividend or even investment trusts covering a whole range of shares.Good luck with your investments especially if you do buy cenkos because I do hold some myself. That is not a recommendation!)
Mpg1
02 Apr 2015
Re: Cracking results Its not a measure that I have used before ..... I'm learning slowly..... Sometimes the hard way!
sansione
02 Apr 2015
Re: Cracking results Would suggest that if you do not understand "earnings per share " you should not be buying individual equities, particularly ones that have risen by 35% in a short time.
Mpg1
02 Apr 2015
Re: Cracking results Thanks grey and bronco for your feedback..... Im thinking of buying here next week and a couple of reasons are the dividend and low p/e ratio (also grey you have made a couple of good calls of late PFL being one of them!). I have seen Earning per share being talked about and wanted to know how to spot a good figure could someone briefly explain it.appreciate any feedback. mpg
coldascheese
31 Mar 2015
IC says back to 250p Analysts at Edison Investment Research had conservatively expected Cenkos to report 'normal' pre-tax profits of £12.4m and EPS of 17.8p on revenues of £60m in 2015, but those estimates are set to be sharply upgraded. That's because Cenkos earned around £13m profit from the AA IPO, which raised £1.385bn for the company, but it has just raised £1.03bn for Haversham through an institutional share placing. It also means that a repeat of Cenkos' bumper dividend looks on the cards especially as the company is cash rich and has a policy of returning excess cash to shareholders.So with earnings upgrades imminent, and prospects for further upgrades likely as the year progresses as Cenkos works through its pipeline of corporate transactions, then I have no hesitation rating the shares a buy on a bid-offer of 195p to 197p, pencilling in a return to last year's highs around 250p
Broncomaniac
31 Mar 2015
Re: Cracking results I wish I'd used the time I spent writing it to buy CNKS shares! Sadly I don't own any at this time.
Greyinvestor
31 Mar 2015
Re: Cracking results Well done for the awesome explanation. I never knew that. In a way I wish that I still didnt; it's not exactly easy to get your head around........In the meantime good old CNKS is motoring. I've dipped my toe in PRES too.......
Broncomaniac
31 Mar 2015
Re: Cracking results Hi Greyinvestor, the company does not actually deduct 10% from dividend payments before payment. It is a notional amount, to take into account that dividends have come from profits that already have been subject to corporation tax. When you receive dividends you should gross them up by 10% for tax calculation purposes, but can consider that 10% already paid to towards any tax due on dividend income.This means that although the higher rate tax band for dividend income is 32.5%, you get 10% credit in lieu of the corporation tax, making the effective higher tax rate 25% of the amount received. The origin of this 10% was that Corporation tax used to be 30%, while basic rate tax payers were taxed at 20%. It used to be possible to reclaim the 10% notional tax credit, so that basic rate tax payers only suffered 20% tax on corporate profits. Now that CT is down to 20% its not so bad that you can't reclaim it. Of course in an ISA there is no income tax on dividends, but you can't reclaim the notional tax credit either. However your dividends haven't been subjected to any deduction, other than the corporation tax paid by the company. I agree that ISAs are much more useful for higher rate tax payers. An Equity ISA may not provide any immediate benefit to a basic rate taxpayer. The same could now be argued for Cash ISAs, following the introduction of £1000 tax free interest for basic rate payers. However, the benefit of ISAs is that they carry over from one year to the next, so they are an excellent long term saving tool, to be used in tandem with pensions.
Greyinvestor
31 Mar 2015
Re: Cracking results ISA income has no additional dividend tax due but this isn't the same as being tax free.UK shares have 10% tax deducted at source ie before you receive it. You cannot reclaim this tax.So, in effect, ISA dividends are taxed at 10%, but this is deducted by the company before you receive it.There is no CGT due within ISAs. So ISAs are most tax efficient for higher rate taxpayers and people who have a CGT bill higher than the annual allowance.
Mpg1
30 Mar 2015
Re: Cracking results Just another quick question if you dont mind. I am invested in qpp and will get a dividend if a buyout deal goes through. I hold the shares in an isa so does that mean the dividend is tax free? Mpg
Greyinvestor
30 Mar 2015
Re: Cracking results It's a tough call.CNKS will be briefing the City for the next couple of days, so the price may rise further........with lots of shares post divi is a good time to buy, but with this one I'm not sure.
Mpg1
30 Mar 2015
Re: Cracking results Hi grey, as the divi is 28th may, would it make sense to wait until its been paid to buy in?
Greyinvestor
30 Mar 2015
Cracking results A cracking set of results out of Cenkos:Revenue +72%PBT + 152%Cash + 9%EPS +148%Dividend +42%Final divi 10p v 8.5p payable 28 May to on record 1 May holders9% of company shares bought back post year endWhat more could a shareholder want?The key question is sustainability. I'm banking on 17p being the baseline for EPS. The shares are therefore sensible value in my opinion. But DYOR.
Greyinvestor
17 Mar 2015
First purchase Made a modest first purchase of these @ £1.73, was going to buy then price bounced 5%. Grrr....
