Tom Winnifrith Bearcast: from Sefton to Bidstack, corporate lying is fraud but at last 1 regulator is smelling the coffee
Notes from Underground: The most-read stories of the week, and the dramatic rise and fall of Cannabis stocks
Fully-listed Telecom Plus (TEP) is a member of the FTSE250 and it announced its interims this morning. The shares are currently up 56p to 1258p, valuing the company at £982 million. With an expected full year dividend of 52p that puts the shares on a dividend yield of 4.13% which appears quite tasty when compared to a bank account. So are they for dividend munchers, or is there something lurking beneath the surface to make me run a mile? Covering the company in the past I was less than convinced, but with fresh eyes let’s take a look.
Last week fully-listed Telecom Plus (TEP) released its full year (to Mar 2016) trading update ahead of results to be published in mid-June. It all looks great on the surface, but I think the shares look very toppy.
Shares in Telecom Plus (TEP) are down 40p to 843p thanks to a downgrade of stance from buy to hold by Berenberg in the note below. The target price comes down from 1400p to 1000p so with upside at the start of the day of 14% surely that makes the shares cheap? Whatever. It seems an anodine note to me. I remain a bear as per Kevin Ashton's most awesome analysis HERE but you make up your own mind
That soft spot for fully listed Telecom Plus (TEP) is hardening. Looking at Companies House filings and analysing accounts seems to present a less than convincing case that the company can afford to repay its loans and continue to meet its progressive dividend policy, especially in the light of the (as yet, still) unannounced new borrowing facility of £150 million. But today it is time to look into the company’s investment into Opus Energy. Oh goodie: another excuse to trawl through Companies House filings. Anorak at the ready….
Since raising a few questions over a new £150 million loan facility which fully-listed Telecom Plus (TEP) has not yet announced but is filed at Companies House (see HERE), I had a Broker note and some comments from an analyst (see HERE) drop into my inbox. But some more numbers arrived the other day.
Yesterday I wondered why shares in fully listed Telecom Plus (TEP) had been dropping, and turned up a few nuggets in its interim statement and, of greater concern, a new £150 million loan facility on the Companies House website. Were these the cause of the drop since the turn of the year? Well perhaps not, for into my inbox has dropped an “underperform” note from top analysts RBS Capital Markets.
Shares in fully listed Telecom Plus (TEP) seem to have fallen off a bit a cliff over the last few weeks. I’ve not seen anything terrible in the way of RNSs to explain it and although falls in the wider market would contribute to weakness a 20% drop seems hefty. But I did turn up something at Companies House which I think the company should explain.
It has been quite easy to be short to be short of Telecom Plus (TEP) in recent months given the quite painful looking decline that we have seen on the daily chart since the stock peaked out in the first quarter of 2014.
What can be seen on the daily chart of Telecom Plus (TEP) is the way that there has been an extended decline since the final big bull trap through the 50 day moving average in October, effectively a momentum signal that is one of the more difficult to shake off.
Although the bull run at Telecom Plus in the early part of this decade did seem to be a little too good to be true, the price action was so strong until the middle of last year that there seemed little point questioning either the technicals or the fundamental situation.
From the FCA's spreadsheet of short positions required to be disclosed to it, the following details changes to net short positions in the last week (red if short increased, green if reduced)...
At the last minute free speech denying broker Charles Stanley, (Nomad to POS companies such as Tungsten and Coms) forced the world’s top tech analyst Kevin Ashton not to speak at UK Investor. Luckily I have his notes sent to me earlier in the week and so here is why I think Telecom Plus (TEP) is such a stonking sell.
Telecom Plus (TEP), which trades as 'Utility Warehouse' and is the UK's only fully integrated provider of a wide range of communications and energy utility services, has updated on “accelerated” organic growth momentum in the second quarter of its year to 31st March 2015 and that it is “comfortable (subject to unforeseen circumstances) with full year market expectations”. The following updates with me having turned bullish with the shares just over 1300p in July.
I previously updated on this website on Telecom Plus (TEP), which trades as ‘the Utility Warehouse’ and is the UK's only fully integrated provider of a range of utility services spanning both the communications and energy markets, in April with the shares then at 1780p – concluding that I’d require a lower prospective rating before considering an investment (see HERE). Post a trading statement earlier this week and with the shares currently at 1312p would I buy?.
The UK’s only fully integrated provider of a wide range of communications and energy utility services, Telecom Plus (TEP), has reported a “continuing strong performance of the business” during the final quarter of its year ended 31st March 2014. It went on to say that “notwithstanding reduced levels of energy consumption by customers during what has been an exceptionally warm winter… profitability for the year to 31 March 2014 remains in line with consensus market expectations”. But what does this mean with the current share price trading at 1780p.
I previously wrote on Telecom Plus (TEP) following a trading update from the company last month, which reported a “continuing strong performance of the business” and saw Chief Executive Andrew Lindsay state that “the opportunities for further significant organic growth over the next few years are immense”. I now update with Lindsay having subsequently sold more than £3 million of shares.
Telecom Plus (TEP), which trades as Utility Warehouse and is the UK's only fully integrated provider of a wide range of communications and energy utility services, has updated that “we remain confident of reporting full year profits in line with consensus market expectations” following a “continuing strong performance of the business”. However, with the shares at 1811p, up from sub 1250p as recently as October, is this all (more than) discounted in a share price that is now a joke?
FTSE-250 constituent Telecom Plus (TEP), which trades as Utility Warehouse and is the UK's only fully integrated multi-utility provider spanning both the communications and energy markets, has announced “a significant acceleration” in positive customer and service number trends during its second quarter ended 30th September. But is that in the price?
Telecom Plus (TEP) - which trades as the Utility Warehouse - the UK's only integrated provider of a wide range of utility services spanning both the communications and energy markets, has updated that “the momentum which was building in the business during the previous quarter has continued over the past three months, with an encouraging increase in numbers across all our core services…
The only fully integrated provider of a wide range of utility services spanning both the communications and energy markets in the UK, FTSE-250 constituent Telecom Plus (TEP) has announced results for its year ended 31st March 2013.
Despite losing the highly lucrative Mir family contract over a year ago it would appear that Telecom Plus, the company and its shares, have been able to go from strength to strength.
It is clearly a scandal how utilities groups make millions and billions a year, and of course even more pathetic that we the consumer keep on paying up without question.
We first recommended shares in Telecom Plus (TEP) on a website we founded and edited at 187.25p in January 2008.
Telecom Plus plc (TEP), which trades as ‘Utility Warehouse’, was a stock Tom Winnifrith initially spotted value in at sub 200p in 2008. Shares in this sole fully integrated UK provider of a wide range of communications and energy utility services have been strong performers almost ever since – currently trading at 1155p and meaning the company is now a FTSE 250 constituent capitalised at more than £815 million.
I previously commented on FTSE 250 integrated supplier of utility services in the UK, Telecom Plus (TEP) in February – noting that I expected the company to continue driving earnings, cash generation and dividends forward in the coming years and that, at 980p, the patient, long-term investor should still earn a decent return from there. Following a trading statement today, the shares are currently 1030p and the following updates…
Known as Britain’s Buffett, Nigel Wray is one of the UK’s most successful investors of the past three decades. I wrote last week about how he had sold £25 million shares in Domino’s Pizza (DOM) at 525p (share he paid 36p for). I am not sure that Wray was right to sell then but you cannot really argue with such a Master Investor. Wray’s only other holding in a FTSE 250 listed stock is Telecom Plus (TEP) – which, since my last article has published an in-line trading statement.
Telecom Plus (TEP), which trades as the Utility Warehouse and supplies a range of utility services (gas, electricity, fixed line telephony, mobile telephony and broadband internet) to both residential and business customers in the UK, has updated that a “continuing strong performance” means it remains “confident of reporting full year profits in line with current consensus market expectations”. The shares trade at 980p on the back of the announcement and are up from sub 300p on a three year view and from sub 650p on a one year view. With a market cap now of approaching £700 million, the following reviews whether there looks to remain value in the shares…
Telecom Plus (TEP), now a FTSE-250 constituent, is a very successful past share recommendation from myself. I recommended the shares at 187.25p in January 2008 on t1ps.com, the site I founded in 2000 and ran until September when I left and set up the Nifty Fifty website. Prematurely, I banked gains at 691p in July 2011. The shares dipped below 600p that August but have since risen again, to currently trade at 975.5p, capitalising the company at more than £687 million. The following details my current view…
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