CDD - Cardno Limited

[apra143]

Strong rise on good volume + news recently.

Not sure how institutional backing is good news exactly?

Even more confused about the Share Purchase Program, what's the catch?

 

[sall123]

Your thoughts on Cardno:CDD

Hi I am wondering if anyone has had past experiences with Cardno or people who are currently owning shares with them. They look quite attractive as the posted good profits and i am thinking in buying into them. Is now the right time to buy into them or should I wait a little longer.

 

[DeCal]

Were doing great until the trend broke due to bad news and I had to sell my holdings at a 20% loss.

Just got in at a bad time. Can you recall what the big dip was due to recently?

 

[notting]

Living in a world of it's own.
Whilst many industrials have been taking a spanking recently.
Just thought I'd tag it for those who enjoy up trends against the grain.

 

[skc]

Living in a world of it's own.
Whilst many industrials have been taking a spanking recently.
Just thought I'd tag it for those who enjoy up trends against the grain.

Definitely against the market and the sector.

They announced a rise in NPAT for FY12 to $71m-$74m, up over 20% against pcp. NPAT at half year was $36m so H2 was steady basically. What they didn't mention was that the EPS has fallen to ~51 to 53cps (compared to last year of 58cps), thanks to capital raising in Feb to fund an acquisition. However, the benefits probably hasn't flowed through yet given the timing of the acquisition.

CDD has been on a fearless acquisition spreed and it will be interesting to see if they can continue the rise in profits (and share price). Some acquisition spreeds don't end well when it is debt-feuled, over-paid at top of market... there are no signs of that yet - or at least until the next set of results.

 

[skc]

Definitely against the market and the sector.

CDD has been on a fearless acquisition spreed and it will be interesting to see if they can continue the rise in profits (and share price). Some acquisition spreeds don't end well when it is debt-feuled, over-paid at top of market... there are no signs of that yet - or at least until the next set of results.

So it begins...



Probably a bit oversold in the short term. H1 NPAT to be $36-$40m which means full year of ~$70m (EPS = ~50c). At $6.30 it's a PE ~12.6 which, while higher than most, isn't that demanding.

It went through a 100tick range today and I managed to pinch only 25.

Why am I such a poor day trader?!

 

[ParleVouFrancois]

A P/E of 12 seems overvalued when compared to similar companies which are trading around 5-8 P/E multiples.

 

[McLovin]

So it begins...

View attachment 49696

Probably a bit oversold in the short term. H1 NPAT to be $36-$40m which means full year of ~$70m (EPS = ~50c). At $6.30 it's a PE ~12.6 which, while higher than most, isn't that demanding.

It went through a 100tick range today and I managed to pinch only 25.

Why am I such a poor day trader?!

It's mid-November. Can't these guys give a better estimate considering the half ends in about 40 days? If they hit the upper-range then that's a solid performance, at the lower range they're going backwards.

 

[skc]

It's mid-November. Can't these guys give a better estimate considering the half ends in about 40 days? If they hit the upper-range then that's a solid performance, at the lower range they're going backwards.

They are kind of going backwards on an EPS basis given their acquisition and cap raising.

A P/E of 12 seems overvalued when compared to similar companies which are trading around 5-8 P/E multiples.

Yes plenty of smaller caps in the same sector trades around PE 5-8x. But some stocks just enjoy higher PE than sector average because of past historical aura or perceived earning certainty... WOR, MND, SAI, IRE etc come to mind.

I personally wouldn't buy CDD at PE 12x, but if the market values it at 12x then who am I to argue...

 

[pavilion103]

One of a few that I'm holding at the moment.

Interesting price action this morning after a nice break up. Taking out some stops.

Will continue to watch closely.

 

[pinkboy]

....and the next mining services company downgrades profit and the sellers are brutal.


pinkboy

 

[notting]

His tenure of 10 months as CEO

March 17 2014

Cardno CEO, Michael Renshaw said the acquisition of PPI is in line with the firm’s strategy of expansion in attractive growth markets such as energy. “This acquisition will strengthen Cardno’s ability to service the expanding oil and gas sector in the United States and in key emerging markets.” Mr Renshaw said.

CDD share price $7

January 12 2015

The Board of Cardno Limited (ASX:CDD) today announced that the Chief Executive Officer and Managing Director,Mr Michael Renshaw, has resigned and will step down from his role effective immediately

CDD share price down 15% today to $2.90




PS I guess if he puts that in his resume he could get a gig at Ten?

 

[qldfrog]

got smashed yesterday an big paper loss in a day .
a bit over the top but market will soon show me how worse it can be....

 

[Wysiwyg]

This sudden senior management resignation on top of slowing business is a lethal combination. There is plenty of parched earth for CDD. (opposite of blue sky?)

 

[qldfrog]

This sudden senior management resignation on top of slowing business is a lethal combination. There is plenty of parched earth for CDD. (opposite of blue sky?)

sadly do not know enough of the insider story;
could be the best thing for the company as well...

 

[notting]

There is plenty of parched earth for CDD. (opposite of blue sky?)

I'd rather go with 'Leagues Under the Sea'

e.g. There are plenty of leagues under the sea for CDD.

 

[Wysiwyg]

With oil and gas exploration worldwide slowing (PPI acquisition) their NPAT forecast could be found short. Being a diversified and long standing company could also balance this out and they say 50% of their business is the U.S.A. The one to be on in my opinion when their operating environment turns up again.

Fess up - Bought and sold at a loss with this company in November last year.

 

[Wysiwyg]

Correction to my post. 50% of CDD revenue is in $US.

 

[Miner]

One of a few that I'm holding at the moment.

Interesting price action this morning after a nice break up. Taking out some stops.

Will continue to watch closely.

are u still holding CDD or already sold off ?
People who bought at $7 in March 2014 would have been a great paper loss. Just like me with AGO got 75 % paper loss

 

[Clansman]

This sudden senior management resignation on top of slowing business is a lethal combination. There is plenty of parched earth for CDD. (opposite of blue sky?)

Parched earth????

The correct term is scorched earth.