EHL - Emeco Holdings

[Country Lad]

Massive downtrend so caution required...

Yep, I certainly did not ride this one for long, stopped out nearly straight away.

...........Greater chance will be that the symmetry will not continue, however I will ride it until the chart breaks down.

Cheers
Country Lad

 

[So_Cynical]

I'm in today, 22000 shares at 0.26 ~ for the first time im taking a trade based just on the chart, hoping that the bottom trend line holds, EHL's AGM is on the 20th so also hoping for at least neutral news, good would be even better.
~

 

[pixel]

I'm in today, 22000 shares at 0.26 ~ for the first time im taking a trade based just on the chart, hoping that the bottom trend line holds, EHL's AGM is on the 20th so also hoping for at least neutral news, good would be even better.
~

if the slide stops at your line, you'll be a right royal genius.
If it turns into a falling knife, you'll activate a stop loss.

Good luck in any case.

 

[Porper]

I'm in today, 22000 shares at 0.26 ~ for the first time im taking a trade based just on the chart, hoping that the bottom trend line holds, EHL's AGM is on the 20th so also hoping for at least neutral news, good would be even better.
~

That's an aggressive stance So Cynical...9.0% decline today on increased volume. Let's see but with the neckline of the H&S breached I'll be holding off. Still on the watch list though.

 

[So_Cynical]

if the slide stops at your line, you'll be a right royal genius.

How many times have we all seen stocks do that, bounce off the bottom trend line..its just so common.

If it turns into a falling knife, you'll activate a stop loss.

Its a super fund trade, Austsuper has a reasonably good trading platform but no stop loss orders...in for the ride, besides the down trend channel cant continue, worst that can happen is a double bottom.

 

[pixel]

Last week, I bought some in anticipation of a breakout. Today, I doubled up when it happened.



Target: 36c; trailing stop: 27c (and rising)

 

[So_Cynical]

(13th-November-2013) I'm in today, 22000 shares at 0.26 ~ for the first time im taking a trade based just on the chart, hoping that the bottom trend line holds

The trend line didn't hold and instead we had a double bottom, but the channel did hold and im out today at 0.285 for a nice little profit, recycled most of my capital from this exit into GNC - Graincorp.

Last week, I bought some in anticipation of a breakout. Today, I doubled up when it happened.

Target: 36c; trailing stop: 27c (and rising)

Not sure if its commiserations on getting stopped out or congratulations on the timing and against all odds rally?

 

[So_Cynical]

(Nov 13, 2013) I'm in today, 22000 shares at 0.26

5 years later and im still holding 7000 shares, been super frustrating holding EHL in my Superfund AustSuper, i can only buy shares in the ASX300, this is suppose to protect mug punters from doing silly things and buying rubbish - ok i get it..thing is it stops me averaging down and or building a position when a stock gets dropped from the index, again this is to protect mug punters.

But im no mug punter, and i would of only bought a small $ parcel to bring my price down, but once the stock is dropped thats it i can only sell and take the loss, so with the March 2018 index re balance EHL is back in and now its ok for me to buy it because its up 700% from the bottom...

So frustrating wanting to buy and you are locked out because my (all) super funds think everyone's an idiot...this is the reason my super fund share trading has under-performed my other portfolios, i simply cannot buy what i want when i want.

I want to grow my super and its so frustrating to see opportunity and not be able to take advantage, i could be 6 or 7 K up on this stock instead of 600 bucks..
~

 

[Triathlete]

5 years later and im still holding 7000 shares, been super frustrating holding EHL in my Superfund AustSuper, i can only buy shares in the ASX300, this is suppose to protect mug punters from doing silly things and buying rubbish - ok i get it..thing is it stops me averaging down and or building a position when a stock gets dropped from the index, again this is to protect mug punters.

But im no mug punter, and i would of only bought a small $ parcel to bring my price down, but once the stock is dropped thats it i can only sell and take the loss, so with the March 2018 index re balance EHL is back in and now its ok for me to buy it because its up 700% from the bottom...

So frustrating wanting to buy and you are locked out because my (all) super funds think everyone's an idiot...this is the reason my super fund share trading has under-performed my other portfolios, i simply cannot buy what i want when i want.

I want to grow my super and its so frustrating to see opportunity and not be able to take advantage, i could be 6 or 7 K up on this stock instead of 600 bucks..
~
View attachment 87435

Could you not have bought these under your own name than transferred them into your super fund at a later date when they were back in the ASX300 or is this not viable or tax effective ???

 

[So_Cynical]

Could you not have bought these under your own name than transferred them into your super fund at a later date when they were back in the ASX300 or is this not viable or tax effective ???

Simply cannot be done with AustSuper, cannot transfer, the rules are hard a fast.

 

[leyy]

Bought a very healthy parcel of over 200K EHL when it broke out in July 2017.

Average price of 0.13 cents, about 140% gain.

Have also subscribed to both capital raising where there was an immediate arbitrary gain, as the actual SP was circa 25% higher than the cap raising including the recent one at 0.25 cents.

Happy to keep holding until the fundamentals change.

 

[galumay]

Simply cannot be done with AustSuper,

Is your balance not large enough to move to a SMSF?

 

[leyy]

Terrific result from Emeco last week.

Emeco today released its financial results for FY18, delivering a return to profitability for the first time since FY13, with significantly improved operating EBITDA up 83.2% to $153.0 million from FY17, increased operating EBITDA margins at 40.2% (from 35.8% in FY17) and positive NPAT of $20.1 million.

The strong operating cash flow has reduced Emeco’s net debt / pro forma run rate operating EBITDA to 2.0x1 at the end of FY18 (from 3.9x2 in FY17).

Happy to continue to hold, sitting near its 5 year high and should crack its recent high of 0.40 cents after all the profit takers go.

 

[bigdog]

ASX ANN today did not like

There was one bigger buyer today!!

19/02/2019 9:20:06 AM 2 Emeco continues earnings, margin and utilisation growth

 

[bigdog]

Motley Fool reports
https://www.fool.com.au/2019/02/19/...-share-price-crashed-20-on-its-profit-report/

Why the Emeco Holdings share price crashed 20% on its profit report
Cale Kalinowski | February 19, 2019

Earthmoving equipment hire company Emeco Holdings Limited (ASX: EHL) has seen its share price crash on the release of its interim results as the company showed weaker-than-expected growth. The Emeco share price is currently down 20.3% to $2.24.

Statutory net profit after tax came in at $11.9 million, up from a net loss of $0.3 million in the previous corresponding period. Still, investors had expected more, with brokers having forecast net profit for the full 2019 fiscal year in the vicinity of $70 million, which seems like a long shot after today’s results.

A brief summary of the company’s results is provided below.

• $102.8m operating EBITDA, up 53.4% pcp
• Operating EBITDA margin 45.8% vs 39.2% pcp
• Operating utilisation 64% vs 57% pcp
• Leverage reduced to 2.1x vs 2.6x last period

Much of the company’s growth came from two acquisitions, which helped drive a 159.8% increase in operating (non-statutory) NPAT. The results also benefited from increased operating utilisation and strong customer demand.

Margin expansion was driven by the contribution of high-margin earnings from an acquired company, new customer contracts and disciplined cost management.

“The outlook for the remainder of FY19 is positive. We expect strong market conditions to continue into 2H19, particularly in the Eastern Region, with increased bidding activity in the Western Region for new projects expected to come online during 2019,” said Managing Director Ian Testrow.

Finished today

 

[bigdog]

ASX ann today
share price is up today

20/02/2019 8:20:08 AM Asset purchase - supplementary information

 

[leyy]

Gives better clarification around the acquisitions of the assets and the positive impact it has on EPS/EBITDA, management didn't do a great job explaining this during the results announcement.

I continue to hold and will keep holding.

 

[peter2]

Since that news the price has kept falling but I see a reversal opportunity on the chart. Luckily for our Contrarian Averager, EHL remains in the ASX300 even though the price has been smashed.

Let me start by saying that price is in a strong down trend. I see a nice impulsive 5 wave move down from the highs in the weekly chart. I'm hoping that wave 5 is complete. If it's complete then we get the opportunity for a reversal long. If not we wait for another chance.

However there's some structural support present. This corrective move down has ended right in the 50-61.8% zone of the last multi-year impulsive move up. I've marked this in the charts with a green rectangle.

Now, if you've bought that story, let me continue. The next move should be a corrective 3 wave move UP. This is likely to get to it's 50-61.8% zone also (marked by the red rectangle). This sell zone is just above the 3.00 level and just higher than the last swing high 2.89. This makes my RR for this reversal setup acceptable.

 

[bigdog]

The market liked today's ASX update


12/06/2019 9:18:34 AM FY19 Guidance, Operating Update and Investor Presentation

 

[bigdog]

Motley Fool reports today
https://www.fool.com.au/2019/06/12/why-the-emeco-share-price-surged-22-higher-today/

Why the Emeco share price surged 22% higher today
James Mickleboro | June 12, 2019

The best performer on the ASX 200 index on Wednesday has been the Emeco Holdings Limited (ASX: EHL) share price.

The shares of the leading provider of equipment leasing to the earthmoving industry rocketed as much as 22% higher to $2.01 in morning trade.

They have since pulled back a touch but are still up 16% to $1.91 at the time of writing.

Why did the Emeco share price rocket higher?
This morning Emeco released an operational update which revealed that market conditions continue to be positive.

So much so, management advised that it expects to deliver operating EBITDA in the range of $211 million to $213 million in FY 2019. This will be an increase of almost 40% on FY 2018’s result.

This impressive growth has been driven by strong demand in the Eastern Rental region, particularly in the coking coal market. The company has taken advantage of this increasing demand by placing its growth assets in the region.

In the Western Rental region the company has noted a significant increase in bidding activity, which has led to Emeco winning new contracts. It is also awaiting the award of several additional major projects. In addition to this, the company advised that it has not been impacted by recent issues at certain gold projects in the region.

FY 2020 outlook.
Looking ahead, management has revealed that its outlook for FY 2020 remains strong, with total material movement continuing to increase and equipment supply remaining tight.

Furthermore, Emeco’s growth capex from the recent purchase of high-utilisation assets is forecast to come in below the budgeted $90 million expenditure, and is on target to generate $25 million EBITDA in FY 2020.