Record profit announced despite book loss on sale of under performing asset + transaction costs of restructuring and an acquisition 7 August 2012 FY12 highlights in challenging economic times: Highest reported profit of $23.1 million Underlying profit increased by 19% to $27.9 million Annual dividend increased to 9.5 cents Continued growth of metal detector sales and major new product release Major new product releases in Radio Communications Successfully divested Satellite Communications assets Acquisition of Minetec brings diversification into resources technology and services sector. The Board of Codan Limited has announced a net profit after tax of $23.1 million for the year ended 30 June 2012 compared to the prior year of $21.8 million. Underlying net profit after tax was $27.9 million from $179.4 million of revenue, which compares to $23.4 million in the prior year. The underlying net profit after tax excludes the loss on sale of the satellite communications assets, restructuring costs in relation to that transaction and also transaction and integration costs associated with acquisitions. The company announced a final dividend of 5.5 cents per share, fully franked, bringing the full year dividend to 9.5 cents compared to 9.0 cents for FY11, an increase of 5.6 %. Codan also announced today the acquisition of 100% of Canadian-based land mobile radio company, Daniels Electronics Limited (Daniels), for an upfront cost of CAD$25 million (approximately AUD$24 million), with the possibility of approximately CAD$2 million (approximately AUD$1.9 million) in additional payments if certain earn-out targets are achieved over the next 18 months. The acquisition of Daniels will be funded by a mix of debt and equity and is consistent with Codan's stated strategic goal to expand the radio communications business by investing in adjacent markets and technologies. http://www.codan.com.au/ http://forums.silverstackers.com/topic-27360-mining-services-stocks-back-in-focus.html
I will be subscribing in full to the announced SPP @ $1.40, and possibly buying more on market if price weakens. Might be an opportunity to buy here, with the stock cum 5.5c dividend, and the 1.40 cap raising acting as a price magnet. Rog Montgomery's Skaffold has the stock valued at $2, implying a current discount to intrinsic value of 24%, and confirmed as an A1 stock Final dividend 5.5c, ex date 10/09/12 Claims to synergies from the new mobile land radio acquisition of Daniels look convincing, particularly the ability to sell the Canadian company's products through Codan's global network and using Daniels stuff in Codan's mine services offerings http://stocknessmonster.com/news-item?S=CDA&E=ASX&N=188840
Yeah been watching this stock, SPP at 1.40 - we'll see if i can pick some up at that or close to that price
My bid @ 1.45 filled for 5,000 more of these, and will be adding further if the SPP pulls the price back close to the $1.40 offer. All are cum the 5.5c final dividend which goes Ex date on Sept 10th
The behaviour of this little stud of a stock has me cheerfully perplexed lately. The damn thing had all time record volume on Sept 7, the day before it became stripped of its dividend. There were multiple trades going through of 600,000 and 200,000 shares from someone or something big. This one doesn't normally do over 500,000 in a whole day! I picked up 5,000 shares for 1.415 at end of day only to see it rammed down in the after market auction to 1.39. Only 16,000 shares traded hands at that price, but look at what it did to the candle - bearish engulfing. Then next trading day Sept 10, when it is trading without the 5.5c dividend mind you, it reverses with a bullish piercing line candle and has not looked back in the subsequent 4 days. Completely the reverse of what you expect, and manipulated I'm thinking
Ex-per-loded out of the chocks this morning. Now challenging the Oct 2010 high of 1.80. All time high back in 2004 was 2 bucks. Expect it to fall back from this overbought condition though. Maybe another sally at the 1.80 level later? Mr Market liked the chairman's concluding remarks at the AGM published today: "For the full year we remind ourselves that we are living in uncertain and cautious economic times which can continue to delay purchasing decisions. We also have competitors, including counterfeiters, whose actions could put pressure on revenue and margins. Although it is early in the year, based on current momentum and a detailed consideration of management's full year forecast at this morning's Board meeting, we would expect to substantially exceed the company's previous record underlying profit of $31.1 million and expect it to be in the region of $40 million, which would represent an increase of more than 40% over the result achieved in 2012." Oh yeeahhh ... oh I like that (Cosmo Kramer) [imgz=http://forums.silverstackers.com/uploads/1893_cda_oct_17.gif][/imgz]
The tip sheet that made CDA pick o' the month back at last post was Motley Fool. Since then Russell Research also tipped it on thebull free newsletter: http://www.thebull.com.au/articles/a/34011-18-share-tips---17-december-2012.html The Montgomery Fund also holds it. I can't really recommend it at this level but the chart is quite positive looking. I have trouble biting on a stock that has already run and sometimes this has been to my disadvantage. It's performing poorly today on a bullish ASX, but low volume. The pattern looks like a firmly consolidating ascending triangle under resistance of 2.50. I would pick it as likely to break out above 2.50, if forced to predict, and if that happens should get a bit of continuation of uptrend. Not as tempting though now - not adding myself. Bets off and time for a review if it closes below 2.30 Montgomery's Skaffold has it valued at 3.54 for FY13, dropping to 2.58 FY14, and 2.93 FY15. But these valuations from Skaffold can change at the drop of a hat. Still rated as A1, their highest level. Number of analysts covering is only two.
Geez the day of the prior post, Jan 13 was the day the triangle was broken. A few days later was a gap down and today another gap down. I'm now trying to capture it with two notions. The low formed today will be support as it matches the low formed back in November, or the price crashes into a full on downtrend to fill the gap made in mid October at 1.65. Yesterday is where my stop-loss would have triggered if I used stop losses and if I were trading the stock. Half yearly report usually in third week of Feb.
I know what you're thinking. "Did he scan with a 5000 or only a 4000?" Well, to tell you the truth, in all this excitement they kind of lost track of sayin. But being as this was a Minelab Magnum 5000, the most powerful handscanner in the world ...... "Gold nugget found near Ballarat A MASSIVE gold nugget that could be worth upwards of half a million dollars has been unearthed in Ballarat. The nugget, weighing in at 5.5 kilograms (177 ounces), was discovered by a local prospector yesterday, who rushed it to the Ballarat Mining Exchange Gold Shop. The exact location and the identity of the lucky prospector remain secret, but gold shop owner Cordell Kent said the nugget was found within 30 kilometres of the Ballarat CBD. It was found about 60 centimetres below the surface of the earth, with the prospector using a state-of-the-art detector worth upwards of $6000 - a Minelab GPX-5000 (Ed: Minelab is a division of A1 asx listed company Codan (CDA). If sold at market value it would be worth just shy of $300,000, but its extreme rarity would mean it be worth far more, according to Mr Kent." http://www.thecourier.com.au/story/1241013/gold-nugget-found-near-ballarat/?cs=62
CODAN LIMITED RESULTS HALF YEAR ENDED 31 DECEMBER 2012 Review and results of operations Half-year highlights: Highest half-year profit in the company's history Interim dividend increased by 50% to 6.0 cents Tough business conditions in Radio Communications, but a major product release achieved Successful acquisition of land mobile radio business and related capital raising Minetec business continues to transition to a technology solutions supplier to the mining industry Second-half profit for FY13 expected to be as strong as first half The Board of Codan Limited has announced a net profit after tax of $26.5 million for the half year ended 31 December 2012, compared to the prior period of $9.9 million. Underlying net profit after tax was $27.4 million from $135.9 million of revenue, which compares to a profit of $10.4 million in the prior period. The underlying net profit after tax excludes acquisition costs in relation to the acquisition of Daniels land mobile radio business, and a write down of head office building assets which have been partially offset by an insurance claim recovery in relation to the 2011 Queensland floods. The company announced an interim dividend of 6.0 cents per share, fully franked, compared to 4.0 cents in the previous interim period, an increase of 50%. http://stocknessmonster.com/news-item?S=CDA&E=ASX&N=721660 --------------------------------------------------------- Chart: Could be heading for $3.50. Not really priced for yield now unless they change expectations next Half, which they well might. Skaffold valuer currently lagging these results. Sees eps in FY13 as only 23c, but the company has reported 15 or 16c in the first half alone and H2 to be as strong. So Skaffold's intrinsic valuation will rise soon. Currently seeing it worth 3.34, 2.59, and 2.93 in FYs 13, 14, and 15 It mostly seems to come from raging sales in Metal Detection division. So how'll it look if last year's Daniels Electronics acquisition revitalises the Radio division, or the newish Mining Communications division gets traction around FY15? Then again they might not.
'Interesting times' in the Chinese proverbial sense. Just look at that RSI indicator. Worth a watch? Gold's done, so the world's best metal detector designer, innovator, manufacturer, and distributor is done. I was thinking 2.50 a possibility which was almost hit today, but who knows now? $2.50 is an entire retrace of the break above consolidation at that level, so potential for a bounce at least. I'm a potential buyer at some point anyway. Skaffold forward intrinsic valuations are to be treated very cautiously and can seriously mislead, but valuations today are: FY: 13, 14, 15 I.V: $6.57, $5.39, $4.86 A1 rated and 5.2% ff yield at current ask of $2.65 Notice though that Skaffold is tipping declining I.V. albeit from a much higher value than today's price, Even FY15 valuation is 83% higher than today's price. Ideally though you want a stock that will rise in value
A bounce. Gaps are spooky. See that tiny gap just after mid January? Didn't spot it before. Got filled yesterday. Today price springs upwards. Why? Time and again you see these tiny voids in stock charts magnetically attracting price like little yonis. The $2.50 level has been reinforced as significant now, so I'm adding 5,000 shares if the price returns there. Here's a link to an investor presentation (JP Morgan Emerging Companies Conference) released to the ASX today http://stocknessmonster.com/news-item?S=CDA&E=ASX&N=731447
Metal detectors follow gold's pan by: Tim Boreham From: The Australian April 20, 2013 12:00AM Increase Text SizeDecrease Text SizePrintEmail Share Add to DiggAdd to del.icio.usAdd to FacebookAdd to KwoffAdd to MyspaceAdd to NewsvineWhat are these? IN a classic case of collateral fallout, the share price of the metal-detector maker Codan (CDA) $3.06 has suffered in sympathy with our better known gold-diggers and explorers. Adelaide-based Codan dead-batted an ASX price query yesterday about Codan's 95c, 26 per cent price retreat over five days. . 2.50 seems like a good entry point, can either put a stop loss @ 2.39 (or buy some more if it gets to 2.24), but for me personally i wouldnt buy this relief rally. Risk a small loss for potential 50%+ gain might be bet worth placing for some (DYODD)
CDA got killed in the last half hour of trading after a profit announcement $3 in the morning and finished the close at $1.90 Been hoping to get into this one - might have the chance now
Thats a massive drop - would have to be a good reason. But bye bye gains if you own.... just like that
