Market's view on Judges Scientific

Published on April 2024

  • A stock watcher highlighted the potential for Geotek coring to constitute about 10% of group turnover if it materialises within this financial year, noting it has a higher margin but is lumpy and involves extensive planning and negotiation.
  • Concerns were raised about the financial decision of a company purchasing a business for £80m, with WH Ireland adjusting their profit forecast slightly upwards, implying a growth of approximately 6.5%.
  • It was noted that the statutory earnings per share was significantly lower than the previous year, and there were questions about the proportionality of financial adjustments made by the company.
  • Discussion about a coring expedition by Geotek suggested that it could lead to lumpy and unpredictable turnover.
  • A watcher commented on the net debt of a company, suggesting it was not a concern but could slow down the pace of acquisitions.
  • A review of annual results expressed disappointment, with earnings per share significantly missing expectations, which might keep the price-earnings ratio high.
  • It was mentioned that the company is not perceived as a bargain with its high valuation and some level of debt, suggesting that it might be challenging to maintain historical growth rates.
  • There was speculation about insider trading or informed gambling when a notable purchase was made just before market close on a significant trading day.
  • A stock watcher recounted the significant long-term yield and capital growth from an investment in a company, praising the management team for their performance over the years.
  • A report recounted the influence and regular participation of a company’s CEO in investor events, highlighting the substantial returns for long-term investors who followed initial investment advice.
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