Market's view on Nexus Infrastr.
Published on April 2024
- Full-year results for the company are expected to be released on Thursday, 7 March.
- A stock watcher noted a share price increase of approximately 5.70% on one platform and no change on another, highlighting a large spread of around 13%.
- There is concern over the company’s trading performance, which has been worse than anticipated.
- Comparison of the company’s net tangible asset value (NTAV) versus market capitalisation suggests significant undervaluation, potentially indicating high risk.
- Recent guidance suggests the company might face operating losses of £6-7 million for the year.
- Some stock watchers foresee more challenges ahead, predicting potential losses and restructuring in future years.
- Positive outlook on Tamdown, highlighting improved margins, good cash reserves, and no debt, alongside anticipation of favourable HY results.
- The company’s order book showed a 12% increase, suggesting ongoing demand despite economic uncertainties.
- Subcontractors are reportedly lowering build activity expectations, which could impact competitive pricing and work intensity.
- Concerns are raised about the company’s need for a significant increase in working capital, which could indicate underlying financial or operational issues.