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robbo
11-10-2004, 12:42 AM
SDI Dental (SDI).

My Aunty Madge says...[twice removed}

Remember to consider brushing your teeth; and consider topping up SDI, BEFORE THE END of the month...(and before the rise kicks it up too much more !!)[:p],

as I've noticed a bit of a healthy rise for about ##10 days or now...

as the SDI...share split should...(IMO)... have a very nice healthy effect on your gums (and bank balance).

SDI is due(IMO) for a strong bit of a Good Solid upward Run; and intrinsically...IMO...SDI...are quite good value, and the market CAN FALL IN love sith SDI, and trade quite high PE's...

Just a thought...

kind regards,
Robbo.
Disclaimer:

The above comments are not to be taken as financial advice, and are just the whims and personal views of the author. The above comments are also NOT warranted for there veracity, authenticity or reliabiltiy in way.The above comments are said on a "without prejudice" basis, and the author reminds all sharetraders' to alwasy do their own independent research at all times.
kind regards,
Robbo.

KD
11-10-2004, 02:52 AM
Robbo - cheers mate - I like SDI fundamentals and SP and picked some up recently at $8.20 so I hope you're on the money with this call!!

KD
11-10-2004, 02:53 AM
....or should I say I hope Aunt Madge is right;)

robbo
11-10-2004, 11:36 AM
Definitely not my idea KD...all credit MUST go to Aunty Madge(twice removed)...on the idea of remembering to brush my teth with SDI !!:););),,

Lovely to hear from you KD...:)

Kindest regards,

Robbo.
quote:Originally posted by KD

....or should I say I hope Aunt Madge is right;)

k1w1
11-10-2004, 03:29 PM
SDI should be viewed with caution. There have been increases in inventory which may or may not be significant. What is significant is SDI's treatment of research and development. Instead of expensing it it capitilises part of it. This is different from co's like Tech One and IBA who expense it 100%.

In this case SDI capitilised sufficient of its research to enable management to reach its profit target for bonuses to apply. I regard such actions as insights into the company.

Splitting the shares is another example of managing the share price rather than the company. It adds nothing of substance to the company. Wheras more concentration on shifting the inventory might allow the profit target to be hit without massaging the research expense figures and give a more honest profit figure.

Don't know what Aunty Madge and the boys at the pub reckon about that
sort of behaviour, Davidrob.

PS Looking forward to reading your posts that signalled that Bab****and Brown was the intended recipient of $75k of the Davidrob Super Fund. How much have you got on SDI ?

robbo
11-10-2004, 05:53 PM
Hi Kiwi!...

I think you'll find an appropriate response on the latest Astron thread mate...Sorry if I've annoyed/offended you though...

Apologies,

Regards.
Robbo.


quote:Originally posted by k1w1

SDI should be viewed with caution. There have been increases in inventory which may or may not be significant. What is significant is SDI's treatment of research and development. Instead of expensing it it capitilises part of it. This is different from co's like Tech One and IBA who expense it 100%.

In this case SDI capitilised sufficient of its research to enable management to reach its profit target for bonuses to apply. I regard such actions as insights into the company.

Splitting the shares is another example of managing the share price rather than the company. It adds nothing of substance to the company. Wheras more concentration on shifting the inventory might allow the profit target to be hit without massaging the research expense figures and give a more honest profit figure.

Don't know what Aunty Madge and the boys at the pub reckon about that
sort of behaviour, Davidrob.

PS Looking forward to reading your posts that signalled that Bab****and Brown was the intended recipient of $75k of the Davidrob Super Fund. How much have you got on SDI ?

robbo
10-11-2004, 01:22 PM
SDI--Time to remember to Brush your Teeth

On 11/10/04--

I was verbally smashed "personally" for suggesting we keep an eye on SDI Dental Products::([}:)]:([8][}:)]

It quite hard sometimes to: "Go against The Crowd"

Anyway;... since it is nearly 1 month exactly a quick UP-Date, on SDI:

For those who bought on the date of the first Post on SDI they would have Paid: # $1.62.... Since then, and still trending UP--in 4 weeks time a nice healthy safe Rise of 21-22% on your original Investment; closing at just shy of $2.00---or put, another way; on $50,000--you would have made: $11,000 Profit.

Kind Regards,
Robbo:):)





quote:Originally posted by k1w1

SDI should be viewed with caution. There have been increases in inventory which may or may not be significant. What is significant is SDI's treatment of research and development. Instead of expensing it it capitilises part of it. This is different from co's like Tech One and IBA who expense it 100%.

In this case SDI capitilised sufficient of its research to enable management to reach its profit target for bonuses to apply. I regard such actions as insights into the company.

Splitting the shares is another example of managing the share price rather than the company. It adds nothing of substance to the company. Wheras more concentration on shifting the inventory might allow the profit target to be hit without massaging the research expense figures and give a more honest profit figure.

Don't know what Aunty Madge and the boys at the pub reckon about that
sort of behaviour, Davidrob.

PS Looking forward to reading your posts that signalled that Bab****and Brown was the intended recipient of $75k of the Davidrob Super Fund. How much have you got on SDI ?

OneUp
10-11-2004, 01:28 PM
Where do you think it is going to from here, davidrob?

robbo
10-11-2004, 02:59 PM
SDI--Dental (SDI)

My preliminary personal thoughts are that

(1) SDI has maybe 20-25 % Growth left in current Share price; between now and say end of Feb/early March(barring any external negative or positive Announcments for SDI which would naturally alter my personal view).....

(2) Number (1) view, is predicated; on current PE/PEG levels.... and historical tolerance--IMO--- of Market vis-a-vis SDI PE Multiples... to trade/assess/value this share(SDI); as relatively "low-perceived risk" and reliable growth in on-going & forward earnings; and thus Trade at higher than current Multiples...

(3) SDI often DOES give//provide up-graded Revised earnings forecasts before Half Year results: so will watch THAT ANNOUNCEMENT SPACE with interest and expect it, based on PREVIOUS SDI experience, to be more than likely, to be UPBEATISH....:)[:p]:)--but that is my intuition speaking and is NOT scientific !!!:)[:p]:)

(4) Personally, I RATE future of SDI as: between Very-good to excellent; or on a scale of 1 to 10, somewhere around, approaching an 8--8.5 out of possible 10....But that of course is my personal view.

(5) Remeber that the last 20% increase is mainly in a "Resticted Trading Period" under SDIDA--so although there may be a minor small dip, I bleive with improved liquidation due to the split, and shares coming out of escrow, we'll see the smaller-medium INSTO's, maybe enter the SDI share refgister; as SDI is a Stock that would fit--IMO--many INSTO mandates....

Hope that answers YOUR querry,

Regards,

Robbo.:):)

Revhead
10-11-2004, 03:09 PM
good call robbo.

and naturally, you are not required to advise your holdings in any company's you post on here. I'm surprised that anyone would have the audacity to suggest otherwise!

cheers
Rev

k1w1
24-12-2004, 08:53 AM
This share has fallen in value 34% since mid- November. Latest update on SDI shows why caution was needed :

Falling stock a shock for SDI investors
By Christopher Webb
December 24, 2004

Shareholders in Jeffery Cheetham's SDI have received an unexpected and unwanted little Christmas surprise.

On Thursday the fast-expanding dental products outfit released an earnings downgrade and the shares promptly fell up to 11 per cent, to $1.25. They closed at $1.30, on relatively heavy volume.

This is a stock that has been declining fast recently, and the asleep-on-the-job stock exchange failed to ask the company if it could shed any light on the weakness. From mid-November to the close of business on Wednesday, SDI shares had fallen by 34 per cent.

Thursday's tidings were that SDI's earnings for the current half-year would be "minimal" due to a slower start in sales and other factors.

Mr Cheetham declared he was confident that the second half would meet its earnings target but the annual target would fall short.

The year's earnings-per-share forecast was reduced from 8.5¢ to 7.9¢ - still a 15 per cent increase.

This is a company that promised - and achieved - much on earnings, so a lopping of growth from 24 per cent to 15 per cent was not appreciated.

Meanwhile, interests associated with one SDI director got lucky on November 15.

Gabrielle McCorkell filed a notice with the exchange on December 3, revealing that 125,000 shares had been sold at $1.86 apiece on November 15, raising $232,500.

Christmas did indeed come early: those shares on Thursday were worth $156,250.

But the McCorkell interests are suffering, along with others on the register, on the 550,000 shares that were retained.


quote:Originally posted by davidrob

SDI--Time to remember to Brush your Teeth

On 11/10/04--

I was verbally smashed "personally" for suggesting we keep an eye on SDI Dental Products::([}:)]:([8][}:)]

It quite hard sometimes to: "Go against The Crowd"

Anyway;... since it is nearly 1 month exactly a quick UP-Date, on SDI:

For those who bought on the date of the first Post on SDI they would have Paid: # $1.62.... Since then, and still trending UP--in 4 weeks time a nice healthy safe Rise of 21-22% on your original Investment; closing at just shy of $2.00---or put, another way; on $50,000--you would have made: $11,000 Profit.

Kind Regards,
Robbo:):)





quote:Originally posted by k1w1

SDI should be viewed with caution. There have been increases in inventory which may or may not be significant. What is significant is SDI's treatment of research and development. Instead of expensing it it capitilises part of it. This is different from co's like Tech One and IBA who expense it 100%.

In this case SDI capitilised sufficient of its research to enable management to reach its profit target for bonuses to apply. I regard such actions as insights into the company.

Splitting the shares is another example of managing the share price rather than the company. It adds nothing of substance to the company. Wheras more concentration on shifting the inventory might allow the profit target to be hit without massaging the research expense figures and give a more honest profit figure.

Don't know what Aunty Madge and the boys at the pub reckon about that
sort of behaviour, Davidrob.

robbo
24-12-2004, 02:51 PM
"Touche" .... KIWI 1 !!

Hope you, your family and loved ones ;

Have a merry merry Chrismas,

Seasons Greetings,

Regards,

Robbo

winner69
24-12-2004, 07:09 PM
Amazing ... shareprice nearly half what it is a month or so ago

Punters don't forget companys that wait until Xmas eve before the bad news.

K1w1 comments about capitalised research expenss (echos of ION here) needs consideration ... one would have to assume that even the 7.9 cents / share forecast for 2005 wouldn't have too much of these deferred expenses bought back into the P&L.

Question mark over how much real earnings are ... so look at cash flows .... and last years operating cash flow was only $4M (3.4 cents/share)

Be interesting to see how the share price behaves from hereon in but Phaedrus would have fun with the chart of this one.

k1w1
24-12-2004, 08:44 PM
quote:Originally posted by davidrob

"Touche" .... KIWI 1 !!

Hope you, your family and loved ones ;

Have a merry merry Chrismas,

Seasons Greetings,

Regards,

Robbo


No Robbo, its actually 2- 0, as I caught you out on that Bab****& Brown episode.

I am also anticipating that I will eventually get bonus points for cottoning on to you earlier than most, as will Cap.

Thank you for your best wishes . Have a Merry Christmas and a good hard look at yourself in the mirror in the New Year.

K1w1

Krustytheclown
25-12-2004, 09:51 PM
Well done Kiwi on alerting all to the absolute bulldust that was called "strong growth at SDI" and "reliable growth and percieved low risk" and other illconcieved ramping while the titanic took on its first bilge filling washes.

I feel for those silly enough to be taken in by some of the expoused babble about SDI in October!

Gregor.

OneUp
11-05-2005, 03:21 PM
Market has certainly fallen out of love with SDI, down another 10% to $0.72 (pre split $3.60). But is this the worst of it? The company remains confident of a return to growth, forecasting about $9m NPAT in 2006. Anyone believe that?

On forecast NPAT of $4-5m, it's on a PE of 17-23. Looks a little pricey IMO.

Flying Goat
05-06-2007, 07:10 PM
This one has an RSI below 10 - and looking oversold on about 9 or 10 times FY07 forecast earnings.

steve fleming
09-02-2013, 08:10 AM
Thought i'd bump this Robbo classic thread after an impressive profit upgrade through the week.

"SDI estimates that it will achieve a net profit after tax for the 12 months ending 30 June 2013 of $4.0m to $5.0m, compared to $1.97m for the
corresponding period last year. "

So profit back to pre GFC levels, but share price is still way down, given lower multiple environment.

One of my biggest regrets last year was not picking these up at 10c.

Stranger_Danger
09-02-2013, 09:16 AM
I was lucky to pick up quite a few of these in the low 10's. Second go round for me - this was a ten bagger many years ago.

To be honest, its moved much faster than I thought which is why I didn't put it in the comp (damn). Keep in mind, this improvement has come without a fall in the AUD which would help it further.

Definitely a bit more in this one.

steve fleming
11-05-2013, 11:53 AM
I was lucky to pick up quite a few of these in the low 10's. Second go round for me - this was a ten bagger many years ago.

To be honest, its moved much faster than I thought which is why I didn't put it in the comp (damn). Keep in mind, this improvement has come without a fall in the AUD which would help it further.

Definitely a bit more in this one.

Reaching a 5 year high, presumably benefiting from a lower AUD, but also, a relatively low price of silver.

Will be interesting to see the impact of any sustained lower AUD and silver price on the FY14 profit - will likely be very material.

Stranger_Danger
11-05-2013, 01:08 PM
Indeed. AUD/Silver has been a perfect storm against them for several years. I could see SDI at 70cps by year end, but, management don't have a good track record for straight talk, shareholder interests and capital management, so this is definitely not a no risk play.

steve fleming
02-08-2013, 07:55 PM
Indeed. AUD/Silver has been a perfect storm against them for several years. I could see SDI at 70cps by year end, but, management don't have a good track record for straight talk, shareholder interests and capital management, so this is definitely not a no risk play.

Reached your 70cps target today, with 5 months to spare.

Looks like some decent board rejuvenation happening at the moment as well.

Stranger_Danger
03-08-2013, 07:28 AM
Yeah, there are a lot of shares moving mighty fast, including SDI. I'm always a bit worried when investment is too easy and it is starting to get too easy. Someone who made their first ever sharemarket investment this year gave me a stock tip the other day (XRO).

The next set of results will have to be decent to justify the share price - remember, SDI was in breach of their banking covenants at their last report.

If the price keeps moving, I hope the directors take advantage of a strong share price to raise some equity towards a stronger balance sheet and/or an intelligent acquisition.

They missed the opportunity when the share price went up 20 fold in the early 2000's - the CEO sold a few million of stock to buy a house, and that was it. This lack of action really hurt them when things turned down, and it wasn't long ago that the debt roughly equalled the market cap.

percy
27-02-2014, 10:14 AM
Pleasing result out yesterday.Net profit forecast for the year is between $5.2mil and $6mil.EPS for the 6months were up from 1.9 cents to 2.3cents.Nice surprise is that they will pay a 2cent divie.

steve fleming
27-02-2014, 08:14 PM
Pleasing result out yesterday.Net profit forecast for the year is between $5.2mil and $6mil.EPS for the 6months were up from 1.9 cents to 2.3cents.Nice surprise is that they will pay a 2cent divie.

that would be a nice surprise Percy, unfortunately only 0.2 cents!

percy
28-02-2014, 04:57 AM
Whoops!!!
Got that wrong!!!!

noodles
10-07-2014, 02:03 PM
Percy,

Full year forecast out now. And it looks like they have turned a corner. I love turnaround stocks as you can pick them up for a bargain. CVT.NZ a recent example.

Quick Summary
-after tax profit in the range of $5.7m to $6.2m compared to $4.7m for the same period last year. This should result in eps=0.05
-Second half sales are up "sales increase of 3.8% when allowing for currency fluctuations". First half sales were flat in constant currency terms.

At the half year, NPAT was $2.7mill. However, this included a tax benefit of $0.2mill. So second have has been strong at the bottom line. Perhaps $3.2mill for the second half. Annualise that and you get a pe<10.

As 90%of their sales are outside Australia, they should not be too affected by the limp aussie consumer. Exchange rate is key.

DISC:Holding

percy
10-07-2014, 02:20 PM
Thanks noodles.
Still holding,full year result due 25th August.
Should get GLH's result about the same time.

mark100
10-07-2014, 04:06 PM
SDI was possibly one of my first multi-baggers back in 2001-2003. For the most part since then it has been a bit of a dog. But I picked up a few following the recent profit guidance. First time I've held in over 10 years!

mark100
10-07-2014, 04:08 PM
Also Under the Radar Report, for the most part a pretty average newsletter, tipped them last night which explains some of today's spike

percy
10-07-2014, 04:11 PM
Also Under the Radar Report, for the most part a pretty average newsletter, tipped them last night which explains some of today's spike

Thanks mark100.

noodles
10-07-2014, 04:54 PM
SDI was possibly one of my first multi-baggers back in 2001-2003. For the most part since then it has been a bit of a dog. But I picked up a few following the recent profit guidance. First time I've held in over 10 years!

I also owned this in 2002. Unfortunately I did not make money. It would have been one of my first trades.

noodles
10-07-2014, 04:55 PM
Also Under the Radar Report, for the most part a pretty average newsletter, tipped them last night which explains some of today's spike
Agreed. Low quality newsletter. But I think they are making the right tip here.

Given the price action today, it looks like it will be a hard road up to 75c(my target). There are lots of sellers.

noodles
05-08-2014, 07:47 PM
Sdi in the smh.

http://www.smh.com.au/business/motley-fool/heres-a-stock-to-make-you-smile-20140723-zw1qk.html#ixzz39TFyxZJi

percy
05-08-2014, 08:06 PM
Sdi in the smh.

http://www.smh.com.au/business/motley-fool/heres-a-stock-to-make-you-smile-20140723-zw1qk.html#ixzz39TFyxZJi

Thanks for the link,put a smile on my dial.

Daytr
05-08-2014, 08:15 PM
Haven't heard this name in 10 years, when I used to supply them silver to make fillings!

Joshuatree
05-08-2014, 09:39 PM
Great little company atm but took profits @69 c for another opp.

Daytr
06-08-2014, 06:30 AM
They do in Asia etc & or they did back then. We used to supply them about 5k ounces so it was pretty small business. I had a look at their financials & was pretty unimpressed. Their admin costs are far too high for a company of this size. In their last 6 months they chewed up something like $13M. A ridiculously high number IMO. Suggests there are some fat cats being paid very well.

Joshuatree
06-08-2014, 10:37 AM
Thanks Daytr. Maybe as Steve points out that there a lot of moving parts for SDI to manage, exchange rates, silver, multi country sales , manufacturing costs etc.
Main indicator is that the mkt has liked it since update. S/P from re 43c to 69c and some valuationa re 75c.

percy
06-08-2014, 12:03 PM
They do spend a great deal on R & D.

noodles
25-08-2014, 07:14 PM
The positive news just continues. They just beat their forecast of $5.7-$6.2 mill by recording a NPAT of $6.467mill. Their second half eps=0.032c. Annualise that and you get 0.064c. This puts them on a pe of just 10.88 (at a closing price of 69c).

Given it is the health sector, this company could easily justify a pe=15 or a price of 95c.

Disclaimer. Still holding

noodles
25-09-2014, 08:22 PM
Things are looking up for SDI. One of the key input costs for SDI is silver. The silver price is plunging.
http://www.infomine.com/investment/metal-prices/silver/6-month/

Stranger_Danger
26-09-2014, 10:34 AM
Things are looking up for SDI. One of the key input costs for SDI is silver. The silver price is plunging.
http://www.infomine.com/investment/metal-prices/silver/6-month/

The falling Australian dollar, fundamental improvements being made to the cost structure, business and board, plus a relatively recession proof product, puts them further into the sweet spot.

One of the very few shares I'm buying in this environment.

Joshuatree
25-02-2015, 02:31 PM
Punting back in @ 60c. Seems brazil is taking longer than expected

Joshuatree
05-08-2015, 11:52 AM
Just been to the Teeth Hygenist ; easy way to lose weight don't go for 3 years and leave 2kg of plaque &tartar on the floor. Anyways reminded me of SDI; looks like a very good breakout for leading into results.Off the bottom ,50c and hitting 56.5c atm

duncan22
08-08-2015, 09:30 AM
Good post on SDI here: http://hotcopper.com.au/threads/thinking-aloud.2566388/?post_id=15749473#.VcUxbvmqqko

Joshuatree
08-08-2015, 10:12 AM
You've found the Maestro:t_up:

Corporate
15-08-2015, 12:00 PM
Great stock with hopefully a decent FX tail wind. I've been trying to buy my fill recently.

cloggs
16-08-2016, 08:46 AM
Anyone out there have any opinions on this. I accidentally entered their code while looking for a different stock but ended up liking what I read. Revenue and profit up 10%.

levin123
16-08-2016, 09:06 AM
Anyone out there have any opinions on this. I accidentally entered their code while looking for a different stock but ended up liking what I read. Revenue and profit up 10%.

Fantastic run since May. Hitting 52 week high though. Haven't looked at the fundamentals in depth yet but appears fairly cheap.

If price pushes through 70c~, may pose an opportunity. Otherwise I will look for a reversal in the trend and then if the fundamental analysis aligns, may be a go.

duncan22
16-08-2016, 11:14 AM
Anyone out there have any opinions on this. I accidentally entered their code while looking for a different stock but ended up liking what I read. Revenue and profit up 10%.

I am still on board this one. Pie Funds recent substantial holder.

Good write up here: https://www.shareidea.com.au/idea/20160615/sdi-sdi-ltd

cloggs
16-08-2016, 02:24 PM
Good write up. Thanks.

DarkHorse
16-08-2016, 08:59 PM
"SDI’s peers like Coltene (SWX:CLTN), Dentsply Sirona (NASDAQ:XRAY) and Shofu Inc (TYO:7979), all trade on forward multiples of 18-23x, yet SDI trades on ~9x FY17 earnings. The market is yet to price in the favourable market tailwinds and the significant progress the company has made in it’s higher margin, higher growth product ranges. As a result, SDI looks attractively priced and well positioned for a re-rate as the market recognises the growth being achieved by the company's newer products."

Tremendously comprehensive write-up here: http://www.capitalhmanagement.com.au/2016/07/26/sdi-ltd/
These guys have achieved outstanding results so far (another of their holdings Wingara shot up today :) ), very happy to hold with them and now also Pie as substantial holders.

DarkHorse
29-08-2016, 08:04 PM
Up 10% on 2016 results out today:

FY16 HIGHLIGHTS Sales revenue up 8 per cent to $74.1 million
 Profit after tax up 22 per cent to $7.6 million
 EBITDA up 25 per cent to $15.4 million
 Dividends increase by 43 per cent
 Cash increased by $1.0 million
 Borrowings decreased by $1.4 million

Note in Australian dollar terms sales were up only 1.7%. However, the transition from amalgam to higher margin products continues:

Glass Ionomer sales increased by 28.2 per cent, Composites by 15.6 per cent, Whitening by 22.9 per cent,
Equipment by 5.0 per cent, and Amalgam sales decreased by 7.5 per cent. Global demand for non-Amalgam
products is increasing and although SDI experienced significant increases in its non-Amalgam sales, these were
offset by the decline in Amalgam sales, which represented 34.1 per cent of the company’s total sales.

Still debt free (net cash), on low multiples, and not far below the 100 million mcap mark which would put it on the radar of small cap funds.
Also a good hedge against market downturns, with high leverage to any drop in AUD against USD.

Anyone else holding - or decided against? Be great to hear your thoughts.

Joshuatree
29-08-2016, 10:04 PM
Unnoticed, unloved, unrecognised..... no more. Valued at a PE of 10 by one.Liquidity the only issue maybe. Will look to buy back in.
ps wasn't aware of a new CEO; this has been the game changer/catalyst imo for the family run business which had been promising much for years but never quite reaching its potential.Now it has.

mark100
30-08-2016, 12:58 PM
Unnoticed, unloved, unrecognised..... no more. Valued at a PE of 10 by one.Liquidity the only issue maybe. Will look to buy back in.
ps wasn't aware of a new CEO; this has been the game changer/catalyst imo for the family run business which had been promising much for years but never quite reaching its potential.Now it has.

Not really a new CEO JT. She was joint CEO with her father. He is now stepping down to Chairman and Sam, the daughter, assumes the role in her own right. How much of an influence he will be remains to be seen but hopefully there will be a heft pay cut.

Discl: Held

Joshuatree
30-08-2016, 03:21 PM
Thanks mark ; i know your research is of the highest standard so appreciate the correction; still hope the new young broom keeps up the momentum.Great to hear from you; thought you'd gone for good. Unfort the few of us on here int in Aus stocks feel a little like that at times.

mark100
30-08-2016, 03:44 PM
Thanks mark ; i know your research is of the highest standard so appreciate the correction; still hope the new young broom keeps up the momentum.Great to hear from you; thought you'd gone for good. Unfort the few of us on here int in Aus stocks feel a little like that at times.

I'm still on hotcopper and try to read sharetrader every couple of days. Not enough time to post on 2 sites these days!

I think SDI is making an attempt to improve their Investor Relations. Probably because of pressure being applied by some shareholders but also because the Sam is more receptive to this than or father was. I think he might have got turned off after he took a similar path in the early 2000's only for the stock to boom and then crash when progress disappointed.

Joshuatree
23-11-2016, 05:23 PM
Trading Update (http://hotcopper.com.au/threads/3063470/)
Downgrade. S/P down 26%.Dodged a bullet there by being too slow on the uptake prevoiously.:mellow:

levin123
23-11-2016, 05:34 PM
Trading Update (http://hotcopper.com.au/threads/3063470/)
Downgrade. S/P down 26%.Dodged a bullet there by being too slow on the uptake prevoiously.:mellow:


It looks like the market misinterpreted this announcement?

The announcement reaffirms FY17 guidance, but states that 6 month results to December will be between $2-2.5m, compared with $3m last FY. But due to historically strong 2H's the company remains confident of hitting targets.

However the price has tanked 33% on close.

From the update: There has traditionally been a skew in earnings favouring the 2nd half of the financial year, due to seasonality in the regions that the Company operates in. This year SDI expects an even greater skew because of the impact of currency. The Company expects net profit after tax to be in the range of $2-$2.5 m compared with $3m for the first half of financial year 2016.

Has the market taken that $2-2.5m figure to be full FY17 forecast? A quick careless glance over could construe this due to the way it's worded.

Or has the price just been trading at a large multiple due to expected growth, and now that guidance is wobbling, the market is reacting accordingly?

Considering taking a punt.

carrera
24-11-2016, 02:17 AM
i'm wary that they can't beat last years npat without doubling what they do in the second half. i have no idea what a second half number usually looks like though. the market could have read the announcement wrong or predicted a flat next half.

my back of the envelope is assuming a valuation of $1 from a previous link (no idea how he arrived at it), then knocking 5c off which would give me about 31% under. i'm seeing a lot of stocks like this at the moment so it may be normal.

with trump stocks the big thing, a health stock may be on the outer and people are moving elsewhere. bear in mind i like to actively look for excuses to not buy, i've gone too early on a couple recently and need cash on the side.

levin123
24-11-2016, 08:09 AM
Can't see Trump being a factor here.. Either the market had a knee jerk reaction and we will see a recovery today or the prevailing thought is that they won't make 2H NPAT target, in which case another tumble may be on the cards today.

Either way I like the fundamentals of the business. When a business exports 90% of their goods, ccy fluctuations will always come into play. Over time should even out though

Joshuatree
24-11-2016, 08:40 AM
Its an unconventional family run business which is out of synch with shareholders way of thinking; what a confusing announcement.. They don't seem to care much about the s/p but in the longterm growth of the business. PIE have been selling down maybe more to go today. Will watch..

DarkHorse
25-11-2016, 08:32 PM
The market remains very skittish, reacting brutally to any earnings disappointments, actual or anticipated.
Revenue seems to be in line with forecasts, but profit to come in below expectations, presumably due to increased overheads - more marketing spend? Their marketing spend has gone up in fits and starts over the years; key thing for me is sales growth remains robust along with transition to higher margin products.
I'd like more detailed communication but I'm happy for the management to think long term. As Warren Buffet said, the stock market is a device for transferring wealth from the impatient to the patient.

Joshuatree
25-11-2016, 09:16 PM
Ive read they were on the wrong side of a currency hedge/ trade when Brexxit happened. Almost bought back in for a third time but got distracted and thinking PIE and many other funds could still be reducing/selling out.S/P recovered a little to 78.5c today.

Joshuatree
29-11-2016, 10:08 PM
Back in today after that hiatus, @75c .Heres hoping the s/p is settling now but have a fedora hat soaking in case i have to chew on it.. But have funds ready for another parcel if i should be so blessed.

Joshuatree
24-02-2017, 12:14 PM
Well I've pimped in for some more today; knowing if i take my fedora (protects from falling knives)off i will be obliged to get cut then eat the hat. DYOR ( i refuse to confirm or deny that i have)

Joshuatree
25-08-2017, 01:42 PM
Up 20% t 66c atm, I'm back to breaking even on this (plus divs). Back in the drawer (kicks shut with foot).

"GP Margin held up well considering the exchange rate movements
JH tax rate was 34%
Working capital management was very good.
Record Operating Cash flows
Record investment made in the business, including purchase of a property
Company is in net cash position
Record dividend declared"

mondograss
17-01-2018, 08:13 AM
Just been recommended as a pick on MFDI.

Joshuatree
17-01-2018, 09:13 AM
It has habit of disappointing the mkt consistently then rising from the ashes again to become an undervalued bargain. Biggest weakness is its all in the family and run like it unfortunately. Note to self trade this one dont invest.

mondograss
17-01-2018, 09:15 AM
Yes I'd noticed that since daughter-dear took over as CEO it has not done well. Generally that sort of nepotism is a big red flag for me.

Joshuatree
19-12-2018, 11:01 AM
Thread » (https://hotcopper.com.au/threads/news-sdi-sdi-says-sales-expected-to-increase-by-about-6-for-hy-ending-31-dec-2018.4582825/#post-36901837)

6% increase in sales profit up to 100% up on same period. Welcome news in dodgy times .

DarkHorse
21-12-2018, 08:01 PM
AUD exchange rate significant for profitability. Somehow reminds me of DDR as a small under the radar co in a challenging market that keeps plugging away and growing sales - except DDR have a habit of meeting or exceeding expectations (unlike SDI as per your January post JT^^)

wizAlvin
13-01-2019, 08:33 AM
ASZ 2019 competition closing in few hours

Joshuatree
31-01-2019, 12:06 PM
December 2018 Trading Update (https://hotcopper.com.au/threads/4582609/)
Check out the change in 1 month $1.9 to $2.4 to $2.8 to $3.1 mill after tax profit for 6 months:)

Revised December 2018 Trading Update (https://hotcopper.com.au/threads/4619393/)