Codan - CDA

[steve fleming]

Not a good look for a stock that had become quite a darling among the Roger Montgomery set (although I am sure Roger will have conveniently sold out prior to this downgrade)

One of the Montgomery guys was on YMYC during the week and confirmed that Montgomery had exited its CDA stake in the 'high $3's".

They subsequently bought back at around $1.50 and now have a $2 valuation on CDA.

For someone that goes on and on about about long term investing and about buying into great companies that will be around in a generation's time, they certainty know how to trade short term movements.

[Lizard]

I have a target of $2.60... hope I'm not being too greedy. But having missed selling first time around, I'd quite like a half-decent exit.

[Lizard]

Nice trade, KW!

[blackcap]

I sold out today, I think its going to hit a bit of resistence at the 200 day MA, and the hourly charts seem to indicate resistance at $2.20. Also looks like a bearish doji star is forming today. Nice trade though for a 31% gain in a month

Geez that was good timing KW. Well done

[tosspot]

I only had a brief look at the report but it seems ok I cant see why the price got hammered so badly. may be an entry point on Tuesday or Wednesday if the usual 2 days pounding happens with this stock

[Lizard]

Thought that bumper year might have translated to a big increase in cash... not so as it appears to have nearly all gone into inventory build. Would have to hope they don't need to write any off.

Other than that, the huge dependency on detector sales seems not a great thing and they will need to find a less volatile sector for growth to attract investors rather than traders.

[Lizard]

And now down to $1.30 and admitting on the back of an ASX query that they need a trading halt to re-jig their forecasts... epitomising the sharemarket principle that "when it starts going wrong, it usually just keeps getting worse"

[AndyLP]

And now down to $1.30 and admitting on the back of an ASX query that they need a trading halt to re-jig their forecasts... epitomising the sharemarket principle that "when it starts going wrong, it usually just keeps getting worse"

Super fishy this one! Can't wait to see what the new guidance is.. starting to think I didn't do too badly taking a small loss at 153. P/E of ~5 though.. watching closely.

[AndyLP]

oh wow.. profit downgrade, and opening with 47% of what it was worth wiped off on open. Amazing

[Joshuatree]

A PIE fave with CDA Directors buying up @ 40c recently. Anyone holding?
A snippet from PIE; below.

"Revenue of $103.9 million was up 60% on 1HFY16 andEBITDA of $37.1 million, was up 152% on 1HFY17.Codan’s result was above the top-end of guidance given inNovember 2016 and was accompanied by an upgrade toguidance and a special dividend. The upgrade to guidanceand special dividend this early in the year makes us thinkthat this golden opportunity has plenty more to give "









Revenue of $103.9 million was up 60% on 1HFY16 andEBITDA of $37.1 million, was up 152% on 1HFY17.Codan’s result was above the top-end of guidance given inNovember 2016 and was accompanied by an upgrade toguidance and a special dividend. The upgrade to guidanceand special dividend this early in the year makes us thinkthat this golden opportunity has plenty more to give.