Brokers Hargreave Hale gave the following Valuation for HMY

VALUATION
The nearest comparisons to this Group are Sondex, trading on a current year multiple of 14 and Weir Group which typically trades on multiples of 12 plus. We would argue that Hamworthys prospects are brighter than both these companies in view of the strong order book and the global positioning. Fully taxed earnings of 13p this year and 16.5 p for the 2005/6 end March, suggests a current year PE of 9.9x and a prospective PE of 7.8x. There is a prospective yield in excess of 4%. If trading on a similar PER to Sondex the shares would be valued at in excess of 180p. We would argue that a premium to Sondex is justifiable, in particular because of the potential ramp up to sales as a result of the new product pipeline now gaining client acceptance in what is in any event one of the fastest growing markets in the world.

"Shares" Article relating to Hamworthy (HMY) posted below for info.

With a following wind these shares should double over the next year or so.

Some catty folk in the City say the flotation last month by Collins Stewart
could have been handled better, i.e. at a higher price. It was certainly over
subscribed but the rating is half that of similar oil sector service companies
including Sondex.

Yes thanks for that Paul.

cheers GF.

good to see an investors chronicle tip, can't do us any harm!!!

Shell announced yesterday that "it will transform itself into a global gas major over the next 10 years, producing more natural gas than crude oil, as it ramps up investment in a total of 10 multi-billion dollar projects".

Just reinforces how much opportunity there is out there for HMY.

Yep, and one day the share price will reflect that. In the meantime I could get bored waiting.

nice to see this up - good for the long run, but good to see a short term 5% rise too. Any news?

Sudden rise in volumes and SP has been happening for a few days - odds on something happening behind the scenes but I don't know what.

could this be due to rise in oil prices this week. Perhaps people are starting to look at different energy sources n more detail with LPG being one of them. An increase in LPG will ultimately be an increase in HMY SP.

Good to see some life back in HMY...the fall was way overdone! News must be coming!

There has been a steady rise in SP over the last few days but no great volume - I am taking a 30% profit and getting out of HMY for a while. I'll keep watching the stock but in the absence of any great news I'll wait on the sidelines. The LNG story is a good one but I have a feeling that much of the anticipated work for HMY is already in the SP.

Jim - I have done similar - although I have left a small stake in HMY

Baza

I'm staying with it. These are going to break to new highs on this run. We'll see 250 - 260 this time.

Hope you are right Pondie - good luck - but I have topped up in AHT so needed the cash

The news flow on LNG is really excellent. Anyone in any doubt as to the momentum of developments can visit http://www.lngexpress.com/

Here you'll find a steady stream of evidence (almost daily) of the future shipping needs, expectations and plans for LNG. Oil price rises, oil companies moving to LNG etc...should all be beneficial to HMY.

Cheers, Madison

http://www.lngexpress.com/

Tipped in IC today. Sent the shares up like a rocket first thing, but the rise couldn't be sustained and it's now fallen back to +4.5.
Like I said, these still have a long way to run.
Madison, thanks for the link. LNG is a boom sector - what we need to keep this going is some more newsflow from HMY themselves.

I agree that the newsflow on LNG is excellent - my point is that I think the market already expects HMY to do very well out of the big projects and I find it difficult to see what piece of fresh news is going to really drive the SP. Could be wrong of course !

Good rise today - is ther news in the offing ?? - oor just being carried along on the oil rise?

Baza

I read on ADFVN that there has been a broker note out with a target of 2.80. Maybe that and the Investors Chronicle tip last week have helped? It is good to see it moving again after not showing much signs of life since March.

This has been going vertical for a week now. I don't know what's behind it, I'm just enjoying the ride!

28% rise in a month is not bad at all i think.

I was looking to off load these when I moved house a month ago and glad i didnt. I'll carry on watching for any downturn due to profit taking but until then, im enjoying the ride like everyone else.