i was wondering if anyone out there had any strong views? this company appears to be delivering and has just turned EBITA positive after a great trading statement last week. seems like upside to +200p once results are out.

any comments or thoughts would be appreciated.

EXACTLY...these name gets dragged along with the crap like colt and thus buts its product is highly differentialted and in particular NOT voice focused.
buy and hold and wait for a fair value of 200p. i am.

sunday times article taliking about the smaller telco's. doesn't mention ESY in the article but does mention consolidation and reading between the lines is all about backing the survivors and proven business models. backing ESY all the way...

500,000 has just been booked...maybe clears an overhang.

big volumes today....

is noone else watching!

Trying not to watch this one proptrade, trying to convince myself that I do not own the shares, that way I will not be tempted to sell.

I have promised myself to hold for a year and best way for me to honour my promise is to pretend I don't own any.

These are a buy and long term hold imo.

capa

cheers for responding! i shall not be so pleading on my post next time!

to quote REM "no, no, no, your not alone"

capa

i like that...i may use it again sometime!

Prop,

I always listen to you and look forward to your posts on ESY. Thanks for keeping the faith..even although it must feel like you a lone voice in thw wilderness at times...I agree with you and capa...serious potential whenever the market comes to it's senses...consolidation would help because currently ESY getting lumped in the sector laggards...the opposite is true. I couldn't believe the 64p on Friday and topped up heavily so I'm happy once again today ...but a sustainable recovery in the SP is what we need..if we get some momentum going I think we should see 100p behind us in next to no time.

Held for a while @ 149p and will hold. Seems to be a battle with cost of broadband going on but will top up when funds become available. z

Thx for the comments. I have been round the houses talking to various city guys about this name and the consensus is that ESY is highly differetiated but some brokers have not grasped its true potential.

The conversations I had referred to potential private equity interests sniffing around or existing players here that may want to buy a network as opposed to the virtual lease that in the long run will never fully realise full potential.

The fact is that ESY has a fully paid for network and 40 million in cash. if you add the value of the fixed lines and the cash you virtually equal the existing mkt cap. the simplest maths but i warrant that the mkt doesn't realise that with a working business model that the company has already proved with EBIT positive from next year then everything beyond goes straight to the bottom line.

100p is ultra conservative. i am holding for 200p.

proptrade - couldn't agree more, plus I think worthy of mention is the quality of management who have constantly delivered what they have promised. When this company is profitable at the pre-tax level with a substantial cash pile people will wonder why the price was ever as low as it is now.

I bought at 78p and did not have a quid on my mind when doing so.

capa

capa

you are spot on. the mkt can be so short termist some time. we are dealing with the gem in an unloved sector right now. when sentiment turns around which by the cyclical laws it certainly will, then 100p is a heartbeat away.

look at airlines. a few weeks ago they were mud and now they are mustard. of course there are external issues that have sparked interest there but in that case it was a fall in oil and iceland air buying 10% of easyjet. now look at the sector a few weeks later.

Telco's are so similar. nobody is factoring in that when 3G is launched by the other providers here and the killer app is discovered (probably video clips of football or whatever) then this has a broadband knock on to wire networks themselves. in no time companies will be holding video conferencing via mobile phones and patched in via - you guessed it - enhanced broadband services.

This period we are in now is a pause in the growth of broadband services. the excess capacity will be quickly filled with film downloads, intercompany cross boarder always on video broadband etc etc etc.

ESY has positioned itdelf as a major player with a suitable, working efficient business model and is now well established.

buy it chaps and chapesses.

Hello ESY followers.

Having a look see here.

I have asked protrade a burning question on another thread.

Word is that consolidation of smaller companies is the next viable outcome in that sector

What are his views.

I am sure they will follow shortly.

consolidation is so close you can smell it. this company is so misunderstood it is almost untrue. basically the problem has been is that its offering is highly differentialted from the likes of Colt and Thus yet it has been tarnished with the same brush.

The will be EBIT positive by next year, they are cashed up and have excellent management who have always delivered (SEY all over!).

anyway, sector is in the doldrums and i can see these pups shooting back up in no time....

How about a chart to see where we are-

looks like a bottom to me...what so you all think?

Not too sure, there may be a little bit more to go, unless something happens to boost it.

The flattening could well indicate bottom though. Bit more of an up, and it will be away.

I have been looking at KCOM as well, another one that has been dragged down by the results of others.

Difference there is that consolidation is out of the question at the County Council own 51% I believe and have stated no intention of selling the shares.

ESY looks like it may leap at the slightest invitation to a much higher price.

Although I need to look a bit deeper, the signs are there and have been for a while, but why has the price drifted down so much?

I may have a look at this for a short play, and I mean holding for a short time, rather than shorting.

Just a thought!

The reasom for the continuing fall may be that it is going to make a bid for another company.