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.

Looks like the Directors agree with you Oakapple:
LONDON (Thomson Financial) - "Hamworthy PLC said chairman Gordon Page purchased 10,000 shares in the company at 513.5 pence each and now holds 0.09 pct or 41,000 shares.

It said chief executive Joe Oatley purchased 0.01 pct or 4,760 shares in the company at 513.5 pence each.

Additionally, finance director Paul Crompton purchased 5,710 shares in the company at 513.5 pence each and now holds 0.12 pct or 52,233 shares."

Down another 5%, which is probably annoying the directors who just bought at 513p.
HMY goes ex-divi next wednesday 28th Nov.

Well below the 200 DMA now, which is a bit alarming. I assume a bit of a selloff & mark down as it has now gone ex-divi.

"Engineering group Hamworthy said it expects its results for the year to end-March 2008 to be 'modestly ahead' of previous expectations, reflecting strong demand from the cruise ship market.

The maker of fluid handling systems said its order book for delivery over the next three years stood at 285m at end-February, against 254m a year earlier.

Hamworthy announces its full-year results on June 3rd, 2008."

"Full-year results (3rd June) from Hamworthy Plc., a designer and manufacturer of innovative marine and offshore fluid handling systems, are expected to be at the top end of expectations, and also highlight continued strong order intake for the year.

The group has a portfolio of innovative products with very strong market positions that are benefiting from the strong demand in the cruise ship market, and the growth in the demand for innovative solutions for the shipping and handling of natural gas.

For the year to March 2008, Raymond Greaves of Collins Stewart expects revenues of 240 million pounds, up 26 percent, EBIT of 16 million pounds, up 23 percent, and a 20 percent increase in EPS to 27.4 pence.

Going forward, the analyst is forecasting high single-digit revenue growth and mid-teens EPS growth. He sees upside to his forecasts from FPSO orders and/or bolt-on acquisitions.

Meanwhile, Scott Cagehin of Numis Securities predicts year to March 2008 pretax profits of 16.8 million pounds, up from 13.6 million pounds, for EPS of 27.0 pence against 22.8. He puts the dividend payout at 7.9 pence, compared with 6.9 a year earlier."

"Hamworthy reported a rise in full-year pretax profit and said it expects another year of strong sales.

The company said the near term outlook is secure, underpinned by a strong order book.

The company reported a pretax profit of 17.4m compared with 13.6m.

Revenue in the period rose to 231.8m from 190.8m year ago.

The company proposed a final dividend of 5.29p a share, lifting the total dividend by 15% to 7.94p a share from 6.9p a year ago.

Hamworthy said its year-end order book rose 16% to 311.8m."

harrycat , you appear lonely here - come and join in at http://boards.fool.co.uk/Messages.asp?mid=11093979&bid=51549 where there are at least a few people who you can share ideas with about hmy

Thanks for that. I am registered on the Motley Fool & I do watch the boards, but MAM boards seem to be busier with more active investors. MF is very good for 'in depth' opinion & between the two I can't fail!!! ;O)

HMY goes ex-divi wed 25th June.
Historically the sp has recovered quickly from the divi adjustment. This year may be different given the economic climate.

Accounting woes + subsidery FD sacked! ( see RNS).
Let's hope that's all - odd the Auditors didn't spot this, or do they only look in the petty-cash drawer at Head Office.

Drastic fall this morning. Can't find any news. Please help.

Drastic fall. Can't see the reason. Anybody know why? Has the cashier run off with the money?

spreads on smaller companies are appalling and you can see that here. Makes it totally untradable but then of course the market makers know that. It's probably an institution having to bail out. Problem is, it could have a long way to fall yet.

IMO

The accounting error may be slightly affecting this, but no big deal imo.
Sp has been down to 380p this year for no particular reason & current dip is on very thin volume of trades. Recent broker recommendations are all neutral with not much scope for movement in the share price.
I still think the company is sound, if unexciting. Don't forget though that it is only a small AIM Company & comes with it's own risks.

"Hamworthy (AIM:HMY), has signed a contract with Gasum OY to supply an onshore LNG plant in Finland to be delivered in mid 2010, with a value in excess of 10m.

The contract with Gasum OY, a natural gas importer and wholesaler in Finland, is for a 20,000t/y capacity LNG plant in Skdvik, Porvoo. The scope of supply includes a pre-treatment plant, liquefaction system and storage tanks.

Joe Oatley, Chief Executive of Hamworthy, said: 'We are pleased to have won this order which confirms progress in our strategy of broadening our exposure to the whole LNG supply chain. We have built on our experience in previous land based projects to develop a solution where much of the plant is prefabricated and this approach minimises site installation cost and risk."

"Hamworthy, the fluid handling systems specialist, said operating profit increased by 112% to 12.8m in the half-year to 30th September.

Operating margin increased to 11.3% and basic earnings per share rose by 110% to 22.5p per share.
The order book increased by 1.7% to 309.1m.

Cash generated from operations was 13.3m, leading to net funds at 30th September 2008 of 56.6m.

The interim dividend was raised 15% to 3.05p per share from 2.65p last year."

MoneyAM
"Marine, onshore and offshore fluid handling systems specialist Hamworthy has taken over Greenship.

Hamworthy is paying 2m cash and a further 5m once Greenship's ballast water treatment technology receives formal regulatory approval, anticipated later in 2009.

The acquisition will be funded entirely from Hamworthy's own cash reserves.

Based in Groningen in the Netherlands, Greenship is a privately owned business specialising in ballast water treatment for ships, which is an emerging market driven by international environmental regulations. "

MoneyAM
"Marine, onshore and offshore fluid handling systems group Hamworthy saw orders slow in the second half of the year.

But the group says it is confident of meeting expectations for the year ended 31 March.

The order book at 28 February stood at 270m - down from 285m a year ago.

The group said it had seen a slow down in the rate of order intake in the second half of the year due to the combined effects of the economic downturn, difficulties in obtaining finance for new ships and high levels of ship ordering in recent years.

The slowdown is predominantly in the gas and cruise ship markets, with new ordering of large LNG and LPG carriers slowing markedly as existing shipyard order books are delivered and this capacity is absorbed into the world's fleet. "

Business Financial Newswire
Marine and offshore fluid handling systems specialist Hamworthy is increasing its total dividend by 10% to 8.73p after "excellent trading results".

Revenue for the year to the end of March rose 9.1% to 252.8m - a decrease of 1.5% on a constant currency basis.

Operating profit rose 42.3% to 23.0m (2008 restated: 16.1m) or 26.0% on a constant currency basis with margins increasing to 9.1% (2008: 7.0%).

But order intake fell by 22.1% to 177.6m and the closing order book is down 16.5% to 260.4m.

Chairman Gordon Page said: "These excellent trading results are matched with good progress on our strategy outlined last year, placing the Group in a strong position to deal with the current challenging economic conditions."

Not a lot of chat on this one.

Noticed a couple of director buys in addition to the encouraging results.

Is it just you in this one Harrycat?