This is a BUY tip from Tom Winnifrith...

Sorry if this is rather boring as the market cap is now c 350 million but at 470p Avanti Communications (AVN) - a stock held in the SF t1ps Growth Fund - is really very cheap whichever way you look at it. It is now funded to launch 3 satellites into space ( and fully insured if the worst happens which will only delay the programme by 6 months anyway). You value Avanti by discounting back the net cashflows these satellites will generate. That depends on how much capacity is sold and at what price. Use a model based on very conservative assumptions and this stock is worth 13 ( the lowest valuation in the market). But that model uses assumptions about sales prices which are already being beaten by forward sales Avanti is booking today. Use those prices and you head up to the 22.50 value of house broker Cenkos. My own view is that Avanti will do better still and this stock could therefore be worth 25. Exc itement will mount as the first satellite is launched later this year. Remember those valuations are the Net Present Value of future cashflows ( i.e. what they are worth today). If you can buy at under 600p ( as you can now) you should do so and sit back and wait. I suspect after HYLAS 1 is launched you will never again be able to buy at less than 600p.

Can I take it you've joined me then tabby ?

Might have?

Nice and cosy here ... just you and me.

XEL looking good tabby if your interested.

"Nice and cosy here ... just you and me."

Not so Dil! ;o)

OMG ... here comes the crowd tabby !

Nice of you to join us Kim :-)

Haha!

Anyway, I was here before Tabby! ;o)

Oh yerand I was here after you Kimlol

skinny'll be along soon Kim ... put your house on it :-)

Im trying to work it outwill that mean Im here before skinny? Ive beat him at lastyippeee!

Lol!

Can't do that Dil. My house is on this & BPC!

I think skinny's buy just went through ... 16 !

Skinny must have upped the target, 4 x 79 buys gone through!

:-)

XEL up 25% tabby , I did tell you.

If you can be bothered to brush aside the tipsheet's self promo hype (and in this case there's an awful lot!) - it appears the author is quite impressed by Avanti ;o)

Thinly disguised Avanti tip

Launch Success



TIDMAVN

RNS Number : 2156V
Avanti Communications Group Plc
28 October 2010

?
+--------------------+-------------------------------------------------+
| Date: | 29 October 2010 |
+--------------------+-------------------------------------------------+
| On behalf of: | Avanti Communications Group plc ("Avanti" or |
| | "the Company") |
+--------------------+-------------------------------------------------+
| | |
+--------------------+-------------------------------------------------+

Avanti Communications Group plc
Launch Success

Avanti Communications (AIM: AVN), the satellite broadband operator, has been
informed that Flight 197 launched successfully from French Guiana last night,
the 39th consecutive Ariane 5 launch success for Arianespace. Avanti's HYLAS 1
satellite is the next to launch, on board Flight 198, and is in final
preparation for an on schedule launch on 25 November 2010.

--ENDS--

The 39th consecutive Ariane 5 launch success for ArianespaceI hope that is not classed as a chirp!and nobody likes 40 lol

27 days til lift off

Bloody rampers :-)