I'm confused Wincanton have less than half the debt and market value of Stobbard but they make a bigger profit!

To compound my sense of confusion Wincanton are continuing to fall whilst Stobbard continue to rise!

I don't think I can resist Wincanton any longer.


What do you think?

I know the dividend might drop, but it wasn't mentioned in the trading update. If it halves it's still almost 5%.

Off to a flyer 3%+

WIN looks far to cheap to me from this Broker forecasts table for fundies.

Forward P/E of 9.2 2015 going to 8.6 2016........derd cheap.

I think earnings will increase due to low oil prices and those P/Es will fall even further.


Wincanton PLC

FORECASTS


2015 2016
Date Rec Pre-tax (£) EPS (p) DPS (p) Pre-tax (£) EPS (p) DPS (p)

Investec Securities
07-11-14 BUY 28.00 16.63 30.10 17.97
Numis Securities Ltd
05-11-14 BUY 28.90 17.00 30.30 17.80

2015 2016
Pre-tax (£) EPS (p) DPS (p) Pre-tax (£) EPS (p) DPS (p)

Consensus 28.45 16.81 30.20 17.89
1 Month Change 1.66 0.50 1.42 0.28
3 Month Change 1.66 0.51 1.42 0.28

GROWTH
2014 (A) 2015 (E) 2016 (E)

Norm. EPS 8.58% 84.34% 6.39%
DPS % % %

INVESTMENT RATIOS
2014 (A) 2015 (E) 2016 (E)

EBITDA £61.10m £64.55m £66.30m
EBIT £41.40m £49.60m £51.30m
Dividend Yield 0.00% % %
Dividend Cover x x x
PER 17.05x 9.25x 8.69x
PEG 1.99f 0.11f 1.36f
Net Asset Value PS -292.00p p p

02
February
2015
Supacat
contract
win
for
Wincanton


Supacat, an innovative engineering and design company, has awarded a contract to Wincanton, a leading provider of supply chain solutions, to provide logistics support in the UK.

For over 30 years Devon-based Supacat has produced specialist vehicles for both military and civilian customers, earning a reputation as the market leader for developing all-terrain, high-mobility vehicles.

Following a significant period of growth, during which the company has won new defence sector contracts, Supacat decided to engage the expertise of a third party logistics partner to run its production warehouse operation in Dunkeswell.

“We pride ourselves on our skills, experience, dedication and focus in this most demanding of sectors and required an effective logistics partner that could help us meet these challenges,” said Nigel Down, Head of Operations at Supacat.

“We knew Wincanton to be one of the leading logistics experts in the defence sector and, after visiting their existing operations and seeing first hand their professionalism and commitment to operational excellence, it became clear that this was the ideal partner to support our own vehicle production operations.”

The first company to ever be awarded a prestigious SC21 (Supply Chains in the 21st Century) Gold Award for its defence team, Wincanton has a long and distinguished track record for delivering innovative and agile solutions to some of the sector’s leading names.

The contract will see Wincanton run the warehouse operations for Supacat’s latest production of Extenda High Mobility Transport vehicles. This activity will include receiving deliveries, running the warehouse and ensuring stock accuracy, and
taking responsibility for kitting assemblies each month to enable Supacat’s challenging production schedule during 2015 and 2016.

Chris Kingshott, Managing Director for manufacturing at Wincanton, said: “As a direct supplier to the military, Supacat has to have the highest possible standards when it comes to the quality of its products.

“Over many years supporting production activity for a wide range of defence-focused customers we have embedded those same effective principles into our own operations, and look forward to deploying industry best practice and unlocking potential to support Supacat’s continued growth.”

Preliminary Results

Trading Update

Wincanton, a leading provider of supply chain solutions in the UK & Ireland, today issues the following trading update ahead of preliminary results for the year ended 31 March 2016.

The Board is pleased to report that the trading performance of the Group, as adjusted for the disposal of Records Management, continues to be in line with expectations as set out in the Half Year results announcement released on 12 November 2015.

Having completed the disposal of the Records Management business on 8 December 2015, £50m of the Group's £75m M&G debt has been repaid, resulting in a corresponding reduction in the level of average net debt and financing costs in the last quarter of the financial year. As planned, we have also utilised our Revolving Credit Facility to repay £34m of US Private Placement debt on its maturity. The Group also paid a contribution of £7m to the Wincanton Pension Scheme from the proceeds of the disposal of the Records Management business, bringing the total contributions to the scheme to approximately £21m in the year.

The preliminary results for the year ended 31 March 2016 will be announced on 9 June 2016.

Numis Buy 182.63 220.00 220.00 Upgrades

Cantor Fitzgerald Buy 182.63 200.00 200.00 Reiterates

Liberum Capital Buy 182.63 245.00 245.00 Reiterates