September was broadly neutral with a number of risers met with an almost equal value of fallers. What real company information there was, was broadly positive.
Significant Gainers
Aeorema. The company delivered good results in the month. These were well highlighted before the results in various trading updates so should not have presented new news, but there was a significant bounce (8-9%) on the release.
Bovis. Came out with a very good H1 results in which they demonstrated that they were achieving against most of their operating metrics. However the results were rather overshadowed by their announcement that they were once again looking to takeover Galliford Try’s housebuilding operations.
British Land. I added to my holding last month and the trading update mid September was broadly positive helping the share price recover some of my perceived undervaluation.
PPHE. V solid results with growth baked in. The company is susceptible to the travel market, but to the extent it can control its own future it continues to operate with a very safe pair of hands. See blog on 10/09/19. I would add to the holding if it was not already at my 10% threshold.
Shell. A significant faller last month it became a significant gainer this. Based largely on factors outside its control in both periods.
Significant fallers in the month;
MPAC. As expected the company produced a very good set of results for the half year ending June 2019. I did a write up on the 12/09/19. The market initially reacted well to these but the share price has drifted significantly downward since. I continue to think the company is undervalued even as it has moved from £1 to £1.80.
Treatt. Again no real news at the moment but after a period of upwards movement we seem to be in a drift downwards, whilst we wait for real news.
Significant Sales
Indivor. Whilst the shares had momentum so I could take a profit I came to the conclusion that I did not understand the regulatory environment well enough to validate this holding so sold..
Significant buys;
BPM. Had a torrid time in the month see the Blog (03/09/19) I wrote, if you want more details. Added to my current position on the weakness in the share price.
Bovis. Added on good results.
Cenkos. A marginally profitable fin services firm trading for cash. Added as potential deep value with a limited downside and significant upside potential post Brexit. Also I noticed a value investor I respect has been building a holding.
MPAC. As stated above I think the company remains undervalued so I have added to my holding.
Tailored Brands. New holding based on deep value proposition. Company under activist pressure axed its dividend causing the share price to collapse, but whilst the business has many significant issues it is profitable and cashflow positive, it does seem to be listening to activists and it looks prepared to take some of the hard decisions needed.
1pm, CRST, GFRD, added under value/momentum screen.
Also worth mentioning both Billington and Apple released good results in the month. Both of the shares benefited from this and have risen. But in neither case enough to be material. A write up on BILN is below.