Short Term Trading - Week Starting: 14th June, page-188

I hold SHM and just made a post in the BT thread. Interesting company, I hold a - probably illogically - large stake relative to my portfolio. Its div yield is epic, especially if it continues which its projecting. It is however a recent float so off the radars of many fund managers, stock picker newsletters etc until it has a few more years runs on the board.

Its illiquid and gets thrown around the place. So far though I'm still in the green and someone has been buying it up a bit. Potential catalyst for now (other than their products being sold) is that they are presenting at a shareholder conference and have been historically not very communicative. Could be a change in approach and the market might appreciate it. Otherwise, any success via Casio smart watches, the brand name BBQ's or appliances going into new kitchens if the property market slumps could help their bottom line.

Other deep value plays, UOS - have held it for years. It sits there and earns cash, pays you a dividend and that's about it.. NTA something like 80c and trades at 50c. No franking credits though.

RGP, tiny market cap. They sell that wonderful product - bottled water! Profitable, pay a small divi. Traded down to 6.5c the other day which gave it a market cap of close to $5m ! (no zero's missing!)

PMP - printing and delivery company. Lots of investment in equipment, doesn't show in the books due to the way its capitalised. Historically management made lots of mistakes but recently problems have been divested, bad contracts cut and they are focussing on the core business again. Because of the period of problems, they have few franking credits so are doing a share buy-back with all the cash they have. Profitable, long term value play. Regardless of the internet, companies still want to print junk-mail, catalogues, brochures etc. As the market becomes more consolidated, the bigger players like PMP have, and will likely continue to benefit.

SEN - Hardware security and encryption. Profitable, growing profit for the last couple of years $3m profit FY14 $4m profit FY15, the market belted them down 50% earlier this year when they downgraded profit to "similar or slightly higher than las year" due to contract delays and continued R&D. Maybe it was priced to high. but as long as it continues doing what its doing.. could be very interesting.


REF - Cigar Butt play. Almost a shell, hopefully they pay a fully franked divi. Profitable. Catalyst will be telling the market what they are going to do next!

Given im drifting of topic, ill leave it at that.