Small Cap Value Report (Tue 14 Dec 2021) - JOUL, BEG, CHRT
Good morning, it's Paul amp; Jack here with the SCVR for Tuesday. Agenda - Paul's section: Joules (LON:JOUL) (I hold) - supply chain issues deferred some sales, and increased costs in H1, particularly November. Despite that, the company is guiding £9-12m profit (up on last year's £6.1m). Broker forecast is reduced by about a third, from previously punchy forecasts. Valuation looks reasonable, given recent slide. Begbies Traynor (LON:BEG) (I hold) - interim figures are in line with the last trading update, so no surprises. A series of good acquisitions are delivering strong profit growth. There's a tailwind coming for insolvency practitioners once taxpayer support measures are phased out. BEG has a sound balance sheet. Yet it's only priced on a PER of about 13.4 by my calculations. Looks excellent value to me. Cohort (LON:CHRT) - profit warning for the full year accompanies lacklustre interim results (profit down 60%). Given its lumpy, unpredictable profit track record, it's impossible to accurately value this share. Looks expensive, given the uncertainty. Explanatory notes - A quick reminder that we don’t recommend any stocks. We aim to review trading updates amp;...