Facilities by ADF (ADF)

Sector:

Commercial Transport

Index:

FTSE AIM All-Share

55.50p
   
  • Change Today:
      1.50p
  • 52 Week High: 60.00
  • 52 Week Low: 40.50
  • Currency: UK Pounds
  • Shares Issued: 80.91m
  • Volume: 8,808
  • Market Cap: £44.90m

Sunday share tips: Mitchells and Butlers, Facilities by ADF

By Alexander Bueso

Date: Sunday 30 Jan 2022

LONDON (ShareCast) - (Sharecast News) - The Sunday Times's Robert Watts thinks readers should be shares of Mitchells & Butlers.


In his The Tipster column, he expressed confidence that the strong labour market would help keep the taps "flowing nicely".

"And while rising national insurance, inflation and higher energy costs will squeeze consumer spending this year, an outpouring of abstinence looks unlikely," he added.

Watts also noted the pub owner's "healthy" balance sheet, which at last count had £235m on it and undrawn credit of £150m.

He also hailed management's actions to shore up the company's pension fund and the fact that Mitchelss&Butlers owned 80% of its freeholds.

Furthermore, analysts, such as those at Jefferies, expected it to take market share during the current re-opening thanks to its well-maintained estate.

Its ownership of the All Bar One franchise also meant that the company was "particularly" well-placed to benefit from the end of work-from-home guidance.



The Financial Mail on Sunday's Midas column recommended readers 'buy' stock of Facilities by ADF, pointing out that it was poised to profit from fast growth in its sector and as the UK consolidated its position in the entertainment industry.

The UK itself has won great appeal as a location for movie studios. Film and TV contributed nearly £12.5bn to the UK in 2021, for a 24% jump over the past five years, and studios are being built across the country.

Facilities by ADF contributed the state-of-the-art trucks and trailers used by actors alongside the well-trained professionals required on filming sets.

According to the tipster, the company's shares, which were floated on the AIM market at the start of June "should increase materially" in value over the next five years and thereafter.

Its roster of big clients includes Amazon Prime, Disney, Warner Brothers, Netflix, the BBC and Sky.

Midas also notes the positive share price performance of Brickability's shares, which floated in September 2019 and is also chaired by John Richards.

Chief executive officer Marsden Proctor meanwhile knows the industry inside and out, having begun in the facilities business 26 years before as a driver.

Furthermore, full-year sales are expected to have nearly doubled across 2021 and dividends are also on the cards and the plan is to grow sales to £100m in five years' time.

"Midas verdict: Facilities by ADF may have an unusual name, but there is nothing strange about the business itself," Midas concluded.

"A well-regarded operator in a fast-growing industry, the company is ideally placed to benefit as the UK cements its position in the entertainment industry. As the business expands, the shares should follow suit. At 63p, the stock is a buy."

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

 

ADF Market Data

Currency UK Pounds
Share Price 55.50p
Change Today 1.50p
% Change 2.78 %
52 Week High 60.00
52 Week Low 40.50
Volume 8,808
Shares Issued 80.91m
Market Cap £44.90m

ADF Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
28.29% below the market average28.29% below the market average28.29% below the market average28.29% below the market average28.29% below the market average
45.45% below the sector average45.45% below the sector average45.45% below the sector average45.45% below the sector average45.45% below the sector average
Price Trend
4.3% below the market average4.3% below the market average4.3% below the market average4.3% below the market average4.3% below the market average
53.85% below the sector average53.85% below the sector average53.85% below the sector average53.85% below the sector average53.85% below the sector average
Income
42.5% below the market average42.5% below the market average42.5% below the market average42.5% below the market average42.5% below the market average
42.86% below the sector average42.86% below the sector average42.86% below the sector average42.86% below the sector average42.86% below the sector average
Growth
62.14% below the market average62.14% below the market average62.14% below the market average62.14% below the market average62.14% below the market average
69.23% below the sector average69.23% below the sector average69.23% below the sector average69.23% below the sector average69.23% below the sector average

ADF Dividends

  Latest Previous
  Final Interim
Ex-Div 04-Jul-24 05-Oct-23
Paid 19-Jul-24 27-Oct-23
Amount 0.90p 0.50p

Trades for 14-Jun-2024

Time Volume / Share Price
09:53 8,808 @ 56.20p

ADF Key Personnel

CEO Marsden Proctor
CFO Neil Evans

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