SXE - Southern Cross Electrical Engineering

[Robbo]

My entry for the May tipping competition, SXE has bumped it's head in the $1.80s for several months, but on each swing down we've seen higher lows and, in my view, low supply at those, including during the general selloff in early April (my entry point). I'm hoping for a breakout into new, uncharted highs. Today it closed at it's highest level since October.

The behaviour on the 5 minute chart on Tuesday afternoon looked like an attempt to trigger stops and push any weak holders out, and it bounced strongly today.

I'm expecting to see some testing of these levels, but ultimately hoping for a move higher to at least those all time highs at ~$1.96.

It's on a tight leash to protect profits, considering the prior reversals at these levels.

 

[galumay]

Couple of good contract wins for $SXE announced this morning.

 

[Mr Flibble]

My pick in the August comp.

The FY25 results will be released 20/8. My hope is that revenue will match or even exceed expectations, and sharemarket interest will be piqued.

Currently hold (and very happy with )

 

[galumay]

SXE with an announcement of contract wins worth ~$110m this morning, mostly renewals rather than new works, but still good to lock in future revenue.

 

[finicky]

Held
Holding - crash buy

 

[divs4ever]

Held
Holding - crash buy

View attachment 206386

the results looked OK to me

but the market has it lower currently

maybe they were hoping for a better div.

( my average share price is just over 50 cents , so i was quite content with the payout )

 

[galumay]

Fantastic result for SXE, record metrics all round. An incredible business that shows the power of good capital allocation, they have created enormous acquisition driven growth and diversification with their organic growth - and they have been able to do it with no debt and no capital raising - this shows the power of high ROIIC and excellent re-investment rates. These metrics were in plain sight, yet for years SXE remained one of the most underpriced, high quality businesses on the ASX.

Its worth looking at the cash flow statement to see how well the business is performing as the income statement is somewhat distorted by the fact that the acquisition was cash. Note the low PP&E and therefore the very strong FCF, nearly double NPAT.

 

[Mr Flibble]

the results looked OK to me

but the market has it lower currently

maybe they were hoping for a better div.

( my average share price is just over 50 cents , so i was quite content with the payout )

That'll be my fault. I've got it in the August comp, with the reasoning that the price would climb on the back of today's results.

 

[divs4ever]

That'll be my fault. I've got it in the August comp, with the reasoning that the price would climb on the back of today's results.

Geeee , should i feed you the stock i want to buy ( cheap ) next month

my 'toxic thumb ' seems to be feeling off color currently



but the market can be like that either expect too much , or see the bitter pill in every ice-cream

 

[divs4ever]

Fantastic result for SXE, record metrics all round. An incredible business that shows the power of good capital allocation, they have created enormous acquisition driven growth and diversification with their organic growth - and they have been able to do it with no debt and no capital raising - this shows the power of high ROIIC and excellent re-investment rates. These metrics were in plain sight, yet for years SXE remained one of the most underpriced, high quality businesses on the ASX.

View attachment 206434


Its worth looking at the cash flow statement to see how well the business is performing as the income statement is somewhat distorted by the fact that the acquisition was cash. Note the low PP&E and therefore the very strong FCF, nearly double NPAT.

View attachment 206435

am surprised this isn't a bigger 'fundie puff-piece' claiming it is an AI coat-tail rider

i bought in when it was getting nice contracts 'decarbonizing ' mine processing plants

but i have some and the ROI for me is starting to be very nice