Welcome to EQUITY DEVELOPMENT
The UK's longest established regulated provider of sponsored equity research.
We launched EQUITY DEVELOPMENT in 1997 becoming the first ever regulated provider of Sponsored Equity Research in the UK.
Our research teams are made up of expert analysts with deep understanding & experience in their sectors. Our research is distributed to all relevant investment classes & commentators. (at no cost to the reader).
We have made our name by specialising in those companies who are not receiving the attention that they merit, using detailed commentary, appropriate valuation metrics and regular publications to help eradicate undervaluation in the medium term.
Search for Company Research
FREE REGISTRATION
Sign up today and access the very latest company research
LOG IN
For access to all company research please
Davenham Group
Davenham (DAV) is a niche, asset-based lender to the UK SME sector, which comprises a sizeable and growing market, estimated to be in excess of 80,000 customers. The company has strong risk-management controls, and provides secured lending solutions at rates up to 12% above base, to a customer base that is relationship driven, and involves a high level of repeat business.
Robust results
Results counter sector gloom, EPS up 22%
Bad debt ratio yet to show upturn
Absurd forward multiples leave stock well below fair value
ACP build 29 per cent stake - trading update emphasises value
Davenham 20% undervalued with a target price of 400p vs current price 330p
Total shareholder return of above 39% pre final dividend
Davenham; Leading financiers to SME's
- Asset based lender achieving rates up to 12% above base
- Strong risk management controls and better than expected loan quality
- Robust FY07 interim results; 30% loan growth drives 20% YOY increase in EPS
- Growth outlook and income attractions implies shares are undervalued by at least 20%
