~ World Television Group plc ~

Sigh. OK, where to start...


AA, this is who stated 0.001p? : jotoha1 - 29 Dec'04 - 18:24 - 1976 of 1984, that is who was deramping. It was quite easy moving up the page and cutting and pasting just like you do constantly. You didn't say 001p did you? No so you weren't deramping. Believe me you can deramp if you like it doesn't bother me, if you decide to provide the calculations. I've critised enough people in this company in the past to be called that as well. You've misread my text, the first line applied to you about valuations and I stand by my argument.

It would seem from this that our levels of English differ somewhat. If the remarks were not aimed at me, then perhaps you shouldn't have addressed them to me?


Stream are in the same sector, when analysing companies you compare them with the sector average - a normal process which has been going on for an absolute age I believe.

Yes, an unfortunate habit employed by brokers and analysts who primarily have vested interests. Unfortunately, cheap crap is still just crap regardless of how cheap it is.


In fact chartists use this method religiously, have you not heard of sector charts?

Well, I've heard it all now: chartists don't use technical indicators, they use fundamentals! I think you may be a little confused...


By the way didn't you realise that mobile phone media content was a part of WTV as well via the Kamera contract - "Virtue Broadcasting Plc is delighted to announce that it has won a contract from Vodafone Sverige AB for the provision of mobile content services, over an initial period of 1 year. The contract, which has been awarded to the Group's Swedish subsidiary Kamera Holdings AB, will generate revenues of at least £300,000 and demonstrates the huge appeal of Virtue's online and mobile video solutions to multi national companies such as Vodafone."

No, I didn't realise, so thank you for the information. But "revenues of at least £300,000"? And you consider that a major part of WTV's business? And you want to liken WTV to Stream, when you state that the latter has turnover of £11.6m? I'm sorry, but you are yet to convince me that WTV's business model is remotely related to that of Stream 8-)


As for contradictions I do not think so as I have not given any valuation of the business - you have.

So first it was "you cannot put a valuation on this company ... becuase you still haven't managed to yet", and now it's "I have not given any valuation of the business - you have." And you don't see a contradiction? Must be that level of English thing again.


You also believe it is possible to do this without all of the figures to hand. How on earth can you determine the turnover, market cap etc when you do not know the figures.

OK, I'll let you into a little secret: the market cap is defined as the product of the number of shares in issue and the share price (ie, you multiply the two numbers together). Both figures are readily available (honest), so you can check the figures I have previously stated.


AA- your calc of 6p SP (not your prediction) is based on (your figures) £4million PBT with a mkt cap of £45 million and PE of 15 that is where I am in dispute with you.

OK, again our levels of English seem to be differing vastly. If you read back carefully, you will see that I did not "calc" 6p - it was a share price forecast by poster nicknamesrsilly (post #1968). What I did was to take that forecast and put it into some sort of context. What I did was I ascribed an arbitrary but (IMO) fairly reasonable P/E of 15 and, based on those two premises (share price 6p, P/E 15) what the implications would be, ie the market cap and the implied PBT figure.

IF the business has turned around by YE 2005 which gives a market cap of £45 million, I disagree with your assumptions of the profit and the PE ratio of 15. If the market sentiment is high then we can see a price at this level on a higher PE and a lower PBT figure based on the market anticipating positive projections of future trading.

If you wish to disagree about the P/E level the market will afford WTV, then I'm happy for the two of us to differ. However, from my experience, the loss of credibility that arises from a financial performance such as has been produced by WTV recently usually means the market is less than keen to give a company a high rating.


We CANNOT even begin to include any value until this company has actually turned the corner. My point is that there are too many ifs and buts to come up with a PBT figure and a PE ratio. The only two values which are known are the hypothetical 6p SP and the £45 Mil mkt cap. That was my point on a valuation that I said you'd made. Can you honestly see them generating £4 PBT, no? Neither can I, but I can see an SP of 6p is technically possible under different conditions, therefore 6p being a possiblity in 12 months.

So, there is no way in which we can forecast a PBT figure or P/E ratio, but we can forecast the share price with a fair degree of certainty? Of course you can, the trouble is you can't do so with any credible justification whatsoever (again, the lessons of the dot.com bubble appear not to have been learnt by all), and I think the technical term for that is "ramping" 8-)


To add weight to my argument I mentioned Stream which is in the same market sector and in a lot of ways a competitor to WTV.

Well, again I disagree that Stream and WTV are even remotely similar, even if they do happen to be "in the same sector".


I actually find it quite worrying that there are individuals managing their own investments who are quite so misguided.

Alex