Well said John, your post must have influenced the price with a slight lift!! 6 months from now I see those well deserved pots of porter happening. What happens AIB I agree will have a huge bearing, one being state owned the other not so but both joined at hip.
The true value of .02c a share has been broadcast high and low by the bank itself, the government and several commentators, but amazingly investors completely ignore this and continue to buy. Even valuing aib at 10 billion (as we have said before) shows the potential value in bkir. It is looking likely that a chunk of aib will be sold in the next six months. The price will be very important to boi because it has the potential to revalue this bank as well.
I know senator and bob are predicting bkir heading back to 24c or so. I think that's just mad. I'm not saying the lads are wrong because I suppose anything is possible. What I mean is that at 24 c this share would be at sale of the century prices to my mind. The bank has made huge leaps forward since we were at 24c last summer. H1 results blew most analyst predictions out of the water and to a point 2 years ahead of expectations. Then flew threw the strsss tests so we now know 100% that they are secure capital wise. The ims a couple of weeks ago even pointed to continued progress and we still have what will be their best quarter to come.
If we go back to the aib valuation of 10 billion we would surely have to value boi at 12 billion at least. Thats in the region of 36c a share I think. But lets say they are wrong about aib and its worth 8 billion, that still values boi at 32c a share. If ( and I will be shocked if it comes to pass) boi ends up back at 24c that would value it at less than 8 billion. 8 billion valuation with a 1 billion profit (assuming at this stage some write backs). Does that not look like a give away ratio.
I know the saying about the markets never been wrong but if boi hits 24c then they are just plain wrong. I need 33c a share to break even on this investment and I am completely comfortable with that. I will not be a seller but I still have the mother in law to sell (going cheaper now because she has aged a bit since I threatened to sell her on predictions of 20c) which I certainly will if we get to 24c.
For those who remember GrahamD - we had a three brick wind here today.
This was explained as being the number of bricks he required in Scotland to stop his plant pots blowing over.
I went out to the course this morning and witnessed two fella's even dafter than me - in the midst of the rain they drove from the first tee and set off. They completed the first hole went to the second tee where they drove off again AND DISAPPEARED in the swirling wind and rain.
Of course Radar's going to say that this time of the year it is always like it round the Connor Pass.
Datafeed and UK data supplied by NBTrader and Digital Look.
While London South East do their best to maintain the high quality of the information displayed on this site,
we cannot be held responsible for any loss due to incorrect information found here. All information is provided free of charge, 'as-is', and you use it at your own risk.
The contents of all 'Chat' messages should not be construed as advice and represent the opinions of the authors, not those of London South East Limited, or its affiliates.
London South East does not authorise or approve this content, and reserves the right to remove items at its discretion.