A lot of big II's and directors have just thrown their money away for nothing then, having bought up the RI ect ect. Not to forget the equity placing at a much higher price. Can't see GD ever getting another job after this.
I've been away from this board for a while - but a month or so ago I suggested that PFD was going to go down rather than up. I think I have been proved right. The trend is still down and so I maintain my view - This will drop to nowt. Somebody ( a hedge fund?) will see a price point where they can turn a profit and just buy it up. Shareholders will get what is offered (likely to be less than 50p). There will be no choice apart from holding on to a Cert with PFD on it ( Though I guess most folk these days have their holdings in "electronic accounts"). Look at the fundamentals - since 2009 Net Assets have dropped from £1064M to £17.9M. -- -- Return on Capital employed has moved from 321% in 2009 to MINUS 28% last year (So debt is again growing) AND now "best of all"!!!! - Net Asset Value is -154p ( So your rights shares which cost 50p actually bought £1.54 of debt). I did say "Good money after bad". I applaud those who are in with "Blind Faith" in the BoD but I would have thought that savvy investors with modern gadgets for calculating values, trends etc would have seen through this. Get out now while your shares are (worth???) more than 50p. Jump ship. -- Only TEARS to follow. I'll look in again in a while ... ... NB
You may be right to some extent, but this price war / market share battle is nothing new. I was involved in selling food items to the supermarkets for some 35 years and back in the 1970 ‘s they were then fighting over market share and holding guns to the suppliers heads in terms of getting better / lower costs to improve their profit margins. Fortunately now days many manufactures have become far more focused and more efficient in making products and keeping costs down. But no doubt this trend will continue for years to come.
I dont profess to have a lot of knowledge regarding Premier but have been in this stock for the last 18 months ....and its fair to say that the company had turned around regarding refinancing of dept ....but it looks unfortunately that a lot of its customers being supermarkets seem to be in a bit of either a power struggle for market share/profit and with this I think this may in the background of why the share is not bouncing into the 60p/70p and beyond ....only an opinion but overall I think the board should be congratulated for the positive steps it has taken
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