£5 sp is utter nonsense with 70 billion + in issue . Realistically as long as the sh*t doesn't hit the fan again I think we could reach £1.25 approx. within next 18 months or so . Just my hopes nothing more . If I was you wait till year end results Feb 2016 . If you don't need to sell hold on to see how the year figures pan out . All the best .
you are spot on wrt to the number of shares in circulation. Looking forward it would prove a cap as you suggest. The point we should consider is LLoy's over capitalisation. Wrt tier one etc. AHO has already indicted that he feels capital reduction is a option worth considering over the years ahead which should result in further headroom for the shares as well as providing a balanced option wrt returns to shareholders from tax perspective. IE income vs capital gain again Imo only
Than recently. see further weakness as buying opportunity as the share price is low compared with pre 2008. The downside risk further out I see in a fall in house prices - they have risen a lot on cheap money. On the other hand sterling has been steady against many currencies that have weakened and looks rather overvalued. eventually weaker sterling may take the strain of house prices at internationally higher value. I get my dividends from the LLOY Preference shares - these are vulnerable to interest rate rises except to say further purchases would be cheaper. hopefully in holding both future advances in the ordinary shares will counterbalance easing in the Prefs which further out is the way I think about this Bank in a hopeful way !
Its quite a simple decision when you weigh it all up . If you think that the Pelvin case will go against the banks and cause a 2nd round of PPI claims , then sell now . If on the other hand you think that new guidelines will be recommended & the banks wont be facing a 2nd round of PPI .- then hold because in that case we should have a healthy bounce .
There is no other reason i see why we should go as low as the 70's ...something major would have to happen for that .
tbh none of us on this board are in a position to offer you advice other than on a personal level. from experience I have done what you are contemplating when i was heavily involved in CFD's and playing with some real leverage and more often than not regretted doing just that. Sure Lloy has come back from the highs as media hysteria over a number of issues has clouded the investment picture, probably deliberately so in order to perpetuate the anti bank sentiment for a little longer yet. What is more August is the silly season when lunatics invariably run the asylum so trading is volatile and banks may be suffering from the fact that they are heavy weights in a c&ap index with the minors being taken behind the woodshed atm. So FIW I feel that Lloy has absorbed much of what could go wrong realistic or otherwise and while I appreciate your sentiment I see little logic in turning a paper loss in an actual one given where we are in this market.Again it is a PERSONAL perspective and NOT intended as ADVICE. GL
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