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“RE: Will bounce back tomorrowToday 00:15
Ha! These 2 fellas out in tandem. Hiya shorters aka philanthropists“
BBang are you #WINNING
Ha! These 2 fellas out in tandem. Hiya shorters aka philanthropists
“RE: Will bounce back tomorrowToday 21:54
My post was aimed at Tof of course.
Majorboy totally agree. Our Government is a shambles.“
Covid19 has rendered RR civil/commercial business model a shambles but it’s comforting to blame everything and everyone else
think me and Gazk are the only ones who know whats going on !!!
“From what I’ve seen most of the contributors shouldn’t be allowed to trade shares for their own sakes“
I’ve had people quote Warren Buffet at me. Was cringing.
Rolls Royce may not be at the bottom yet but back in 2008 nobody thought the banks would recover. There was a complete loss in investor confidence but most of them did 200-300% within a year. The same will happen for the travel sector it is not going to disappear global connectivity is needed. If you are on this board thinking that RR will never see 300p again than you are absolutely delusional. GLA
If Rolls bounces back tomorrow I will be suprised? IAG was holding around the £2 mark for a while but the RI kicked the stuffing out of it. Currently trading at 97p. This is going the same direction
My post was aimed at Tof of course.
Majorboy totally agree. Our Government is a shambles.
Bore off mate.
Get back in the hole you crawled out from.
BORING. BORING BORING.
ZZzzzzzzzzzzzzzzzzz
The game
“Todays drop in sp is mostly due to the knee jerk reaction to the chance of a mini uk lockdown.”
You might be kidding yourself and a lot of other clueless traders on this board, but not anyone with more than one brain cell.
Rolls took a dive today because of its precarious financial position and the imminent cash call on its way.
Other shares might bounce back but Rolls won’t . I predicted a fall to 165 today and to finish the week at 150 (yesterday)
That’s looking generous now.
I don’t hold Rolls but I feel a duty to bring a bit of realism to this board. From what I’ve seen most of the contributors shouldn’t be allowed to trade shares for their own sakes. They learn a few market cliches, then come on here full of ego and old chestnut cliches and get crushed by buying stocks on the basis that they look cheap - with no thought given to the reason why.
They’ll be gone in a few months when they’ve lost all their money - only to be replaced with a new set of clueless wannabes- armed with tired old cliches and oversized egos.
Toff
Todays drop in sp is mostly due to the knee jerk reaction to the chance of a mini uk lockdown. UK based airlines like IAG, RYA etc have fallen as they will be financially affected but for RR the UK is a small insignificant market. Their engines are used worldwide especially in Europe, North America, Middle East and Asia Pacific. These markets have not deteriorated and are in fact gradually improving.
According to Flighttracker over 90% of the A350's are flying and many of them are clocking in over 50 hours of fly time a week. As well as this the 777's and 787's as well as the A330'and A340's are also being used extensively. Regional flying is also robust with the ERJ aircraft. The only one not being used is the A380 but this is only a few hundred engines out of thousands.
Worldwide travel is around the 55-60% level compared to 2019. This is much better than april when it was less then 10%. At that time RR price crashed to 250p level so the current price is not reflective of current market.
I know there is the issue of raising equity that is weighing down the sp but as the official rns said a rights issue is just one of the options being looked at and more importantly no decision has been made. If the rumours are to be believed then we will know by early october and until then its anyone's guess.
The only thing I am concerned with is worldwide air travel. We all know that RR gets paid or each hour a plane is in the air. In 2019 financial year RR had about £15bn revenue of which about £5bn was from civil aerospace service revenue. Taking into account 2 months of near enough zero revenue and the rest at around 50% of last year then for 2020 financial year they should get between £2bn-3bn revenue. There will also be a reduction in engine sale revenues but as these are normally sold at cost this reduction wont affect operating profit as much as services reduction.
Bottom line is the sp should be around half of pre-covid price which is £3+ based on current air travel. Personally am not worried as i am in this for the medium term (3-6 months) as by then this pandemic will be over and we will all look back and laugh at the hysteria of today