Vodafone Share Chat (VOD)

This is what I paid in 1997 only daft for not scooping as many as you can.

Hi Toff,

A quality balanced post. I added more LLOY this morning at 39+. Will add more later. I'm glad to go against the herd.

As we know, the background to this global panic hasn't anything to do with any one stock or any one sector. Almost everything is plunging UK-wise & globally. People are losing their heads. Near-hysteria has overtaken all reason.

For those who stay calm & resolute, after this year we will look back on these days as great opportunities that have seen us well-rewarded. Things may well get worse before they improve, but the recovery from current levels will be huge. We just need to ride it out. - Regards & GLA.

The footsie is looking at its biggest day loss in history.

But is the coronavirus really worse than all the other causes that acted as catalysts to market crashes?

My answer to that is - no way.

When markets crashed before it was for more malign reasons. Such as overvalued bubbles (1987 & 1999)

The financial crash of 2008. A single company went bust for £600 billion - Lehman’s

And global banks had trillions of toxic assets on their books, which decimated their balance sheets for years to come.

Is a temporary virus really worse than that?
The market thinks so.

But the market is often Wrong.

It was wrong in the dotcom boom when it valued companies like Baltimore & Redstone Telecom and hundreds of others, so high they entered the ftse100

Where are they now?
Answer - disappeared.

I blame the age of mass media for the extent of the drop. Mass media amplifies hysteria - panic - fear

Our phones may have got smarter but the herd have got decidedly Dumber

Toff

Wonder if the pound shop will buy us out !!!

Just bought at 104! What a price!!!

Well so glad that the markets like the decision - not !!!!!! Ftse moving even lower !!!!

Cheers Mandrill for taking one for the team.

Although I suspect it needs me to join in with you for maximum effect.

Hahahaha BOFA raises price target to 2.38 - which century is that !!!!!!

I sold up this morning so the sp will now recover. It always does as I have a track record of always finding the bottom.

Don't look now. duck n cover!

Futures over 250 down again FFS

Well the sixes didn’t last long. We’ve now jumped back about three decades to the fives. It feels like time travel- but backwards is never a good direction to go.

On a more upbeat note, I expect a swift rebound from the fives. Unlike the financial crisis the Chinese virus will be temporary and there will be a rapid revaluation of bombed out UK equities

But avoid the Uber-dogs. The shares that DONT go up with the market; stand-outs being

BT
Vodafone
Centrica
M&S
And most other retailers.

My personal favorites are...

GSK
Aviva
Rio
BHP
Shell
Lloyds

I estimate the ftse will find strong support @5500
Unless the Chinese virus thrives in summer

Toff

Hi Newbie642,

I appreciate where you're coming from. Seems a plan. Reduce your average, sit tight & hopefully take a decent profit as available later when many stocks will surely be higher again.

Shorter-term concerns would be that not only has support gone, but recent falls have seen some heavy daily volume. With much else being sold off across the FTSE, that's never a good sign.

On the plus side, some of the recent falls here have left price gaps above. Technically, many such gaps tend to be filled over time. Ditto for VOD when the algorithms switch back to long to buy it back up. Seems a question of time. - GL.

Jack, I’m with you on this one. I’ve been burned by Vod for years and no end in sight. I’m waiting for some big funds (I hope) to come from EUA when they relist. Then my plan is to by some more yet again to bring my sp average down. The one thing that always kept my chin up was the divi, but as we’ve seen they even cut that. I don’t know where the low point is for Vod but I hope the bod can pull a rabbit out of a hat and get the world to love them again cos there’s only so much pain investors should be expected to take before the bod have to start falling on their swords. Even if this isn’t entirely their fault it’s all happened on their watch. GLA

Vodafone is 118, 118! - Sorry just tickled my funny bone!

I wonder if the two vest dressed blokes know Vodafone's lowest share price number?

I think I own that Toxic house in Sunderland. Certainly some in the NE, still underwater 14 years later.

I just paid too much, just like we have been doing with UK shares recently. We've been paying too much. They have been going up, just not VOD, so if you follow something like VOD, you think the whole market is like that.

Perhaps it is just a select few that are toxic, in that they tempt you in with safe status, but ultimately they are overpriced and events like this uncover them.

Cash out, watch it all drift downwards, then get into ones you know the value of.

There are good ones, and the prices are getting reasonable now, for long term gain.

Buy the company, not the share. Good management will always add value. Just pop over to LOOK, and you'll see the reverse playing out today.

Hi Fleccy,

I hope you'll be proven correct, though I can't see how further delaying matters doesn't have some negative impact in view of how much VOD invested in 5G.

Naturally, I wish you & all holders the very best of luck in seeing a turnaround here sooner than later! I doubt anyone here will be selling at huge loss at these levels as you're all more savvy than that. - ATB!

"I mentioned some impact from this virus on the rollout of 5G"

Hi Jack, the roll out of 5G is currently more about headlines than profit. If Huawei can't supply equipment then the problem falls on Huawei, not Vodafone and BT. If contracts have time penalties for supply and installation then financial penalties could fall on Huawei.
5G wont be worth having for a couple of years, in the meantime i'll stick with my 4G phone.

Typo corrected. Actually €200m (Euros).

Hi Fleccy,

I mentioned some impact from this virus on the rollout of 5G. Also, possible disruption to supply lines in China. VOD already declared a hit of about £200m last month due to wider delays with stripping out Huawei from the core 5G network. They also have less wiggle room than some stocks to see these costly setbacks.

It might seem illogical to many if it did drop to £1, but we face challenges whose wider repercussions still remain uncertain &, IMO, probably will do until the USA finds a floor. Sentiment is the main driver for now.

The 118.70 SP is of course incorrect as LSE has a technical issue. It's lower. Support levels have gone. All it needs is the dominant algorithms to continue selling it down, taking out long stops, to increase fear & selling momentum. There will be bounces in SP, but can they hold without strong buying from funds? This applies to other FTSE stocks no less. Little logical about it, but that won't necessarily see a recovery for many stocks anytime soon. - Regards.

The trouble is once these zombie company’s starting going broke there will be a contagion effect . Obviously this doesn’t include vod but everything gets caught in the spiral to some degree.

"Corona was the side show the trigger if you like . The real and serious issue for markets now is about corporate and sovereign debt in the face of a global recession/depression ."

Corporate debt isn't the same as household debt and u'd argue that the current low interest rate environment allows companies to borrow at ridiculously low interest rates with long maturities. I don't buy into this Debt is an issue narrative. Debt is an issue for cash starved companies, Vodafone could just drop the dividend if required.

"And Vodas SP action is shouting Down!"

I don't dispute that, but if it goes down to £1 on the back of the Virus, why wouldn't it bounce back with the rest of the market late? Just because a share goes down in value, doesn't mean it will never go up again. For long term investors, it's likely that their are good opportunities. Incidentally i also hold over 160,000 Lloyds shares, so i don't entirely disagree with you.

Corona was the side show the trigger if you like . The real and serious issue for markets now is about corporate and sovereign debt in the face of a global recession/depression .

Fleecy

“Why would Vodafone drop to £1 when the Corona Virus is a short tern phenomena and taking into account that Telecom's aren't a sector impacted by this sort of event.”

Markets are indiscriminate beasts. It’s a bit like warfare when they plunge; they all go, not just selected ones.

Shareprice action is like a language; after years of watching it you learn to interpret as such.

And Vodas SP action is shouting Down!

See you @£1

Toff