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"Too many FTSE 100 companies CEO’s are failing and not worth their enormous remuneration. If they cannot create shareholder value, what is their point?"
Because it isn't their fault. The UK market has been under attack for years, the market appears to group FTSE companies into the bargain basement bucket for their own reasons. It's funny private money is happy to jump in as valuations drop, or make big investments into infrastructure when it suits. Clearly UK listed companies are targeted as easy pickings.
I'm just topping up, where I see value, as dividends roll in. I would like to see VOD reduce their debt though, so my most recent top ups have been in BT and Lloyds, I'm currently just holding VOD and not increasing.
Agree I am pretty relieved but I do fear that another cut is on its way particularly if we end up with a new CEO who wants to clear the decks.
Oh dear, oh dear. Years of decline not arrested under the tenure of Mr Read .
Time for the Chairman and the major institutional shareholders to say enough is enough.
Too many FTSE 100 companies CEO’s are failing and not worth their enormous remuneration. If they cannot create shareholder value, what is their point?
This probably needs mentioning, as there's a possibility it could knock around €5 Billion off the debt next year:
"The Consortium will acquire JV shares from Vodafone for cash consideration of €32 per share. The Consortium has fully committed equity in place to obtain a shareholding in the JV of between 32% and 40%, depending on the level of take-up in the VTO by minority shareholders. The Consortium intends to raise additional equity before completion to reach a shareholding of 50%. The Group’s minimum net cash proceeds will be €3.2bn based on 100% take up in the VTO. The maximum total net cash proceeds to Vodafone based on a 50% shareholding for the Consortium and 100% take up in the VTO will be €5.8 billion. The transaction is conditional on regulatory clearance and is expected to close in the first half of 2023."
"Minimum net cash proceeds to Vodafone of €3.2 billion, based on equity from GIP and KKR that is fully committed at signing and maximum minority take up in the voluntary takeover offer, which would reduce Vodafone’s leverage by 0.2x
Maximum net cash proceeds of €5.8-7.1 billion depending on the take up in the voluntary takeover offer and subject to GIP and KKR raising further equity before closing to increase their stake in the JV to 50%, reducing leverage by 0.4x-0.5x "
https://investors.vodafone.com/sites/vodafone-ir/files/2022-11/vantage-towers-transaction-press-release-9-nov-22.pdf
Yes, relieved they didnt cut the dividend and with Vantage in 2023, its unlikely final will be cut either. Great price and lots of buying this morning. Well done to anyone who sold and bought back for the drop...I am not paying for that ;-)
Why the hell would you buy more of this? It's been on a 8 year decline and have just delivered a terrible half year report. No matter what dividend they currently have, they are a dead company and the value of your shares will slowly but surely disappear into the ether. Much better options out there.
Of all the disappointing days over the years being a shareholder this is one of the worst. As I have always said the constant deal making is a total distraction from running the business but I have always held on hoping for a turnaround.
Surely Nick Read has to go.
yearly dividend costs 2.5b eur. So a full dividend cut like BT for 2 years may reduce debt by 5b thats it.
Perhaps a divided cut might be on the cards later ?
Topped up, thank you.
Added. Couldn't resist @95.1p.
This not a dip - it is a significant downgrade. I have long feared 91p and now it looks like it will come to pass i.e. go down past that!
3,400 December Put Option contracts at 100p ..... tells us that those contracts have bought a sell price of 100p because they think the share price will actually be less than 100p
https://www.eurex.com/ex-en/data/statistics/market-statistics-online/100!onlineStats?productGroupId=9772&productId=56178&viewType=3&cp=Put&month=12&year=2022&busDate=20221114
There will always be dips that are good trading opportunities.....this is great time to acculmate....
"There is a distinct chance that these will trade between 80 & 90p for the reasons given."
That's a possibility, but the share price history suggests otherwise. The pressure to hold the stock below £1 for a sustained period doesn't appear to be there. Vodafone could easily stop the dividend, sell assets and reduce debt should they wish to, and Nick Read being an accountant will realise that; I can only trust the reason they don't, is because they don't need too. Should the price drop too low, then it would make sense to divert all excess cash into debt reduction and buybacks, but they don't appear to be at that level yet.
They are making the situation worse by speaking. They have delivered rubbish to shareholders this morning and are continuing to speak. Its dribble and the markets are reacting to this. They just need to shut up and let this settle down.
Bought in here for first time sub £1 - as almost seems like no brainer for mid-long term. Have decided to go for buy in chunks option as if it does fall due to external influences and circumstances will be good to pick up even more at lower price :) Also good Dividends are being paid so almost too good to be true lol! ATB & GLA ;)
What a $ucking $hitshow this share is. Loaded with debt and an accountant at the helm for years. Incompetents
This is certainly not a good time to buy & no-one knows what the SP will be in a weeks time so posting that it will be back over 105 without any reasoning is just plain idiotic.
These results show increasing debt, balance sheet pressures which are mounting & spectrum costs soaring.
The biggest market in Germany (30%) is in rapid decline & will worsen as the German economy is affected by recession.
There is a distinct chance that these will trade between 80 & 90p for the reasons given.
This is looking interesting now. From my experience of similar TA set-ups, then somewhere between here and around 92p might represent a speculative buy. I'm waiting for a 'buy signal' though first.
I think its a gift for those who want income and prefer equity over fixed products long term.
Market wanted vantage monies that now support the long term plan into next year and beyond.
Pressure is on for market consolidation now
You're likely correct that the price won't stay below £1, this drop is similar to the market treatment of BT on their results and additionally the market seems to view £1 as a Defacto low level mark. If it closes below £1 today, my guess is it won't be there for very long.
This time next week we will be back over 105.....
Adjusted earning down 2.6% and Germany,Spain and Italy underperforming ....
The market is forward looking and it thinks that if a recession is coming then the next quarter is going to be tougher ....especially if the Ukraine war goes on and German exports continue to be under pressure .... Spain and Italy always struggle in a recession ...cutting the cash flow forecast by 200 million Euros is an indication of their thoughts
These are good results and dividend is in, time to lower my average.