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Insiders gain many Investors are in pain.
In super markets you get what you see
Stock markets are a mystery.
Wiscos what is a fair valuation of the stock then, and wh
Nothing to do with Market Makers. Shorters and brokers are the problem here...
Wiscos, I doubt its a market makers thing. The market is undervaluing lots of business, especially those with lack of visibility on long term prospects
Dishonest brokers are marking down HL price for what appears no good reason other than to help the shorters. I wonder if there's a private equity bid for HL coming. Bloody crooks.
Search on 'corporate bond funds' or fixed income. Loads!
Wiscos what are the corporate bond funds that HL offers? do you have a link?
Valuetrap, I find HL excellent as a broker. Very rarely have delays trading and price spread and accuracy is good. Customer service has always been excellent for me when I've needed it. Nice to see some of the shorters closing their positions a bit and HL should do really well as money flows back into Bond funds as interest rates peak and equities and funds as markets rally.
Revenue is more related to funds under management than the number of transactions. App platforms and websites can be updated, but things like SIPPs tend to be sticky.
Whilst I agree HL is not the cheapest, certainly for funds it's ok for shares and IT's. If you do not trade a lot then the dealing costs are not significant, but for regular traders while you do get a reduced commission due to the number of deals done per month, it may not be the best.
High inflation and higher interest rates have diminished peoples funds available for investing and lower stock markets have impacted AUM values for all asset managers so I don't think it is fair to say that has had no affect on the share price.
Valuetrap, I am looking for another broker or IFA.
Which one is the best?
HL has failed to keep up with its rivals and free alternatives. I use 5 different brokers, and HL is the most expensive, and sadly the worst. This is why the share price has been falling for years , not inflation, or the stock crash
Wiscos thanks for your feedback and yes, the share price is 10x what I quoted.
And if costs come down and a special div becomes payable, this should re-rate upwards. And chase the shorters away.
Alessandro, your figures are all wrong probably be a factor of 10. Of course income from trades etc in down - the market is in a terrible place. But if the market recovers and interest rates drop, money will flood back into equities as they are so cheap.
From 2016 to 2021 HL was priced above £1.30 making net profits in the range of £200-300 millions. The dividend payout was around 2%.
We are in an environment of higher interest rates, which seem to be helping HL margins, however the interest-discounted earnings today are lower than the interest-discounted earnings in the period 2016 to 2021, but compensated by a higher interest payout thanks to the recent share price drop. I cant see HL recovering to the old £1.30 per share any time soon, unless the dividend can be sustained at 5-6% at a share price of £1.30, which would require doubling the dividend payout, which is quite a feat tbf.
I suspect part of the reason is that they are bearish on the sector and HL affords both the best liquidity and the required borrowability to go short, rather than it being for entirely company specific reasons. I've added today
The short funds will have to stump up for a large dividend @ 28.8p soon unless they close before ex div.
Most HL Investors are unaware of the LSE board . They often
buy high in ignorance and sell in panic at a loss or wait until there is
nothing left. Lost capital hurts and damaged investors stay away.
That is bad for the Finance Industry . Experienced Investors pick up bargains
and know how to trade. That takes time and patience . How many are lucky?
MSK and RR are the best in 2023 so far.
UK stocks - easy targets for shorters. Regulator in UK doesn't care. To make the most money they want to work together and drive the price down. In the UK, most of the 'establishment' care not a jot about UK businesses and hide behind hedge funds and blind trusts. UBS report today is faintly amusing. Seems to be suggesting that banks shouldn't be making money out if client deposits. Hilarious. Shorters want to create more panic and get out, or perhaps someone is trying to take this company private - it's just so cheap at present. Cynical. Yes. But I bought a chunk this morning.
Rather than attacking shorters (and noting f15jcm's comment on AJB), does anyone here have a clear view on why they are selecting Hargreaves as their target?
It's interesting that there are no positions against AJB which has performed much worse over the last 12m
The shorters amaze me sometimes.
Revenue and profit has increased sustainably over the last 11 years the the share price hasn’t followed the success of the company.
I wonder if they are considering a share buyback scheme?
Shorters are the wealth destruction thugs of the Security Industry.
Banks are involved and are rewarded when they should be fined.
Our MP was a Hedge Fund Manager before he went into politics.
Finance is rotten from top to bottom.
Lots of shorting against this stock. Blackrock have just piled in but there are many others... Seems tremendous value, but so much shorting is a worry. I expect many of them are holding long positions as well in other vehicles.