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Cheapsharesboy - nothing is happening now, but there is always the risk of something happening. That is the only reason I can see that these are not in double digits. Earnings, cash flow and growth are all there. Perhaps some see a moral issue with IGG, so are reluctant to buy, but I wouldn't think something like that alone would account for such a big discount.
Jonfon - EU legislation changes occured couple of years ago
I can't see anything new?
What new changes are happening???
I just added at 798p. This share price makes no sense after H1 numbers. Single digit PE, yield over 5% for a company with growth, low capital intensity, and huge cash flow generation. I think it's worth £15 today, so £21 over the next 2-3 years not ridiculous in my view.
It may or may not arrive.
AZ used to hit a ceiling like IG, then it went up 400-500% so it can happen. IG has heavy resistance at 950p area. If this breaks might head to £15-20.
I don’t know for sure what will happen.
I think it will break it early next year, times have changed and igg share price will follow but it’s a difficult one to call. I see this in ftse100.
I’m holding a fair few for the dividend and the eventual share price just. Just my view, I could be wrong. Yield is over 5% so I’m fine waiting. The proceeded of dividends will go to other bargain shares.
Investors have been spooked by law changes in Europe and the US that have had a bad effect on prices. While Europe remains an issue, the US, which is a much bigger market and in which we are established, is liberalising gambling laws. If games like Roulette and blackjack are lega, financial market derivatives shouldn't be a problem.
I agree £21 isn't realistic, but double digits most definitely is.
Might be worth picking up some more at 750p. Forget £21 a share that is pure fantasy, this had a higher share price five years ago so really not been a fantastic investment.
For me simply Wall Street has been great for information/valuations (my opinion) but I use several tools to help guide me. I think it’s in a different league to motley fool.
I get we share the same volatility but we seem to break the £9 barrier then crash back, I would have thought with tastytrade we would of moved up a bit more in price…maybe next time I will sell a portion and see if I can capitalise on the next jump.
Thanks for the input Eighteen
Isn’t simply ws just one of those algorithm websites that generates content much like motley fool?
Wouldn’t put much thought into it..
Our big problem is we are a barometer of market activity so volatility like this is great for us, the tragedy is we are part of the market so subject to the same volatility in share price....
We need a good period of sideways IMO.
According to simply Wall Street they value IGG at £21, right bargain to be had here! especially with great divi and the acquisition of tastytrade becoming fruitful or am I missing something?
Ex div 30.24p today in case anyone was wondering.
The shares opened lower but have recovered and are positive now. Has the market FINALLY after decades realised that IG does very well in volatile markets. Oh dear, who would have thought!
On top of that Ig made good money on calmer markets earlier in the year.
I see volatility returning a little more now and will hold from here. Bought in last week, maybe more today.
Totally agree guys, sadly many UK shares are trading well below what they should be. Any slight bad news and it collapses and good news we manage to rise a measly few percent.
"We drop 10% on someone else's revenue figures but then only increase 3% when our revenue figures show that we are ahead of the previous year. I suppose it just gives us another buying opportunity."
Tempted to print this and hang it on my wall, for the next time I make the mistake of thinking the world is rational. Spot on!
I hate and love the markets at the same time. We drop 10% on someone else's revenue figures but then only increase 3% when our revenue figures show that we are ahead of the previous year. I suppose it just gives us another buying opportunity.
In addition, if this means they can match last years' eps of £1,. whilst also expecting further growth in the years to follow, I don't see why this stock shouldn't trade at 15x this years' earnings, meaning a £15 price target. This stock now looks seriously cheap to me.
Yep, these are great figures indeed. If IG had emulated CMC, revenues would have been around 170m. to get £200m excl TT and £222 including it it is a fantastic result making the 10% fall on 'CMC day' appear ludicrous. I expect this to get back into the 9's fairly quickly here.
Revenues are holding up,. It pays a good dividend. There are growth prospects with Tasty Trades. All seems good.
A very positive RNS this morning. Performance seems to be holding up strongly, and compared to the recent CMC Markets RNS, IG continue to trade well.
It hasn't turned yet, nor have we!
On another note why does it take so long for IG to go ex dividend, a full two months after declaring the dividend?
To be fair, I don't really think I'm 'long suffering' here. Whilst my first purchase in this stock was in the £7s, I really loaded up in the £5's so I'm up about 50% on average in price, and taken more than 5 years worth of juicy dividends.
Re CMC vs IG, I think the former have always been a bit more aggressive in statements, with IG more conservative. We'll see!
Thanks for the moral support guys, we should create a club for long term suffering IG holders :)
I am hoping today was an over-reaction and we will see in the next update for sure. CMC has come up a long way in a short space of time after numerous profit upgrades, the first negativity is dealt with very harshly as we have seen.
yes Jab, I think we'd worked that one out.......;-))
Chequemate. Yes rinse and repeat. This has struggled to pop 9.50 historically. So it's easy to trade. Buy the dip. ExDiv on the 23rd.
Yep it does feel like groundhog day again, but I've had this in quite a few stocks over the last 10 years (I remember wondering if Astra Zeneca would ever get out of the £20 to £30 price range (broadly stayed there between 2004 and 2013), but when it broke out, it flew. Sometimes its just a case of keeping the faith, and if you like, trading a few out at the top of the range (c£9.50), and buying a few back at the bottom (c £8).
Today's fall in the SP is down to the steep decline in CMCX which reported today. They also deal in C for D and they have fallen by 28%. Their operating profits are forecast to fall 20%.
I am suffering the pain.