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Glad i bought in at 124p enough said
This sock is cheap yet so much for waiting a rerate
$GME GameStop touched 8-bagger yesterday at day high in 3 weeks (c. $10 - $80). closed yesterday as a 5-bagger (c.$50). DFV, Roaring Kitty, is back after a 3-year hiatus.
When are we due news guys ? Things seem to be picking up hopefully 🤞
I agree with the general sentiment re specialist lending but its no simple task to transform the balance sheet. The core transaction bank costs a minimum of £400m to run, and as Carlyle found, uneconomic to exit. It takes a lot of niche lending to get say £600m of risk adjusted revenues to deliver a £150-£200m PBT. And as Close has found, you have to make some big, concentrated bets and it only takes one or two of them to blow up and even a well run. well respected business like Close is on the rocks. It could be done, but as is obvious by the record to date- not by this management team, They will, as all low performing banks do, just march up the risk curve writing the business the smart ones don't want and buying the rubbish they want to offload. Unfortunately the best answer is to sell the bank to a well run competitor/specialist. We wont get rich but at 40-50p we get something. Wait too long and Frumkin - the most inept, accident prone CEO in UK banking-will have found something else to trip over and we are back in resolution.
L have said before that Metro need to stop following the banking herd and specialise on specific markets. Perhaps they have finally realised and the tide has turned? I certainly have added a few at recent prices for the longer term.
BC
Best keep out of unsecured loans i say keep to the bread and butter and we will soon have nice savile marmalade . This could be a great earner !!!!!
I remember, being stated as the saviour for Metro when it was acquired, by the ever hopeful shareholders on here , that would grasp at anything.
Once there were hundreds of posts on here daily from those same people thinking that a return to £40 a share was just a matter of time once this that and the other had happened, to now being hardly any. How times change.
https://www.themarketingeye.com/blog/whatever-happened-to-ratesetter/
Further to my previous comments “screw Barclays analysts”
I re-iterate that.
Everyone knew Petrofac was petrof@cked for at least 3-6 months but Barclays analysts have only just cut price target from 80p to 10p.
Woeful analysis, Enough said!
Ratesetter has been shut down and most of its staff fired. Given there were around £30m of costs when it was acquired probably makes up a fair chunk of the £50m cost save. Management line was that unsecured worked better in low rate environment- but that is code for saying tehy wrote a load of loans in 2022 at less than 5% - unhedged of course- so the book was underwater. When Galinski demanded cost reduction it was an easy target. But lo and behold it turns out that if you close a business that was writing £1.5b a year, you end up with a gap in your lending the following year. But nevermind, they can take some wild punts on £45m loans to individual businesses and expand their concentrated lending in Care Homes and Hotels. What could go wrong?
Quite a hefty sum for recruitment company. Let’s see how this pans out
And vouchsafed invoice financing of £45,000,000 to these guys...
https://www.assetfinanceinternational.com/index.php/equipment-finance/news-emea/emea-articles/23799-mach-recruitment-receives-45m-invoice-finance-facility-from-metro-bank
Lending in general down 9% on same Qtr 23.
Anyone know the situation with metro banks personal loans?
Rate setter not accepting any applications and no loans being issued directly from metro bank.
Thought personal loans were a good moneymaker
Very dull trading update.
Wait to see were market will take Metro sp
What an utterly dull trading update..The shares will drift sideways for next few months..
Thing is hgood and they have increased assets over 400 millions . Yes they will get over this soon next update an profit on . This is bottom now as there is nothing too serious destroying it .
Next things they will do reduce cost and that us all we hope for . As soon as cost reduces it will help to increase full year in the end.
UK Bank stocks are all up today. Banks are in good shape generally and metro is catching up. However, I think it will be acquired before it catches up.
No mention of profitability- they don't tend to provide a number in quarterlies but when its good news they tend to splash on it, so assume the loss was material. 25% reduction on current account sales vs Q123 is not as bad as it could have been after October debacle, but likely points to continuing decline in low cost deposits. Cost cutting will make this worse, Lending looks weak. At the moment they are just cycling assets into cash. Very exposed if rates do come off. Can't see an organic turnaround here. Needs capital and a new management team.
Yes a re-rate could be on the cards once they have stable growth and profitability over the long term.
The market will be comforted the bank is on the right path now. Costs reducing and the limit to higher margin products. Time for the re rate to begin
Good progress being made - steady as she goes
Let’s see the update.
Q2 will elicit more detail. Staff and cost savings, impact of short hrs on deposit/accts/SDB income, i cant see anything moving the dial in the q1's. In fact pulling the high Deposit rates might have neg impact on deposits. Metro need a big initiative other than a bit of incremental nibbling at costs imho, that won't be anywhere near enough. SP has been steady 5 -8% growth last 1-2 months on sentiment to board appt/changes, cost cutting, but nothing spectacular.. but at least the hole in bucket seems to be plugged.
Dont expect this to be around long. Banking sector is going through a mega consolidation - £1 take out and off she goes
I tend to think that companies that make no announcement to stock exchange for any upcoming trading statement is one that has a disregard for its retail shareholders ..Instead directing the company for themselves and their shareholdings..As in the previous rights issue where retail shareholders were excluded..