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Actually Rodney I dress very slightly to the right as a consequence of a slight weight imbalance in my ‘lower regions’.
For clarity, when it comes to politics I tend to consider the apparent merits of what’s on offer at election time and vote for what seems like the least incompetence, rather than hold an unquestioning allegiance such as I have for my football team.
Right now, (and in an effort to further encourage your recent willingness to entertain the proletariat by actively expressing your opinion) I think Sunak/Hunt may just have the capability to do a half decent (at best) job of it, however they are alas mortally wounded by the legacy of the incompetent, self serving crooks that preceded them, and subsequent efforts of same to now cripple them regardless of cost to the nation.
So we can look forward to Mr Starmer who is actually smart enough to know that if he wants more than a quick go at it he’ll need to recognise that the majority of people will always vote for whoever they think will impact their personal wealth most positively, and that free enterprise and reward for individual endeavour is in reality the way to a better society.
Having said that and unfortunately for him, he’ll end up being derailed by the traditional noisy extreme lefties who want to divert aforementioned rewards to anyone claiming to be the slightest bit hard done by, and as a consequence you’ll be delighted to know you can look forward to another 15 to 20 years of conservative mis-management once he’s had his brief innings.
I get that fleccy. My points are you haven’t taken account of inflation and as a consequence the impact on real spending power, and when you’re lying on your death bed thinking what was all that about, having had some fun with your money will feel like it was a far better investment than having accumulated a big bunch of share certificates.
Great other than if either fleccy was to still be around at the end of these periods they aint going to have the interest or energy to enjoy the money anyway, and if considered retrospectively the house the fleccy twins could have bought back then with that money now costs well north of £1m.
‘ easily move into a “growth” stock that falls flat without the benefit of dividends’?
I’m not suggesting selling up and then entering a lucky dip. My ideal would be a premium buy-out at which point I’d reinvest a chunk in solid dividend paying businesses. I agree the value of an ongoing good dividend but this doesn’t need to be at a cost to the ‘total’ value of the investment and if you look at the overall value of BT over time it doesn’t stack up well.
Yes, loads of people significantly under water but if a bid doesn’t come what’s the likelihood of the SP to recover to £4/5 in the foreseeable future?
Hanging on because the price has gone down and the prospect of dealing with a loss is emotionally difficult is not a great investment strategy.
Any other company with BT’s level of infrastructure and market share in providing a ‘must-have’ subscription service, would be absolutely ripe for buy-out at the current SP.
BT is obviously complicated by its significance to UK plc, however if a full buy-out is blocked I think it would have to lead to the break up of the company, with the ‘non-critical’ elements as a separate entity. If not it doesn’t represent a business that should be traded on the open market and might just as well be a government stock
‘This trash of a stock should be delisted’….that’s not quite how the system works. Perhaps having made such a strong statement you’d like to back it up with some reason and rationale, assuming it’s not just personally motivated.
Aus- hope you’re ‘hopes’ for your investment strategy are correct, hope your concerns about management are incorrect.
Larry- reference your comment on bid then down to gov and mergers; think you’ve called it right but should a negative outcome result from bid review we can look forward to the SP being suppressed for ever after. Having said that, if positive (which I doubt) could turn into a great watch as bidding progresses.
Great post by expat earlier. However you look at it the SP is well low and massively sensitive to the slightest rumour.
The people running the business keep taking the big bucks but the guys they work for, i.e. us, continue to see our investment eroded. BT either needs to be free to thrive in the open market or it might as well be a government bond.
I just don’t get the ‘hold for ever, keep re-investing’ mindset that leads to the ‘lower SP is good’ justification. It may make people feel more secure because they have increasing number of shares but for me it’s about getting as much out as possible and enjoying life today.
‘Sensitive stuff’ will not always be constrained to the BT network, however most likely they will be responsible for storing and encrypting it. I’m sure there’s a very lucrative contract involved but frankly if it comes at a cost of being a ‘constrained’ business can’t help wondering if it’s worth it from a share holder perspective.
I understand the rationale as to why BT ‘couldn’t’ be taken over (in its current form) but if that is the reality of things why is it being traded on a ‘free market’ where other companies.
It’s effectively a rigged deck.