Member Info for CHEQUEMATE

Much of the market is down today JR.

I have one black cat today, but it may turn out to be a red herring by day close. And despite my last post, my own personal view on the acq cost is that it does seem over priced. However, we would HOPE that the board knows what it is doing. What is the expression, "no pain, no gain"?. Hmm.

Looking back at past history of IGG share price over the years it does seem to rise on a wave and then crash back down before repeating, so this may be just another one of those occasions.

CM

Below is taken from the Naked Traders' blog yesterday which may give a little more confidence:

"I an waiting to buy more IG group (IGG) on the back of its incredible acquisition of
Tastytrade in the US for a billion dollar.

This shows major ambition from IG - shares initially fell as there will be more shares floating about.

However this is good news in my opinion and could see IG shares hit the 1000p level soonish.

This statement shows how serious IG is in growing its business. So I am waiting
for it to bottom out and will be buying more."

It doesn't help much in the immediate term but it does mention what I mentioned yesterday that (at least some of the) fall can be put down to there being (a lot) more shares floating about (or will be). At about an extra 15% issued (420 million from 360 million), then I can see this falling to around the 770p level, possibly lower, if we were to take 15% off the share price from its' high. To add 60 million shares to the shares issued and to expect there to be no fall in the share price initially would imo be expecting too much. A share price of around 770p would then keep the mkt. cap around about the same as when the share price was at its' high.

So imo, for what it is worth, although for thoughts are/were likely to be it has been a disaster of a RNS, given time, and a fair wind, then things may be largely positive; just not overnight. However, I do accept there are other opinions and always open to them.

Incidentally, not that I follow him religiously, Robbie Burns, The Naked Trader, has FAR more experience and knowledge than I will ever have. He is just another point of reference.

Stay safe, stay well

CM

Yes indeed. I have just read it. RB looking to buy more once it has bottomed out, believing it to be a good move and in his opinion could see the shares hit 1000p soonish. Shows major ambition from IGG and how serious they are in growing the business. He is a pretty good judge of things as I have found reading his blogs for years.

Thanks for bringing it to my attention Topo. Encouraging.

CM

The acquisition is proposed not final, although pretty certain. Part of the payment is the issuance of 61 million new IGG shares, which would increase the shares issued from around 370 million to around 430 million. That would surely dilute the share price and maybe one of the reasons the share price has fallen and has continued to fall today. (He says grasping at straws). Bearing that in mind, maybe the share price movement could have been worse. And at least the interim divi has been reinstated. Ever the optimist.

CM

My thoughts too. I would like to think the market is over-reacting to the acquisition, which imo seems very high (what do I know?). The board of IGG should know what it is doing (they have the facts and figures)and what a fair price is. I'm sure they haven't rushed into this and have been weighing it up for some time, pros and cons. No doubt IGG would have liked to have paid less and tasty trade would have liked them to have paid more so there has no doubt been some compromise, you would think.

I am not surprised to see some retrace today but would have thought 3% down would have been my guess. The market tends to over react one way or the other and the market makers are in there to make a market and will do what they will to make one. After yesterdays 22p per share rise this is a bit of a kicking; but.........give it time and things may well pick up again. These things happen. IGG have their eyes on the bigger and longer picture.

Here's hoping.

Regards

CM

Hmm, don't be too sure the share price won't fall below 900p tomorrow upon trading update. The market is forward looking and will be looking at what is ahead rather than what is behind. CMC reported today and their shares fell marginally. It may be worth having a glimpse of the below:

Jan 20 (Reuters) - Online trading platform CMC Markets
said on Wednesday client activity in the third quarter
eased compared with earlier in the financial year when market
volatility amid the pandemic was the highest since the 2008
financial crisis.

CMC and other main industry players IG and Plus500
have seen profits surge on strong volumes driven by
major macroeconomic events including the pandemic, the U.S. 2020
presidential election and uncertainty over a Brexit trade deal.

"We wouldn't necessarily expect this heightened levels of
volatility to continue and we don't plan for the future based on
these elevated levels," Deputy Chief Executive Officer David
Fineberg told Reuters on a call.

Interesting. From past experience I have found to at times to expect the unexpected.

Incidentally, I invested here not long ago when the shares fell below 800p and had to watch them fall back to around 750p before picking up again.

Regards

CM

Just like to wish everyone here a merry Christmas and a very happy and HEALTHY new year. It has been an awful year, especially regarding Covid, casting a major shadow over the year. It really has put things into perspective, what is important and what is not. Our health is worth far more than our investments. Lets hope we can all get that vaccine asap and get back to some degree of normality again, whatever that may be. It isn't just the socialising that has been missed this year, the going on holiday, and many other things but actual physical human touch. Is there light at the end of the tunnel, just maybe, just maybe.
Today we have news that it looks almost certain, as much as it can be in this present world, that UK has come to some agreement with the E.U over Brexit. Too many theatricals in my opinion. If a deal can be done at the 11th hour and 59 minutes why on earth not far, far earlier!. Why push things to the absolute limit, bonkers. Any agreement made could have been thrashed out ages ago surely. A positive should be that the stock market should now be relieved. It should enable us now to have a fresh look at things with more confidence. It may just tempt me back into the market a little more. Tempting to say it is a little late for me to get back into GBG, but having said that there is little reason why in a years time GBG won't be trading well above £10 and possibly nearer £12. No prediction made there, and hopefully it won't put the mockers on things. Who knows what Trumpty Dumpty has in store in his last month in office!. I half expect him to arrange a re-inaugeration (spelling, sorry) ceremony for himself.
So, everyone, stay safe, stay well
Regards
CM

Good evening BT.
Good to see there has been some modest recovery for GBG. It is now back to and slightly above where the share price was exactly a month ago. I think I gave up understanding the stock market some years ago. How it works now is very different to previous times when there seemed to be some logic in it all. Don't know if it is down partly to a different generation of investors looking for different things; perhaps faster gains, shorter time periods for holding, and most certainly the internet has made a significant difference with instant access directly, not through a broker. Now we pretty much all have access to information which use to be available only to brokers. Automated trades, and those tiny trades, still no nearer understanding those - is it balancing buys to sells?, I really don't know. But it does seem that although doing thorough research is still advisable it is still often like throwing darts at a dartboard in a room with the lights off. Can't argue with GBG performance overall over the years from 60p to near £10 all be it with those unexplainable jumps and drops. As you say BT we have seen it all before and guess we will see all again. Am I any closer to buying back in?, well no probably not, unless the share price drops to below 700p maybe. If it does then I will want to know why and be confident, as much as anyone can be, that it will be down to just the usual carry ons for GBG.
Yes, back to being furloughed again BT. Expect to get the call to return to work before 2 Dec though to try and help get the wheels back on the wagon before we are exposed to all and sundrie before Christmas like after the last shut down. Need to make the most of the time in the mean time, getting out and with the dark evenings doing some French studying for if and when I ever get back out there.
Re the Trump; well it really wouldn't surprise me if he arranged some more rallies before 20 Jan. and may even have his own re enthronement on the same day some where else with all his supporters bowing the knee and swearing never ending allegiance to the one and only "me". He never did state before the election that he would accept the vote if he lost, just like back in 2016. He just reminds me of the character Biff from Back to the Future films, a bully and totally self centred.
Re RR. Well, I fear the end game is in sight. I managed to visit immediately before the present shutdown, gut feeling I had to go before the shut down was announced. A brief but very close, tender and touching occasion. No need to shout anymore.
Stay safe, look after Mrs. BT...........or is she looking after you?. And watch those non puppy puppies!.
Kind regards
CM

"plenty of opportunity to make and lose money but ain't that the fun of it fellas"

Please don't take it personally, but care to tell me where the fun is in losing money?. Additionally, not everyone on the boards are fellas. I know you wouldn't have meant it disrepectfully but there are many non fellas who contribute and read these boards.

Stay safe, stay well

CM

You could say the same for FRP and MANO.

Portswgger - the Americans love buffoons regardless of how much I like them. Donald Trump hasn't reached those dizzingly heights yet though. Ask Boris about it, he has!. And despite the polls, don't rule out a Trump win, he may well find a way.

CM

A remarkable day for GBG. I couldn't believe my eyes when I looked first thing and saw the share price up over 100p and close to £10!. Was that an error?. I looked at the price to buy through my brokers and it gave nothing like the price shown on here so it was very much an opening price it seems. I was never likely to buy back in but GBG has stayed on my watchlist ever since I sold out some time ago for old time, old friends sake. Congratulations to all that have been holding. I think I would have been very tempted to have sold out entirely at such a high price and looked to have bought back in at a lower price as it seemed more than likely to fall back during the day. Hope nobody got caught out.

I fully agree with FK that the share price had got way ahead of itself and there may be shorter term retracement. Some distant bell in my head seems to remember that on results day GBG always seemed to fall back despite all the excellent news which was always frustrating.

Good news for holders that the dividend is being increased. When so many companies are withholding, reducing or at best only holding their dividend this is indeed good news. Having said that I always thought that GBG were mean in the size of their dividend; it has never been a share to invest in for the dividend. I would have thought they could have paid more but then the growth in the share price has more than made up for it I guess. And it you invested early days when the share price was around 60p then it is better than looking for any laughable interest rate you would get in any bank/building society.

BT - thanks for your kind words/concern re my situation regarding RR. That is comforting. It rather puts into perspective what is and what isn't important. I had to laugh at the picture of you shouting across the office at what the weather was doing etc!, great. Similar situation to me standing on the roadside in Hawkshead shouting into my phone to my Mum. Nobody could see I was holding a phone since I had my cycle helmet on and must have thought I had terrets (excuse the spelling if it is wrong). And me shouting "No, I can't speak any louder!" and looking around nervously. We have to laugh otherwise we would cry!.

Good luck all and excuse any off topic. BT and I have known each other many years on this board. And a good board it is too, always has been. Long may it continue.

Regards

CM

Can't help with the Russians BT, Donald Trump has booked them all to help his election campaign. Think the word is "election", but knowing his reputation I may be wrong.
Must get back to work
Regards
CM

And here's me thinking just maybe yesterday was a change in sentiment. Still maybe of course.
gla
CM

although no longer invested here I still have BEG on my watchlist and look in. Maybe I will re-invest sometime.

Portswigger - don't worry about how quiet the bb is. Believe me that is a GOOD thing. If ever this board gets very busy then that is probably the time to leave because it is usually is the sign that the inmates have taken control of the asylum!. The busiest boards are generally those with the worst performing shares full of rampers talking absolute nonsence and sparring for a punch up. Full of insults, full of self opinionated idiots who are more often than not losing great amount of money, bragging about how many shares they own (or probably don't). No, stick to the quieter boards with folk who are prepared to view any differences in a civil, mature way and respect each other.

I, like others here, just can't see why the share price hasn't gone higher and became frustrated too. We all have to do what we think is right at any given time according to our own circumstances.

Portswigger - re your comments on the U.S election, I think you will find the financial market on the other side of the pond would prefer a Trump victory as they see him as more business friendly so there could be a negative re-action, possibly short term, if Biden wins. That of course does not mean we should want Trump to win. He reminds me of Biff from Back to the Future films. Just a shame the Democrats have not got a younger and more charismatic candidate.

Re Virus, Brexit, the US election. They will all pass in time and we will look back at them as just another bump in the road. No doubt something else will come up which we will worry about at some time but that is life and investing. We live in the present, we can't know the future; perhaps that is just as well.

gla

CM

So good to hear from you my friend, I had been concerned for your welfare/health. I had wondered if you had been taken by the virus, seriously, or had just decided to call it a day with posting and/or finally sold out. Thankfully the news is good from you and I continue to wish you well and of course MrsBT.

Although no longer invested in GBG I still have it on my watchlist. Great to see it doing so very well, better than pretty much anything else over the years. I first invested at around 60p adding some more, selling the lot, buying back in etc, Finally sold out at around 518p which seems far too early now but as you rightly say we have to do what we think is right at the time. None of us can know for sure the way things will go and there will always be the unforeseen events which will likely shake all shares, too many examples over the last 10 years or so to start compiling a list. Through all of those though GBG has continued successfully to grow its' business. I am now, what?, ooh, 10+ years older and now view 10 years very differently to what I did those years ago. "Life is like a toilet roll, the nearer the end you get the faster it goes" and i don't feel up to holding things for that long any longer. And in truth, now that I am living financially a little more comfortably I don't want to take the risks I once did. Additionally other things have become more important, like family and health.

Thanks for asking about RR, BT. She is now in full time care, won't be going home. The dementia has set in and getting worse to the degree she barely know who I am and can't hear me when I phone most times. I tell her what has been happening, weather etc in the hope that just maybe she will hear me even if we can no longer hold a conversation. Visiting is now re-allowed but restricted to 30 minutes in the lobby after ones' temperature has been taken. It's a 6 hour drive plus to visit but that is no more than minor inconvenience. There must be no regrets when the time comes. At least now she is getting proper 24 hour care and she has company.

Hope all is going well with the house and you are getting those jobs done!. Give yourself some time out for yourself.

Regards

CM

for today's fall!. I invested yesterday at around 794 and as has been my recent experience in other trades it seems to put the mockers on things. Sorry!.
Have been invested in Plus in the past and did reasonably well then, so hopefully the downwards movement is only very short term.
gla
CM

Well it had nothing to do with me! - I'm still out of it. But in truth the sp movement doesn't surprise me, I've seen it happen elsewhere so many times on results/update day for no apparent reason.

gla

CM

Right, the share price has gone far too high!. Time for me to re-invest!. Huh, that will do it!.
Don't worry folks, I promise to keep on the sidelines.
Tomorrow will be interesting with a trading update.
Gla
CM

Ha ha. Told you!. Win some, lose some. Such is life.

gla

CM

Yes they can be mis leading and may not neccesaily be buys. However, large trades need not be disclosed as and when they happen, ie they are delayed trades. My understanding (may be wrong) is this is so those very large trades don't influence the market right there and then in an unduly way. For example would a buy or sell of 1,000,000 shares cause folk to rush to buy in or panic sell for no good reason?.

CM