Gordon Stein, CFO of CleanTech Lithium, explains why CTL acquired the 23 Laguna Verde licenses. Watch the video here.
I dont share your optimism builders will bounce back. much more downside than.upside. its a considered decision and I have more interesting investment ideas in other sectors. thats all. the only issue to manage is cgt as not all in isa.
Tom, I understand its entirely your prerogative to dismiss any posters who dont share your exuberant view of Tw. as doom mongers, but surely the usefulness of these boards is to learn from others. otherwise a mirror would be fine. Maybe you will also dismiss todays investors chronicle piece entitled Hold Your Houses, as that highlights problems builders currently face. we probably all share common objectives to avoid losses and pursue gains and I have learned a lot from other boards, and inevitably my own mistakes! But I dont learn so much from this board... I wish you an enjoyable weekend.
graham I am happily not in lloyds but thought uk govt still owned a big slug, which they need to sell down, depressing the sp inevitably. could need a lot of div to come out net ahead surely?? I prefer to take my lumps and reinvest, much as it hurts to do it!
housing market flat, consumers lacking confidence, labour shortages pushing up costs, rates on the increase- whats not to like?! good time to be diversified away from this sector, and uk economy. all only imo of course. always preferred capital growth to divs. fools gold but lots of different views make a market, even in decline
tipped as a buy in Investors chronicle jan 18 @ 338p and again at end march 18 @ 306. now drifted down to 292 and looks great value. way more upsude than downside surely but below the radar for many I guess. thoughts anyone?
Sparkling results today. Look forward to Simon Thompson s write up in investors chronicle as I am confident net asset value is significantly understated
we are not in a bear market!! If Mark and the board had not messed up on his resignation announcement and the will or wont he be a non exec, the sp would be way higher. more so if mark was not unloading his shares
talk about pick a number!! the ultimate number is post tax profit. but you wanna pick one you like further up the food chain , go ahead. the point is that if house prices decline the impact on profit is greater than many expect. hence the sp drift. nationwide report year to end feb, market ave price up 2.2%. compared to year to end of Jan,3.2%. many now expect more rate rises in uk and usa than expected hitherto. wages are flat. consumer confidence is low. affordability already acknowledged as a big issue. in that scenario, if you feel tw is a great investment, best of luck .
look I said it is a rule of thumb, right?and ignore if you dont like it! 15000 completions, c550m post tax profit. allowing for the usual creative accounting and other activities, who knows how much per house? not even the cfo/fd probably. its an indicator of how profit may follow house price changes. is all.
1% off 300k house sale is 3k. not such a big reduction. but if profit on a newbuild 300k house is 30k, then each 1% = 10% +- profit, right? rule of thumb not invented here but used by some analysts. as ever, folk can nitpick the numbers to suit their own views, but I find it a useful reminder of the gearing of builders profits to attainable selling prices. both up and down. for those who dont find it useful, just ignore.
I share many of your concerns. but this board tends to support each other in an alternative optimistic scenario based on the past, with a badic belief that tw. is entitled to be 200p by now and 250 by May. of course you are correct that affordability is key, both to potential buyers and existing owners avoiding repossession. I dont know about your 25k but I do buy the rough rule of thumb that if prices drop by 1% builders profitabilty drops by 10%. for me there are 2 key investment questions: given the outlook do I want to be in this sector and secondly, if I do,is TW the best value.