The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
Fleccy. Perhaps Mark has a graph predicting R.R. will go up by another 187% this year? Good luck though with vod, because at end of the day we are both on the same side, the only differance is, you know??, I just hope!! I am just off to night school now to learn about spread sheets & graphs. Have a good one.
Oh rob, you are such a bully. Me I am just bullish. At least we are still in the 70's. Not sure about your graph! I think you need to go to night school, or have lessons from fleccy, but from 2.33 in 2018 to todays price is terrible of course, so you don't need to keep reminding me you big bully. Have a good one Amigo.
Mikey. Much as I am no fan of jax, he is only doing what you were doing a year or so ago. Be careful, he might accuse you of bullying him, as you did back then. But it is nice to see that you are possitive about vod nowdays. good day today, back in the 70's
Garonne. If vod cuts its divi, what will it do with the money saved. Vod already has free cash flow, so can vod reduce it's deb't ? How does it do that? Can vod just pay off excisting deb't ? & at what cost. Or re invest, how? expanding how?. Vod has a fundemental problem, possitive cash flow, but what do you do with it. Why compare vod to R.R. R.R. can invest in their company by making very good jet engines in an expanding industry, what can vod do? It is not that simple. Why compare 2 companies that are nothing like each other? Complete nonsense, surely? Stop this management blaming, without thinking it through please.
Mole. Of course it does not make sense for vod to borrow at over 5% for you to invest at under 5%, that was the whole point of my posts. I was talking about excisting deb't & whether vod should axe the divi completely, as many including you have suggested. That is why I wanted to know what % interest vod pays on it's excisting deb't. But it sounds like nobody on here really knows, because I guess it is quite complex. So I will have to leave it to the vod management to decide.
Pokerchips, what I said is, if vod is paying a high divi rather than paying off more deb't, Is that wise? I don't know, but it depends whether the % interest rate they pay on the deb't is higher than the % interest rate its shareholders can get on there divi.
Android. If your figure of 2.5% is correct, then that is very good justification for paying a very high divi rather than paying off deb't. In the long term of course, vod needs to keep its debt under control. Investing is all about %'s In £'s or billions of £'s .
Sorry but I think you are missing my point. What I am saying is if vod is paying less in interest % wise than vod shareholders ( who own vod) can get in interest by re investing there divi payments, then that may justify borrowing to pay the divi. Forget charts, bla bla bla, Just maths is what I am talking about. If I could borrow the amount that vod pays in divi per year at a lower % interest rate than I could get by reinvesting it at about 5%, then I would. So if vod is borrowing at less that 5% , then paying a divi from borrowed money could be a good thing. Old school mathematics I guess. If you can borrow at 4% & invest at 5% you can become very rich if you have enough money, as vod does. Thanks fleccy, but you still don't seem to grasp the basic point, do vod pay more % on there debts, than there shareholders make by reinvesting there dividends? No spreadsheet charts please! Common sense answer please . Thank you. I realise of course that vods debt's are very complex, which is probably why we have to leave it to the vod bod accountants, unless you know better?
Thanks for that, but I still don't know the average A.P.R. vod is paying on it's debt. I will get a divi in Febuary, & will invest it in a savings acccount earning almost 5% A.P.R. so if vod is paying less than 5% average on it's debt it is good to pay a divi, even if it has to borrow to pay it, but if vod is paying over 5% then paying a divi is not so good. It seems strange that this info is not available, so we must just take vods word for it that it is doing right thing?
Fleccy, or anybody else, Do you know what interest rate (on average), Vod pays on it's debts? It seems to me this is crucial in deciding, if vod should pay off deb't, instead of paying a dividend. Thank's for any info on this.
Gary. Try reading your own posts sometimes, you have been having a right go at jax lately, not to mention your many insulting, aggresive posts to me in the past. (do I need to remind you)? My post to rob was just a response to his chill it comment. Perhaps you need to calm down as well, & I am certainly not bullying anybody, & rob, I am not grumpy, of course investing should be fun, that's why I don't moan, or complain about the share price. Happy New Year & just cheer up.