Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
This is a sell, has been for last 2weeks.
Hope you got out of SSE.
CLUED.
So, here’s a thing. You wouldn’t go jump of a cliff if I told you so would I ?? Seriously.
Do your due diligence.
SSE has sliced there dividend to 3.5% from 5.7% to aid the growth it so badly needs and to help lower their debt burden if bowering to pay a sensible yield that is sustainable.
If you look at figures on financials you will see NG is better of and less risky, and has a yield that will continue to beat inflation each yr.
With attic conditions at minute it is causing a big drop in WTI. But why is the price not up with heightened tension in Suez Canal?
Looking ahead Interesting to look at crude oil futures going out to December 2033.
All red. From about 2026 to 2033 prices in $50s and low $60s. Makes it hard to want to hedge production out in future, which we all do. I suspect this is why stock is down more than current price of $72.08. Today’s stock price is a reflection of future earnings. JMHO of course.
Next target is 1141p
The RSI has been sat between 60-69 the last 4hrs.
This is a BUY at these levels 1067-68p
Could we see an outperformance as both FTSE & BP have continued to underperform in 2023.
SP is back where it were in JULY 2023.
Global equities rallied in 2023, more so with U.S. and European bourses up between 20-30%!
the FTSE 100 stocks managed a gain of just 4%, largely because of the negative pull from its commodities and China exposure possibly?
Or am I wrong
Views cemented in latest Morningside views
Should investors buy SSE for the upcoming dividend? It's looking like an unattractive opportunity, with its earnings per share declining, while, paying out an uncomfortably high percentage of both its profits (164%) and cash flow as dividends. Unless there are grounds to believe a turnaround is imminent, this is one of the least attractive dividend stocks under this analysis. Bottom line: SSE has some unfortunate characteristics that we think could lead to sub-optimal outcomes for dividend investors.
Found this positive article about SSE v sector
https://www.marketbeat.com/stocks/LON/NG/competitors-and-alternatives/
BP is still trading below 494p it hit in 2014.
So enough said.
It’s underperformed badly
Funds don’t even have this as a top Uk stiock in top 10 and side more with SHEL.
You clearly missed the point. BP has been run poorly . It’s nothing to do with your excuses, but board management decisions.
Do I need to remind you of BP’s & SHELS performance versus USA counterparts…historically both atrocious.
If we compare some gains here v UK stocks from 1994 to 2023 October 26th
XOM +750% plus dividends( USA)
SHEL 144% plus dividends in that period
BP. 320% plus dividends
CVX. 700% plus dividend's (USA)
OXY. 5800%! plus dividends ( USA)
including
BHP + 1,025% ! Plus dividends along the way!!
Diamondback Energy +780% (2012-2023) + dividends / special dividends (USA)
COP +950% plus dividends(USA)
The new year has begun and BP will finds itself bottom fishing once again. Is anyone surprised that they have not hired a permanent CEO? Who would want to lead this dumpster fire, it does nothing every year versus US compatriots.
Their leadership and board has destroyed this once well managed company and now they are one part dying oil and gas company and and one part mediocre renewable company.
Maybe GRETA could run it!
What should current investors do? Collect the upcoming dividend, sell all shares, park your money in short term gilds / treasuries and wait for the upcoming collapse when the Dow drops to 25,000 & FTSE 7000.
My vote is for the divided to be reduced to help give this train more steam to grow.
Watch and see any possitive movement around 2650p. That’s where I will be purchasing more, and hopefully others too.
The only trouble we have now, is the pubs / restaurants trend is not as flush as it were in 2021/22.
So, there may be more headwinds due to price pressure, along with the canal SUEZ, which they say effects could last the whole yr with delays in imports…
Not see this term used by a broker in years. What are peoples perception ?
I m presuming that broker sees a decline then a gradual uptick?
That’s what I see, but I wouldn’t put STAY in CASH as comments.
Best of luck with your investments in 2024
Out of my 25-28, I’m making AZN, ABBVIE , CVX, GS, ROCHE, AMD, HSBC, BMY & DGE as my top investments already in for 2024.
THE OBV is GLENCORE
My mistake. Dividend yield is 4.3% going forward.
Looking to the balance sheet, i read net debt was rising but still only equates to a fraction of cash profits.
That also supports a payout policy of 40% of profits.
But recently revised guidance means the 4.3% forward dividend yield may come under a little pressure. As ever no payouts to shareholders can be guaranteed.
Though if you want direction. I’d wait until Buffett spreads his $152bn worth of eggs before making a new position here.
There could be a jiggle, there could be a wiggle, or there could be a market correction.
HOLD is my plan
Can anyone see M&A here? This is dirt cheap.
What I will investors about is impending dividend cut.
Analysts for RIO & BHP have them looking at a small cut to there’s, so I believe there will be a BIG CUT here.
It’s currently sitting at 6.45% on this yrs payout at 2000p.
I do know the companies dividend policy is based on paying out 40%, abd even went a step further to say it might beef up the dividend after some disposals !
What are peoples views on the sustainability of divi ?
I hold RIO, BHP along with BP, SHEL, CVX, XOM, OXY in commodities
This is the one reason why DGE & co may continue to falter
‘…Magnificent Seven Loses Importance as Soft Landing Means Risk On’.
I still believe DGE will see a downtrend for some time .
2600-2650p is my buying area
most brokers SOCIET General, JPM, CITI, UBS, RBC have underperform around 2550-2750p targets for a bottom.
Don’t be fooled by BUFFETS purchase in January. It wasn’t BUFFETT buying but his management team. He is 93 remember.
His associate has gone too, Munger too 96!
He started a position of 292,000 shares in DGE a drop in Occean! He has $157bn still waiting to be spread. When it happens that’s the word. ## WAIT and hold until March. That’s where I de true #VALUE. Possibly a rerun of 2009