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LoveMusic
If owning individual shares causes you sleepless nights perhaps you would be better off with investment trusts where the risks are spread.
You know what they say: "if you can't stand the heat get out of the kitchen".
Damning criticism of share buybacks in the Sunday Telegraph today. They line the pockets of underperforming boards. The effect is mainly to enrich top management because it makes their bonus targets easier to hit.
It also limits the amount spent on R&D particularly by pharmaceutical companies. US law makers call it 'Corporate Cocaine'
Matt. There is no need to pay taxes on dividends. For the past 20 years I have invested through first PEPs and now ISA self select platforms where you don't pay taxes.
I think you will find that most retail investors are with me on the futility of share buybacks
Are they all abandoning the sinking ship?
First Geoff Drabble, now Ian Sutcliffe.
On the positive side, I note there have been no share buybacks since the 20th December. One can only hope they have come to their senses.
AAS
It is precisely because the dividend is well covered that the company can well afford to pay more'
6.5p with a profit of 98p per share: Ridiculous. When I see the value of my share holding fall by 35K I do not consider that the share buyback is in any way "returning profit" to me.
If they won't further increase the dividend or pay special ones as the builders do with surplus money I would much prefer them to pay down the debt, which they are paying interest on, ready for the inevitable downturn, instead of wasting my money on share buybacks.
Yet again Good results followed by a muted market response.
Who would want to invest in a company that pays a paltry dividend yet wastes millions of pounds supposedly
"returning profit to shareholders" by buybacks, while carrying huge debts?
Very sad to see Geoff Drabble go. He has been an excellent CEO over the last 12 years.
He also replied personally to my email to him about buybacks earlier in the year explaining the situation.
How many other CEOs would bother?
BARCLAYS SLASHES PRICE TARGET FOR ASHTEAD
(Sharecast News) - Ashtead is facing a flattening off in its construction equipment end-markets, Barclays said on Monday, slashing its price target for the FTSE 100 company.
Analysing how the current economic cycle might differ from the last one, Barclays felt that lead indicators "have likely peaked" and currently strong activity levels are likely to lead into flat end-market volumes in the year to April 2021 and negative in the two subsequent years.
Barclays, which cut its price target to 2,200p from 2,580p, said the "shape" of the current cycle is very different from that in 2008-10, which saw very aggressive growth followed by a sharp downturn. Currently growth has been steadier and so a less severe correction is expected. Furthermore, Ashtead has a stronger balance sheet this time.
"By the time AHT's end market conditions have deteriorated enough to be evident in financial performance, the shares will likely be closer to a buying opportunity than a selling opportunity."
What planet are you on SBB1?
Equity Development says avoid them or consider shorting them!
Mornin' DD
I am now starting to get a little concerned.
It appears that not a single cent of Trump's pre- election promised $1trillion plus infrastructure spend has been allocated so far, and raising taxes to fund spending is likely to be political anathema to many Republicans.
URI has dropped 33% YTD despite good results and even if spending allocation is voted through is it likely that contracts would be awarded to UK listed companies with Trumps "America First" ideology?
Having held these shares since 2010 and watched them rise to around 700p and now to about a third of what I payed for them I can't say I'm very hopeful of getting anything back, but they're just not worth selling so I might as well just forget about them.
The fall today was only to be expected as URI fell 15% last night and HEES 17%. and after all it is October!
There should be a rise in November but with Brexit, US interest rates, Italy etc I wouldn't bank on it.
I don't know where you are getting your wide spread from AllAtSea, I can't see it but there again I haven't tried to deal.
AHT tends to follow its peers in the USA. Over the past week AHT is down about 16%, URI 18%, HEES(which is rumoured to be in URI's sights) down13%. Various reasons : IMF cutting global growth outlook affects cyclicals and Trumps tax wars don't help.. Just as well to check how these shares have performed before committing to any dealing.
In view of the increase in destructive hurricanes in the U.S, I can't think of a better business to invest in than the rental of heavy industrial equipment.
I see this correction as a buying opportunity when the market steadies