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Investing value - What is the price point on chart when the share turns long term bullish, i.e breaks the long term bearish trend?

Thx for your thoughts Toff.

I have looked at the debt and the pension deficit and also do see they have a lot of assets too to offset. I also understand historically many telecom companies run a lot of debt due to their very nature of being very capital intensive. Rates as low as they are is ironically the best time to have debt, especially if some maturing debt bonds are coming up for renewal to reduce interest payments.

The pension deficit is my biggest concern, especially at next valuation. But then again they do have a 10 year plan to reduce, which even though very costly seems well covered in profits and as time goes by, that chalice will be eventually released for long term investors.

Even after current interest payments p.e seems still 5 or below, which does still seem cheap now.

So not just looking at price, but also all the financial metrics. But i do agree the long term chart doesnt look great on the sp, but then again all shares that rebound eventually the most generally look rubbish at the low.

Sorry if some investors have lost reval money. I do hope they get their money back and more over time as don't like to see investors loose their hard earned savings.

I think i may look to invest half my intended amount today/tom and wait till results, but to be honest i will probably be a 10/20 year investor so 1 quarter results not going to be the bee all. I dont see buying shares as buying shares, i see it as buying a company for a good period of time and hope its accrual of profits pay me well over the long term. Seems this price is ok for that reason.

Hi. I am new to this board and considering to buy a few uk company shares that seem cheap for income purposes, as i have some new inheritance.

I also understand that a lot of dividends have been suspended, which must be tough for pension funds and individuals like Retired Copper, who rely on some of his income being supplemented by dividend income, especially as savings rates are near zero.

I also see there are many good companies, that are making good profits for albeit mainly last year as they currently report. Some should also make profits in future years, but are cautious for uncertainty/lack of forecasting accuracy reasons seem to be withholding their dividends for safety. This to me, does appear, for the sake of long term shareholders to be a prudent move to protect shareholders for the long term and not run out of short term cash and break banking covenants on their loans, as its not as if the dividends are being given away to someone else, but in the good company cases it should add to the mkt value of the company as cash balances/capital increase.

At the same time you can still invest in non paying dividend companies that re invest their profits back into the company, as you just sell a portion of your shares as the share price grows over time. Paying a dividend is a negative effect on the share price as a zero sum game. Plus selling a share for profit instead of taking a dividend can be more tax efficient for pensioners/savers.

Likes of many growth telecom companies dont pay dividends for instance, but you can still create a proxy dividend income by selling some share each year. (Albeit i find a lot of tech companies expensive and wouldn't buy myself now for the very long term, just on valuation reasoning).

i.e I read this article from the investor chronicle.
Firstly, what matters is total return, not dividends. You can create your own income by selling assets, and often tax-advantageously because everyone in the UK has a capital gains tax (CGT) allowance [£12,300 for the 2020-21 tax year]. And what matters is your portfolio as a whole.

But i am looking at investing into Bt as it looks a very good long term valuation bet at this price. My biggest concern on buying bt though is it does feel the dividend will be cut and the current price should have that already priced in, but could you get a last dip on the announcement, before a big rally starts thereafter, as investors realise the yield is still very good and the company makes a lot of money and creates constant cash flow.

My other concern is the next pension valuation at end of June, as the deficit could be even bigger than the last valuation, as int rates are even lower in the mkt and shares are lower and dividends are being generally reduced, that pension funds all rely on in their valuations.

However, even with the above new risks i see, the shares do seem very cheap on valuation basis to invest in, as its impossible to get the bottom.