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Capita have over 100 million about to land in the bank as a result of the trustmarque sale. I hope they use it wisely and immediately pay off debt. Then announce it to the market. They need to get chatty with the stock market and keep us informed because we don't like shocks, we like to know the direction of travel and if investors see the plan and see it working, they will get on board.
Many have lost money on CPI and are reluctant to dive in but results speak for themselves and I think big players (not those gaming it as we see now) will return once dividends are announced.
Meanwhile, small fry such as myself (100k) are adding and waiting.
Thats part of the problem. CAPITA dont make many statements to the market, its almost like they are timid.
The CEO should be making announcements once they receive the funds from the Trustmarque sale saying what he is doing with the money. Blimey for 111million he could buy back a third of the shares! Crazy stuff.
I hope he wipes it straight off the debt pile.
Your right, normally its a case of holding your nerve, buying when they are low (like now) and tread water until the SP comes back again. The trouble is, ive added, then added again and again and now have a hefty chunk in this share, so id rather like to see some progress. Fortunately, im playing the long game, good job really as its turning into years!
Oh CAPITA when are you going to wake up?
Five shares for a quid has long been the kind of penny shares I have dreamed of buying, to get them in a company with a 3 billion quid revenue stream seems a bit unbelievable to me. I have added again today, levelling my holding down to a realistic price as this unloved share continues to bump along the bottom.
The floor is zero remember, though i sincerely doubt this ones for the trash can.
I think the market needs to see large chunks of the proceeds of sales to be paid off the debt pile. it also needs to see more hint of dividends restarting. When this share was owned by pension funds it paid regular and large dividends and this was one of the main reasons they held it. Now, I dont think CAPITA is in many funds, so there is scope for the SP to motor upwards once the unloved moves back into the loved category.
Meanwhile, plenty of scope for smaller investors to hop aboard and take a punt, a 1k investment for 5000 shares seems too good to be true.
GLA I do believe the outlook will begin to brighten in 2022/23.
Of course, we could all be very wrong and this could be the bargain of the century and completely turn around with the march results. Nothing would surprise me to be honest, just look at how in its history it has dived downwards - which tends to happen when results are unexpected. If Capita have pulled it out of the bag (it could in fact happen) then I expect this share price to move sharply upwards. If it gets noticed for the right reasons, it may climb from then onwards steadily.
Either way, if your an investor who has kept faith in this share, like myself, ive bought low and even lower, there could be very good times ahead.
Well once again here we are with Capita doing what it does best - bumping along the bottom.
Just how long can the management team spend looking into their bellybuttons?
Where are the major restructuring announcements with actual fabric not moving deckchairs and hoping things come right?
They have been selling the farm but have they been paying off the debts? Who knows, communication from them is so patchy and so muddled.
All companies have been affected by covid, the difference is have you made changes that now benefit the company and coming out of it stronger?
The lack of communication is a concern. Im staying for the march results and if they have not begun serious turnaround i will be stopping any further buying until the management team are replaced.
last chance saloon for them surely!
So the bit missing from the announcement was what he will be doing with the money.
I hope it is not for another technology change or pet project, it needs to be paid directly off the debt, thus improving future standing - Capita borrowed money to buy these businesses so it stands to reason that the debt must be cancelled now it has gone.
The problem with selling all these little ventures is you reduce your prospects for making profits overall but it is a worthwhile venture if you are paying down the debt.
Dipped my toe back in, I finally feel all the signals are good with this share. Now Fly away please. Points upwards.
Oh look, another day, another situation where shares bought outweighs shares sold yet the price wanders downwards.
I am still adding while under 51p. I have no idea when this one will finally break free, still holding out for my 71p and getting a bit bored with waiting. I need a new car so this had better get a shift on or I will be in an old banger!
This share has been Wednesdays child for some time now.
I feel it is about time it turned into Thursdays child.
I have been tracking the open shorts on this share, they are now minimal and IMHO are being used as a lever by someone acquiring, to keep their base price below 50p.
If you think about it, this is actually good news.
If you are amassing shares you clearly want them for as good a deal as possible.
Once you have hit your target though you will want the share to move upwards in a sustained way and grow, so will employ those same levers to move it upwards.
I hit my target with this share a few weeks ago, now im sitting back and awaiting my next target of 71p. I am still buying while I can get them under 51p.
GLA
Once again a 16.35pm trade for a million shares at under 50p goes through.
A short then opens to pull the price back again.
I suspect someone is having it all their own way and continually pulling the price back to aquire a substantial holding at a below 50p average.
The break out last week meant they lost control of it, so the shorts are helping them to cut it back.
Just my opinion but some big player is holding this share back, the moves are clearly orchestrated.
So once again the SP defies logic. More shares bought than sold yet SP drifts lower.
The low volumes mean not a lot of deals are required to move this price and its surprising that other big players are not wading in and taking advantage, because at the moment, buying large quantities would move things upwards quite nicely although if your buying, you do want to pay as little as possible, which is what i suspect is happening - i wouldn't be surprised if there wasn't another after hours big buy while these prices are held back like this.
Roll on to 51p, my first marker, but im not selling as i see more value than is reflected in the price.
GLA.
Notaflipper, I think youve added a few zeros mate.
The good news is they are acquiring, this means its possible the 16.35pm big trades flowing through are probably them, it also means they may be selling to bring the price down before jumping in with big buy requests, as the volume some days is low and the CPI share price seems volatile despite good news and tentative positive market ratings.
This all gives me positive vibes, it goes a little way to explaining the SP movements and until other big players move in in numbers, Schroders have a bit of a free run at it. Meanwhile, im holding onto their shirt tails and being dragged along, as long as its upwards, im happy! But do bear in mind, they will want to acquire as cheaply as possible so opportunities will and have presented themselves.
GLA
Just saw that notification, you would think if a big player is accumulating on the scale these guys are, that the SP would be forced up, yet we are in the days where a company value is detached from the SP and where rises and falls do not seem to bear out demand and supply.
Meanwhile, ive seen my initial 51p target right within touch only to evaporate and fall back. Makes no difference though im a medium to long term player and the lower they are, the cheaper im getting in for and im still acquiring up to 51p then going to hold and wait.
GLA
Looks like a load of appointments made to that company in the last couple of days.
So on a day when there are 6 million BUY transactions and 2 million SELL - the share price declines.
The 16.35pm after hours trades that number in the millions - what exactly is going on with this share?
Most days there seems to be a deficit of sell transactions but SP then rises.
Anyone seen this type of movements before? Im curious to know what is moving this SP - I had thought it was just market forces but these movements seem.....orchestrated.
@Cashola im not able to relax on this one until the magical 72p is achieved and then I can set new goals. Im in no rush to sell, more likely to see this through until dividends restart and I get a decent return. If it continues to rise after that, i will stay aboard and only bail out when/if it moves sharply downwards or if the gains are very significant and i need the $$.
Getting to 51p is my first target price, im still a long way from home on CPI but this marker will make it all acceptable. 72p is my Hawaii.
Will this sustain on a friday, normally the profit takers start work - but of course what may happen is the profit takers cash in elsewhere and look for a new home for the money and capita has done well this week and will be appearing on the radar on the screens of a lot of people and might find that the friday slide is actually another bounce.
If this share bounces on a friday, after lunch, it signals very promising progress indeed.
I dont see Capita failing in the longer term, business outsourcing is here to stay.
On the question of why the share price is still rising despite there being more sell transactions than buy transactions, while this seems to defy logic, the answer lies in the fact that whoever is buying these sold shares is offering a good price, reflecting their belief that the company is undervalued.
These are more positives, reinforcing my position. 50P holding up better than I had expected too.
I think I hear drums....
Alibro - make no mistake, it can also go down, there are no sure things. Capita seems to have turned the corner but its been a bumpy road - but the smart people turn those bumps into profits. Its all a question of research and timing and making firm clear plans and sticking to your strategy.