Member Info for Gerry557

Rich, I think we are getting into semantics. I worked calendar yearly as that is how I look at "my" income and have real worked figures. The financial year end figures by the company dont differ much.

" and we obviously agree it's only fractionally down during the pandemic" actually they were up during the pandemic. 8.77p to 11.15p or were you meaning the 2019 12.06p to the 2020 8.77p

The big as I describe it or fractional cut as you describe it cut was discussed in the 2016 final report. Going from 13.65p to 5.43. maybe we can agree on a big fraction as its more than half.

"Strong and sustained cash flow also provides good visibility for future dividend payments. For 2015/16, we committed to an annual dividend for shareholders of not less than 5p per share and the 3.5p announced at the time of the preliminary results takes the full year dividend to 5p per share. The Board recognises the importance of sustainable dividends to shareholders.
From 2016/17, subject to AGM approval, we will be paying a dividend covered around two times by underlying earnings per share. In addition, we remain committed to returning surplus capital to shareholders.

The underlying dividend has been growing since. Aided with specials, sometimes twice and some deferred. The 2020 blip in my figures is also shown in the financial year end too.

I do think that they are pretty committed to paying a dividend post the rebasing. With the specials often taking them below the x2 commitment but shows confidence and cash flow. I think the deferred special was more of a political statement rather than a management decision. So was the return of the government aid monies although I tend to agree with that one really even though they complied with all the rules and there was no real reason to hand it back. Hopefully sometime in the near future we can get dividends that surpass the previous 13.65p peak, even if its aided by specials. Im also happy that debt is being reduced as that should ensure that the dividend is more secure next time.

So as not to continue along the semantics the annual reports are out there for facts. There are several websites with div history (assuming they are accurate)

https://www.dividenddata.co.uk/dividend-history.py?epic=MRW
https://www.hl.co.uk/shares/shares-search-results/m/morrison-wm-supermarkets-ordinary-10p/dividends

There might be better ones!

"That's pretty misleading Gerry."

Hi Rich. Im not sure which "bit" or bits you are talking about? I didn't post figures as I didn't have them to hand at the time but even using your own, it supports my claim that the dividend is lower by "approx." 9% difference looking at the last few years.

I still think I'm correct that Hulvard was comparing the special with the final. I do agree that the specials, including the timings make it much harder to come to a predictable dividend yield moving forward. You cant rely on a special or when it will be paid.

Looking back at my own figures, which are based on calendar year not financial year. We are in the same ball park
21 11.15 (assuming 2.04 in Oct. I suspect it might be more, it also includes the 2020 special that was deferred until Jan 21)
20 6.88
19 12.68
18 12.28
17 5.43

So we are not that far out numbers wise, six of one and half a dozen of the other and all that. I'm I still being misleading?

Why are so many private investors taking a downer on a simple name change?

They have likely paid a substantial amount in coming up with the new name plus all the future costs to implement it going forward. It was unfortunate that the marketing companies teenage son, text the message back with the results of the new branding instead of the grown up actually responsible!

Yes it can be improved dramatically just by adding ".com" on the end. This makes it more modern but its a bit late for the .com boom. Still there might be an influx of new investors putting in their pocket money via a smartphone, well until they see it talks the talk but doesnt seem to walk the walk.

I suppose cutting the name follows the share price and dividend cuts. I hope its not going to be renamed "An" next year! to me, Abrdn looks too much like Abandon. Not really the message they were hoping for nor does it install confidence of age and experience. Something I like when it comes to money. Abdn1825 makes more sense in this respect and thats off the top of may head. (I'll take the millions in commission though)

I suppose it could be a Sharknando moment, so bad its good cos everyone is talking about it. No such thing as bad publicity and all that. Eless sounds too Yorkshire, Aberdeen bru is more Scottish as long as we are keeping with silly names.

Ultimacy as long as the share price and dividends are doing ok it wont matter what they call it or is that the real reason. We talk about everything but.

" most importantly to me, have declared a solid dividend of 5.11p per share. The last dividend? 4p a share. That’s an increase of over 25%. What’s there not too like about that? "

Well when you put it in context its not as good as you make out. 2018 and 2019 had much higher total dividends albeit made up with special dividends like the 4p you quoted. So its been "cut in reality" over the last few years. Your comparison is not really comparable. The previous final was 4.84p!

Still there is hope we can get back to those levels in future but they have to be seen to be doing the right thing re covid hence why they paid back the government help monies. I do agree on the overall sentiment though.

As for dividends, I'm quite partial myself. I see them as a cost free small sale of shares. Some cash flow to top up the investing pot and all done automatically. So no trying to time the market or share price. You only have to worry about when to buy. Hopefully this will keep dropping and its on my watch list for a top up ............. hopefully before ex divi in May

Happier with the latest update and going "as expected" well in my view anyway.

Good to see more positivity looking forward. Bit of a price kick but settling down now. The divi is starting to look a bit more secure. Not planning to buy much yet as Im hoping there might be another downward leg come May time. Market has been doing well although not back to its previous highs but I prefer to buy when markets are on a downer.

Still not sure why it fell further but its flirting back to the placing price. It even went above intra day.

I think Im only watching this as it dropped from the discount price in the first place and that I have just bought a chunk. I think its phycological wanting to see a rise just after you buy. Im really just after growing dividends, either by increased dividend amounts and or adding more shares.

Should give up and just look at dividend payment days not daily prices

Well buying the good side of the trendline when its so far off would be good then. You might consider selling when it swings back to trend or deviates wildly to the other side of the trend.

I sometimes look as how many years dividends its increased by and if its getting above 5 then its on the sell watch list. I also like to buy when its fallen below 200 day average

You might be better spending a few quid on professional advice rather than asking online. Whilst most people are well intentioned, there is little information to be gain in a paragraph to make decent advice.

Tax positions, length of investment horizon, other commitments, future expectations and other financials. DYOR is great but sometimes its better to get sound advice from a specialist, even if you are going to ignore it. The savings might amount to more than the cost of the advice.

Well I suppose the usual suspects really. NG. Although there are other utilities. Pnn would have been another recommendation if it didn't have a cash pile to get rid of, so might return it to shareholders. SREI or RGL would be a Reits worth looking into which should get dividends tending towards normal.

Vod, selling towers. Gsk, splitting and reducing dividend next year. Av. Click on any and look at the lists on the same page really. Why not funds or ITs

Well they have said that they will return the surplus to share holders if they cant find another suitable (water) investment. The cash wont be taxed, tax is on profit!

You might find you get half your money back, a 1 for 2 share consolidation or the share price halves.

Regarding the trading statement, I think I covered it in yesterday's post. Can kicked down the road till June

bilboburgler
I'm not sure what you mean about "volatility" Share prices rise and fall. Do you mean you want to buy at a set price that it hasn't yet fallen too.

I was tempted to add more UKW on the recent fall into the 125s but TRIG was a smaller holding in my PF and was being added too at the time. Both quite similar so didnt feel the need to add both. This also pays out on my lower paying months of the PF so evens up the income round and balance of holding somewhat.

Divi due tomorrow to add a cherry on top.

Well they will say something tomorrow. I'm not sure what. I suppose the big question is what are they going to do with all that cash? Buy summat, give it back to me or just pay off the debt. The latter was low cost ish, so why bother. The middle bit will end up as another whinge fest. "your just giving me back my own money" and buying something has been kept very quiet, as it should be!

I suspect its quiet cos they are struggling to find an agreement. If its that good why sell unless someone is overpaying for it! We dont want that. You would have thought that something would have been lined up before selling.

Finally a buyback, I dont really like that idea either. They might be good at running a water company but how good are they at investment management. Usually poorly in my experience. Still they could come out all trash talk tomorrow, drive the SP down, then buyback.

Whilst Id be up for that I dont think it will happen, are there rules against it!

Checked my account and now have the shares I asked for including the extra ones. This was as expected since no scale back was announced.

Looking at the current price, its come back a bit so now only penny down. Still not sure why it dropped. I would have thought if the underwriters were left holding larger parts that they got at a discount, they might sell at cost to recoup some funds.

I don't think they were allowed a discount though.

Yep that's likely to keep a lid on things. I wasn't expecting to be down so much on some shares I've not even got my hands on yet. Its getting close to the annual dividend.

Just need the market to drop now and drag it down even further.

Yep that a bit embarrassing, I wonder what's caused the drop? I suspect the placing uptake might not be as successful as hoped. I will have a look later. I'm hoping I didn't get my extra allocation now so I can buy a bit cheaper.

I wonder if the backers are left holding the baby

Unfortunately this mornings presentation is not open to private investors. Pity I like to hear comment from the horses mouth so to speak. I also like that sometimes a question gets asked about something I might have missed.

Apart from that the results are as expected with rent collections ongoing and a transit towards more office space. looking at the market reaction, up a tad in a slightly falling market.

Im not sure not having access to the app and a bit of tinternet would really stop me from shopping. Convenience, price are likely bigger drivers. Im not even sure how much the app would save me. Tesco has some club card holder only prices too or dont you shop there either.

Maybe you can explain how much better the other shops apps are?

Back to the share price, disappointed that it has risen as I was hoping I might get some more at 170p

Up over 13% at one stage today on little or no news from what I can see. Closing +10%.

Its done this a few times in the past few months looking back. Cant remember a reason for those jumps either. Last traunch indicating a sell now but I will hang on hoping that the dividend recovers in time. Car parks should reopen soon and retail will rise or fold.

"Corporation Tax climbing to 25%. That will certainly dent profits"

No it won't dent profits. It will mean more tax on those profits, so extra cash going out so less to invest or pay dividends. There might be more accounting to offset profits one way or another and the bean counters will be looking at the details.

The investment super deduction might also help them too.