Ryan Mee, CEO of Fulcrum Metals, reviews FY23 and progress on the Gold Tailings Hub in Canada. Watch the video here.
Neil Woodford, Britain’s most prominent income investor, has come down firmly on the side of those who think the oil giants’ dividends are unsustainable. He doesn’t mince his words. “I believe that both BP and Shell have unsustainable dividends that are being financed by a combination of debt and asset disposal. In effect, these companies are liquidating themselves rather than facing up to the need for a dividend cut,” he wrote in his blog on Friday. “The only thing that can save them from that eventuality, in my opinion, is a return to sustainably higher oil prices – something that I think is very unlikely to happen.”
Aside from speculation or day trading....where is the value here? I repeat that unless shell slashes its dividend the environment will force it to. The sp drop in both situations will be vicious but it will be worse if compelled to do so
Europe growth was cooler and this was looked on to support the 'temporary' problems in India. I traded this from 192 and sold at 200 when the idea news broke. I don't regret that as the sp has discounted growth at a pretty strong clip...which hasn't materialised. Unsure what the sp reaction will be
Vodafone (VOD) shares currently trade near two-year lows, so shareholders will be hoping for better news when the telecoms giant unleashes third-quarter results Thursday. According to broker UBS, organic service revenue grew by 1.5% in the final three months of 2016, down from 2.4% in the second quarter. Most of Europe is tipped to do well, although anticipated weakness in emerging markets has forced a downgrade – look for growth of 3.3% in Africa, Middle East, Asia, Pacific (AMAP) and growth of 1.5% in the fourth quarter. "While downgrades in [emerging markets] may be negative for sentiment, we think buy-side expectations for AMAP were low and note the shares hit a recent low of 190p," writes analyst Polo Tang, who trims the UBS price target by 10p to 275p. That still implies 42% potential upside. "We re-iterate our view that recovery in Europe has been underestimated and that a broader deal with Liberty Global remains an option on the upside. VOD trades on 7% [equity free cash-flow] yield and offers a 6% dividend yield on a calendarised basis for 2017."
Toff valid points re brokers and accuracy, but I didn't support brokers in my post. I merely said the downgrade had to be in context to an upgrade that happened only 2 weeks ago. In other words there are supporters of the shares as well as those being cautious. Interestingly aside from the downgrade itself the target price was still a number massively over where it is.
Recall that Goldman Sachs UPgraded this not only 2 weeks ago. The downgrade has to be in context. I'm in for a trade here at 191.85. I don't want to be a long term holder here though as my inclination tells me that they're going to seek an acquisition in the future rather than fall prey to someone else.
Sorry, missed this bit re headline "He predicts oil will remain around its current trading levels until it peaks "by the end of the first quarter, beginning of the second quarter", March or April. Then it will dive back into the $30s." Good luck with a leveraged balance sheet in the world of 30 oil if he's right...
A surge in the oil price to the mid-$50s is nothing more than a "typical counter-trend rally" during a "long bear market", according to one energy fund manager. Shawn Driscoll is not just any manager neither: he runs the T Rowe Price New Era Fund, which has assets of $3.6bn and gained 40 per cent in the past year – plus he is one of few who called the oil price's collapse two years ago. In November 2014, when oil was trading at $80 per barrel, he warned prices would fall to $50, Market Watch says.
A surge in the oil price to the mid-$50s is nothing more than a "typical counter-trend rally" during a "long bear market", according to one energy fund manager. Shawn Driscoll is not just any manager neither: he runs the T Rowe Price New Era Fund, which has assets of $3.6bn and gained 40 per cent in the past year – plus he is one of few who called the oil price's collapse two years ago. In November 2014, when oil was trading at $80 per barrel, he warned prices would fall to $50, Market Watch says.