Member Info for hjkl

Counterintuitive maybe but Shell has been keen to develop new fields in the North Sea.

If current circumstances mean that developments are finally given the go ahead then great. The additional tax of 2.5% once you take off the investment allowance is a smallish price to pay. Devil in the detail though - eg how is the investment allowance deduction phased / calculated ?

XD Woodside entitlement today. Quick calc estimates total stock price (ie smaller BHP plus pro rata Woodside) up just over 1% this morning.

Warning share prices can go up and down :-)

RMG is in a competitive, reasonably low margin industry - it cannot continue treating its workforce with gold plated conditions compared with its rivals - pay, leave, working hours and pensions, pensions, pensions.

The asset value / break up value is surely well north now of the share price. But hardly likely that private equity will move in as they won't be able to dodge the above commitments ?

Parcels and international are a great growth story but for the story to end happily some nettles need to be grasped now.

Nice little uptick in the NAV and a bigger one in the dividend. Perhaps the best news is that rent collection rates have improved markedly.

Represents a useful return for me as only held GLO for months not years. But but but...

This is not a good advert for listing on the stock market with a limited free float for what was otherwise a private equity investment. It's up to us as private investors to search out good investments and take advantage of market myopia but it is concerning when quality like this is overlooked/penalised. Why would the next company follow a similar route - in my opinion without the market steering the valuation a takeover would likely have been at a higher price.

And that means that in the end you and me will be denied these opportunities.

Very fair point. I should have at least made clear that the historical SP was not directly comparable with today's SP.

The problem is not what the share price is today.

The problem is what it was years ago - £10+ was clearly a mad valuation.

Expectations are partly driven by history. Human nature but not really logical - focus on what is happening today and what may happen in the future.

RR is a great company with great products and potentially good growth prospects. On the other side of the coin it has eye watering liabilities. Is it good value - I don't know but I do know it's a reasonable question now whereas it wasn't 5-10 years ago.

I wonder if the required agenda is still to dispose of Rosneft at any price and to anyone.

If it is sold at a fire sale price to the Russian state or a proxy / ally of Russia then that would be a net gain to funding the war machine against Ukraine compared to the current situation. (All we have at the moment is accounting adjustments - BP is still entitled to the dividend).

As is the case with so much politics these days what seems to count is how things superficially look rather than what it actually does.

Happy with that. The faster they can reduce debt the happier I'll be.

Not against leveraging in certain companies such as utilities with low risk, reasonably predictable returns but not my cup of tea here. The commodities cycle can be brutal - the lower the outgoings in a downturn the less need for fire sales and so on. Just ride it out.

Management has been clever / lucky in this cycle and has borrowed to make some very good calls. Please don't push it !

Stonking results from GSK. However I'm more inclined to think this is despite management rather than because of it - law of averages says you're bound to have one good set of numbers after years and years of treading water.

Would be delighted to be proved wrong and see GSK set fair for continued strong growth.

RR is a fine company. Looked at it in the past but never got close to investing because of in my opinion ridiculous valuations. Sticky times now (covid, oil price and so on) and the price now looks more interesting.

Wouldn't be too worried about the debt and perhaps still optimistic growth assumptions if there is a realistic prospect of it delivering. Jet engine orders in the medium term will probably only get back to pre pandemic levels at the very best because there is no doubt there have been behavioural changes. SMRs are interesting but it only provides real share price growth if the concept is exportable at scale. Will defence benefit from Nato getting serious / the Ukraine war ?

Any other possible growth areas - are RR into energy storage technology or possibly tidal ?

Today's news is small beer in the global scheme of things but even so to my mind it emphasises that Shell made the right strategic call in focusing on natural gas. Acquiring BG looks quite tasty now.

Very good results - clearly a well managed company. I like the opportunities offered by the portfolio - both in terms of thermal/renewable and geographical.

Can't find much to fault. Appreciate that some have previously queried the high debt. For most sectors it would be on the high side but for a utility it's standard. These are assets with predictable low risk returns so it makes sense to leverage.

The share price is a bit batty. But look on the upside - if it was £30 the calls for windfall taxes would be even louder.

Next Q figures are going to be immense cash flows. Forget the oil price volatility what counts is the area under the curve - oil price v time.

Good results - quite similar to Legal & General the other day.

Not quite another one to put in the drawer and forget - but in a good way. This is a deal making company so keep the ears open.

Very solid company. One to stick in the drawer.

Since the crash c. 2008 L&G has been turned around and managed well without any snazzy fireworks.

The price crunch in 2020 put paid to North American shale investment.

The resolve of the industry and Wall Street for discipline will be sorely tested with current oil and gas prices. Your guess is as good as mine but wouldn't be surprised if that resolve fails and so it goes with commodity cycles.

All things considered I'd take the market reaction to the BP Rosneft announcement.

Just read the Shell release on Sakhalin etc. So much better than the breakfast BP came up with.

Thus far the news is only an accounting adjustment. Rosneft stake is now off balance sheet. That's it no effect on cash flow.

Timescale is the critical factor - how long do BP have to sell. How long does the Ukraine war last, how long does Vladimir stick around. If relations are restored with a stabilised Russia it's a big win - either BP can keep the stake or there are more credible buyers and a more credible sale price on the horizon.

I'd like to know if there's any "small print" to this announcement. What is the timescale for the divestment ?

At the moment a week is a very long time in politics. We've always known what Russia is like (riddle inside an enigma etc). The West's (and Ukraine's of course) problem is primarily with Vladimir. If he goes then everything might change very quickly.