Member Info for JohnLewis79

It only makes sense to buy back your shares if you believe the intrinsic value is above what the mrkt prices / values your stock and if you do not require the money to expand the business or can acquire a business or other opportunity which offers better value than do the undervalued shares.
From existing holders standpoint repurchases are always a plus as it's always better for a seller to have an additional buyer in the mrkt, as is happening now.
Importantly continuing holders shares will experience an immediate gain in intrinsic value. The question of whether a repurchase is value enhancing or destroying for continuing holders is entirely buying price dependent.

We must assume that to be the case here.
What the Co is not telling us is....at what price will repurchases be eschewed. I'm guessing the board will have agreed to buy x nos of shares at a % of book value, so as not to over influence the mrkt. We will find out in due course.
This might be hard to do having signalled that G value is higher than the % of book the Co will buy at.
Whether G will ever trade around intrinsic value or an unwarranted value (high or low) is never going to please everybody. We are beginning to see it here now.

No change (yet) in G short position held by CG. As of 8/4 they have c.1.876m
(0.67%).
While G has moved up on the buyback were still below the 207 at the announcement of the maiden div and 231 high end April.
However this pans out the price action yesterday (188-193.5) on c.1.1m has boosted G by c.12% (5 days). To date buy-backs total c.212,000 add to prev held in Treasury new total 522.5k (c.0.2%) of outstanding.

Prices came off late in the session the Dow lost a 130 gain to close at the low for the session down 11 (26537). The S&P and R2000 closed marginally in the red, the techs eked out a small gain of 25 (7910).
The 500 trades at 17× forward forecast earnings and is range bound as much of the good news on rate cuts and China trade updates are priced in. Optimism abounds by the bulls who think everything will work out well as Tres Sec said " a deal with China was 90% there" Yet they have not been able to cement that 10% in to a deal.

Some analysts say the rally in June (the S&P up 6%) has the appearance of the FOMO factor (fear of losing out) which has propelled prices higher. According to the American Assoc of Investors the share of individuals who expect stocks to rise in the next 6 months is
c.30% while c.32% expect falls, this despite the yield curve being inverted for wks, often a reliable indicator of a recession. round the corner.

Walls optimism on negotiations re-starting at the G20 meet in Osaka boosted Asian stocks the Nikkei up 200 (Japan Display surged 20% on hopes of a $100m investment from Apple), Hang Seng added 325 & SH put on 26 all at midday.

Trump tweeted that the Chinese economy was "going down the tubes" and "they need a deal more than I do" was ignored as psychobabble.
Nevertheless sentiment is all in mrkts atm.

The nos:.Oil $ 65.38. WTI $59.22. Gold $1409. Coin $ 12909. Vix 16.2. $ 1.268. € 1.116. MSCI 519. FF+2. DF+46.

Morning all.

Ideagen once again (4th)
is recognised in London's Stock Exchange Group 1000 Co list to inspire Britain 2019 report on the fastest growing and most profitable & dynamic companies.

EMT is bullhits. It says every stock is fairly priced because it incorporates all known information about a Co, so don't waste your time digging for new info. The mrkt is frequently efficient....but not always efficient, consequently pricing stocks irrationally.

A good little story illustrates the above. Two professors were walking down a street when one spotted a $100 Bill on the pavement.
"Hey, look that's a $100 Bill, let's stop and pick it up"
"No don't bother," replied the other. "That's not a real $100 Bill. Since the mrkt is efficient, a real $100 bill would have been picked up long ago."

So us G holders are def picking up G at 190 as we think the mrkt is acting inefficiently and we are getting good value. Look at it like this. If the mrkt was always efficient
none of us would ever make money. So, let's profit from the mrkts folly before it starts to act efficiently.

Cannacord hoovering up stock at 192.

Shares held in Treasury are usually cancelled or held to be re-issued at a future date. No divs are paid on these or do they have voting rights. They are not part of the asset base while in Treasury as they have no economic future.
Currently 106,000 have been placed 'in house' subsequent purchases will be at a higher price....thus averaging up or adding to an increasing Co value.

Good to see some UP nos for a change. G up 20% from 52 wk low though a long way from the 52 high (302) and 7% this wk so far.
The buyback which will be earnings enhancing is doubly attractive in that holders will benefit through reduced outstanding / holding % and div increases on less shares.
G will house the stock in Treasury and it will be interesting to see the value of the c.106,000 bght at 186.3 in a 1,2 & 5 year time frame.

The max no that may be bght back is 29.9m c.10- 11% so a very long way to go. It will be interesting to see how many Cannacord obtain as 'undervalued' before the sp exceeds intrinsic value...whatever that no is and indeed if they never do!

Poor economic data and cautionary remarks from Powell sent investors to lock in recent gains and move to the sidelines. The slide on Tuesday was the 3rd straight following the 500 hitting a record high (2954) on Friday.
As consumer confidence wanes and a weakening housing mrkt saw sellers get the upper hand.
The Dow lost 180 (26548), the 500 off 28 (26548) and the techs heavy Nsdq slipped 121 (7885).
The upcoming G20 is not expected to herald a breakthrough more a freezing of proposed tariffs is the likely outcome.
Oil has been on the rise WTI closing $58.77 and Brent $65.72.

Leading stocks up were Walgreen Boots McDonald's, J&J, W.Disney & Travellers. Going down were Msoft, Cisco, Intel, Apple, Exxon & Chevron.

Asia is mixed TK off 140 with HK and China flat with local issues to the fore. Little is expected at the G20.

The nos: Oil $ 66.05.
Gold $1410. Coin $ 12495.
Vix 16.3. $ 1.267. € 1.116.
MSCI 520. FF-19. DF-14.

Decided to swerve golf as a heavy 3 day bash on the sauce could trigger a gout attack.
Morning all.

Morning boyo. I get gout (always in the ankle) about 3 times a year and its very very painful. Your housebound as it's impossible to walk or have anything touching your foot. Usually lasts a week or so but on one occasion it lasted nearly a month.
I haven't been back to Porthcawl for about 20 years. When I lived there I used to drink at the Atlantic Hotel as I knew the owner and it was a small friendly hotel. Probably stay there gout permitting as the dormy on course accommodation is fully booked.

Decided to skip the first wk (a recurring gout problem) which was Hunstanton, Notts then across country to Hoylake, Formby & Birkdale. Wk 2 down the West Wales coast to Royal St David's and Aberdovey. I'll pick them up at Royal Porthcawl for last 3 days where they will need another ball spotter. Intend to absence myself for the duration from posting here.
Morning all.

One of my better decisions to exit here. Selling too early has paid off as this share gave me bad vibes. Good luck if your still holding.

I should really have said I'm not a fan as opposed to a non believer of chart theory etc... A rounded seasoned investor will take the squiggly lines into account. As you say they are a indicator not a.... predictor which I always assumed was the idea!

Best I leave the subject to the experts as it's well outside my area of competence or why risk your money on things you don't understand.....especially the great 'come-on' "Buy this stock now the next Exxon". Boy I've fell for a few of those in my early days! All turned out duds.

Best I can say is never abdicate control of your portfolio for it will surely cost you as fat commissions & over trading eat into your capital. Remember the saying "a fool and his money are soon parted"?Here's another "a fool and his money are invited everywhere". So, beware make your own decisions based on sound principles. Seek out the get-rich-slow-plans, don't become a 'boy plunger', avoid the mistakes of others and do you really know what a business is worth and are you paying a fair price for it? (Pe/r at 200x ...really?) or 2x (why).

If you heard a broker say "It seems cheap but i cant see it doing anything for (x months)....It's dead". Would you buy it? You'd be on the right track if you did.
And so to G. At one time it looked like you could buy G for the cash in the till (well, close), certainly way below 66% of book (common yardstick for a stock purchase) according to Grahamites that surely would be a license to print money!
In Gs case the 'reality' is what it seems. So your opportunity is given by Mr Mrkts scepticism about that reality. Your seeing what others don't and are placed to profit. This adage comes to mind...
'Res Ipsa Loquitor' (things speak for themselves). Your stake is in the Co and it's assets, not the sp!

In a similar vein I'll end with an old Jewish joke. Two merchants meet in a Railway St. "Where are you going?" asks the first. "To Minsk", replies the second. "Aah"! replies the first, "you tell me you are going to Minsk because you want me to think you must be going to Pinsk, but I happen to know you really are going to Minsk!"

I'm off for a non playing golf trip next couple wks. G over 185 when i get back please!
Evening all.

The membership is predominantly white, over 55 and Brexiteers. Can't see how Hunt a recent convert to the leave cause can compete.

It's Booooris & Mogadon. Stabbed lost out by 2 votes.

Thanx Aidan...got me out of trouble, got 28s.

Bloke in pub got Frankies first 4. Won £3k!

Top man..I have Pogo & South Paific win each / ew double.

Placepot bust!

Well done, I swerved the race. Gone for a placepot today...I'm desperate! Conserving cash as i don't have the ollox to lump on Strad.