Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Since it broke out of the range it was trading between its doing quite nicely this. Must be decent sales volumes going through....I think the pandemic has been supportive....you don't go to a bar and drink a bottle of liquor ...in your own home ..that's another matter.
Appears that the results were broadly in line with what the market was expecting. I'm struggling to see the benefit to hold the shares over a short time horizon now. Logically sales would dip as we come out of the pandemic, more people have moved online which is poorer margin, potential issues with transportation of perishable goods due to brexit, upward pressure on wages (morrsions announcement) and longer term amazon lurking on the sidelines, pension scheme liabilities, potential losses with the bank - struggling to see the positives.....anyone??
While special dividends aren’t necessarily bad, at the same time there is no evidence that they provide any long-term benefit to investors.
In effect, they are neutral and sometimes can actually be negative, especially if they result in slower long-term earnings and dividend growth.
Thus, investors would be wise to avoid the temptation to “chase” special dividend announcements.
Due to the fact that the share price should fall by the exact same amount, and that the company will lose the financial flexibility of that cash, the best strategy for dealing with special dividend announcements is the same as most Wall Street news: do nothing.
The thing I take from all this is that you have to take any comment about stocks with a great deal of sceptism, irrespective of who it comes from. In addition to Woodford being so wrong on this, just weeks after meeting the ceo, there was the piece in the press last week which showed that the most tipped shares by brokers were amongst the poorest performers. Feel sorry for the employees who are part of the share scheme. They’ve been badly let down here.
Looks like it’s taken a hit from the government reports that predict lower growth whatever the outcome of the brexit negotiations. This contradicts Woodford’s assement though so I’ll be following the great man and piling in soon.
You’re like the black knight in monty pythons holy grail who suffers from unchecked overconfidence. I hope you’re right, I don’t take any pleasure in seeing others lose money. I think we’ll see the terrible twos and then it maybe worth picking some up to tuck away for the long term.
Another red day, a red letter day seems a long way away. Wait and see how things play out when the divi gets cut, I’m sure some of this is factored in but it’s hard to see where any positive news is going to come from here. If peers are struggling / bust Carillion / interserve then you can be sure that capita won’t be immune from these issues.
Have you ever heard the phrase two swallows don’t make a summer....there is however a definite trend I’ve identified with this one, ⬇️ and personally I wouldn’t touch this with a barge pole right now. There may be a 10 percent bounce for those brave enough to get in and out, but invariably they get in, hold thinking it’s going to double and are stuck with it as it continues it’s long term trend...I’m focussed on this for a future buy and would be interested to gather further info about the company...what contracts do they have and when are they due for renewal? I know they’ve had problems on Santander and Co-op contracts - now the loss of contract with Prudential..there’s clearly an issue with their private contracts...and now the government ones are brought into increased focus with Carillion. What’s the issue here, quality, margins, brexit and staff retention??