Member Info for Kando

"I do my own research but like to hear people opinions on this board and read constructive discussions, as we are all here to make money."

So... so long as those opinions mirror your own then? Your post seems to contradict itself.

There are more ways to make money in the stock market than buying and holding. If they consider the present price to be higher than expected market value, and expect the share price to fall - which would anticipate a buying opportunity - why not share that opinion? Why not share that opinion on a forum set up to discuss the movements of shares?

Stockready1 - You keep saying they're the best FTSE 100 company around, and that no-one else but you and your ostrich investor hype-train "understand" the business, and that, because it's diversified, that somehow means that £2bn yearly cash burn, huge debt pile and junk debt rating is "perfectly fine, perfectly healthy".

" i am looking to 2023 and beyond for 3 bagger and 2026/2027 for potentially 7 bagger."

Comments like this are why everyone here needs to be wary of listening to any of your inane gibberish. Your expectations are for RR to reach pre-rights issue equivalent of all-time highs in 2 years, and 2 and a half times that again in 5 years. 7 bagger from here would be pre-rights equivalent of over £20...double its former all-time high in its entire privatized history. You're quite simply deluded - perhaps dangerously so, if people were to invest based on those pie in the sky fantasies.
The capital R reality of this situation, is near term uncertainty and mulling around between the 80s and 130s, blown this way or that by the prevailing wind. It's a recovery stock, and the recovery is going to take longer than anyone first hoped. It can't recover when cases are rising everywhere, it's really that simple. If you want to hold through more drops, that's your choice, but other people might look to make money buying the lows and selling the relative highs, and not hold the same unsteady share for 6 years.

"Other important big area which are doing great on vaccine are Japan, Australia, US, Thailand, China all big travelling destinations
So some travelling will start in May and life start going back to some normality"

This is again, simply untrue.
https://ourworldindata.org/covid-vaccinations

Japan has given, so far, 0.83 doses (of a two dose regime) per 100. Less than 1% have had a single dose.
Australia have given 2.78 doses per 100.
Thailand 0.26 doses per 100.
China far better than any of them, are still only at 8.8 doses per 100, far behind the UK 52.53 per 100, and America at 45.94 for context.

You've clearly done no real research into this share and what influences it, and pull declarations out of the aether. Rolls is in far worse near-term shape than you're choosing to believe.

Everyone ought to take the likes of "stockready" and cw1966 with a huge pinch of rose-tinted salt.

I'm not sure I would invest if and when it reaches the 90s. I'm just here to discuss. I think the positive news about having a viable suitor for ATP aero has pushed it to the top of its current trading range, but over the next few weeks the reality of the global situation will weigh heavily on it. There's just a tad too much existential uncertainty around Rolls now. Could very possibly 12-18 months down the line, with further waves, further variants, require government intervention, and that won't be good for shareholders. Things looked good so long as it looked like the last wave was the last big one, and that vaccines might be in time, but it's another year that Rolls can't really afford to lose.

Notwithstanding your contribution to their flight hours, not all of us will be vaccinated by then, nor is Europe the only non-UK constituent of the globe. Cases are rising more or less everywhere, not just Europe. Cases are even rising again in the US, with a director at the CDC warning yesterday of a "sense of impending doom", fearing potentially another wave there. This pandemic is not over, and international flights will be the last activity to return to normality and greatest to be impacted when the numbers go in the wrong direction, as they currently are now.

The spin is guaranteed, but regardless of mooted ideas like traffic lights and vaccine passports, it's going to be a year of low flight hours for rolls engines. Their amended projection to 55% of 2019 levels seems more or less reasonable, if possibly even a little optimistic, given that it didn't factor in a third, bigger wave to hit the global market.

Fairly impressive close today. Momentum to carry on another 3-4% on Monday. Looking good to perhaps test 800 again over the next fortnight.

It really doesn't. It looks very much like it can't break through 109. It's acting like the very top of the current trading range. Did the same thing at 128 which was the top of the last range. Spent an afternoon trying to break through it then slumped 20%. Might be different this time, but the warning signs are there.

Bouncing off 109 like it did at 128, it's fair to guess the rest of the drop is coming. Mid-90s are probably the next support. I think it's unlikely 104 will hold once summer holidays are formerly (or informally) kiboshed. Imagine, as I've said before, it'll be a *maybe* and an *if* the data allows it, which it clearly likely won't, given the world outside of the UK isn't obligingly sticking to the UK's roadmap. Rising global case numbers, slow vaccine rollouts and lockdowns are not the conditions for thriving international travel.

Who claimed it was the next Amazon? You're tilting at windmills.

"Kando I know it’s not personal I’m just interested in reasoning. If I was to say I wouldn’t invest in RR I would tell you the reasons behind as to why. I wouldn’t go on to RR board and say I think it’s worth .60p without reasoning. If I went on there I would say it was .60 p due to the share dilution 5 billion loss for 2020 and its debt pile is ridiculous. I would then listen to opposite views"

Cookie, that's very fair criticism. You're very right, I haven't justified it. The fundamentals of this company seem sound, which is why I'd be happy to own some shares here eventually, but that's not what is driving the price right now. The very reason this is even a buying opportunity is, as you know, the SFO muddle it is in, and while there is no certainty or resolution to that, and plenty more bad news regarding it possible, it's very hard to call this liminal period as the bottom. It may very well be the perfect buying opportunity now, but there may also be an even better one coming. Previous drops on similar news were of a certain %, which, if repeated, would put the share ~80p, hence why that is my target price. At 93p it feels like it's just pausing mid-drop in the way that it's moving, hence why there hasn't yet been the bounce off the bottom one might expect. Anyway, I admit that this is one of my least researched shares, and hence why I am fine to sit out and potentially miss buying in. It's a fairly low-confidence speculative interest.

No-one's trying to get you to sell your shares. We're just discussing our own expectations and price targets. There's nothing personal in it. You might be right, we might be right. No, I had not seen Jonny's 78p prediction. It's the price I arrived at factoring in the current valuation, previous falls on similar news, and the expectation of further news like it.

The short answer is, they won't. Nor is there the evidence that vaccine passports would prevent international transmission, being that vaccines are proven to prevent hospitalisations, but aren't proven to completely remove transmissibility.

What difference is there in any price if that's how you view it? You view current price as fair and undervalued, I don't. It's really simple. If it gets to a price I'm comfortable buying, I would buy because I would then agree that it's undervalued.

Of course, but I wouldn't buy at 79p if I expected it to do that.

If it hits 50p in one big drop, then the company is not in a fit enough state to even speculatively invest in.

And in case you hadn't noticed, the share has already hit and is already sat at its all time lows, so why exactly wouldn't it go lower?

It's anything but bizarre to observe a share, with a set price in mind for good value and simply watch and wait to see if it arrives there. Why buy at any old price when you've no confidence in that price?

If it doesn't get there, I won't buy it. It's no big deal. My interpretation of the chart and company prospects are that it may yet drop more, potentially find itself oversold, and bounce up off that. The way the SP is moving makes it seem like it doesn't yet know where the bottom is.

What other investment strategy is there? Buy low, sell high always seems to work quite well.

That's about right, yes. Between those two points lies a profit.