Member Info for Kipper9

@Trenners, that's my position also

I don't think it will take a great lot of 'tweaking' to turn the £106m loss to profit. What with the £160m in savings, one off costs hopefully dropping off, introduction of AI, reduced headcount. AH alluded to this when he took over in January, that he could already see some opportunities. I don't think we need to worry quite as much as some imagine, but it will obviously take time.

Too true RR, some of the pre results hype was way over the top; '50p by Christmas brigade' i called them.

But i feel things have changed, or certainly hope so, with the new guy. But, time will tell

All the best....

RR, i guess we'll have to wait to see where the SP goes to see whom is correct. See you in June

Until then, happy investing...

RR, i fear you are in the 'glass half empty' corner with these, & that's fine. But are you totally sure you won't feel you've missed the boat come June? Or maybe you are waiting till June to decide?

Time will tell. So will the SP. Good luck whatever your strategy friend....

@RR "Capita shares = high risk punt on failing company."

Think looking at the excellant data NF has provided, Schroders have completely the opposite view .

My money is with Scroders RR, sorry

16p incoming before Cap Markets in June, imv

What's interesting (to me anyway) is to look at the holding over time by Schroders. From February 2020, at the start of Covid-19 outbreak, they held just 101.031m shares. They stayed at this level until October '20 when they doubled up and bought a further 101.187m shares, to total 202.218m shares. This would have been just prior to the announcement of a Covid vaccine, with a huge proportion of the 40,000+ staff furloughed.

By August 2021 they had steadilly increased their position, to have by this time 309.079m. Since then they have further increased to now holding 321.826m

For my money that's a heck of a commitment in my view. All through the worst of Covid & the JL years, they never gave up and kept increasing. Brilliant data NF

Errors and omissions excepted

Please do

I guess with an average SP of 69p, maybe RWC similar, it dampend the idea of a takeover with a cheeky bid in the 20's.

Have emailed Robin Speakman at Shore Capital to see if he wishes to add a TP to his recent buy recommendation.

He is always very positive on CPI...

Excellant work there Fearless, many thanks

So, the Portfolio Managers at Schroders & RWC respectively hold 34.91% of Capita Equity. Then it waters down quite quickly with others holding no more than under 5%. I'll bet AH makes sure he has a very good relationship with those 2 Portfolio Managers; 2 people hold over 1/3 of the company he runs.

Over the past 24 months it's good to see Schroders increasing from 303m to 321m now. Lowering their average from 71p to 69p. So, that manager isn't running for the door, is he/she. Plus, if he/she is willing to increase with an average of circ70p, then i feel much better with my break even of 22p.

Good data, excellant

E&oE

Ok Fearless, i know this is the CPI board but am going to mention VOD even if the Puritans kick my shins in. VOD have 2 BIG problems to sort out. Debt, mountains of the stuff, and a terrible customer support. We can't help with their debt but Capita have recently signed a £200m+ contract with a European Telecom provider for customer support.

“Capita plc (Capita) today announces it has extended and expanded its customer experience contract as the strategic partner for a major European telecoms provider.

Capita will provide dedicated support for all consumer and business customers across a wider range of products and services, including technical assistance for mobile phone and TV products and order fulfillment.

Capita's remit will expand to include supporting the retention of mobile business and consumer customers.”

So maybe the respective CEO's should get their heads together eh. I have VOD on my list of 'turnaround' shares. They got their new CEO about a year ago, and things are showing signs of improvement, but the SP has yet to react fully. Merger in UK with Three needs to be completed, and I think it will, after hoops. SP trading 65 – 71 until then. Decided to top up in new year with an exit 80p+. Divi in the meantime is juicy.

Also, do you have a TP for the Shore buy update at all, can't find one?

@NF, Looking at your Brokers Ratings Updates i can see that there have been 3 buy's & 1 hold since 11 March. (Shore have no TP, sadly, that i can find).

Prices are 18p, 24p, 40p & 47p. Taking the lowest of these TP's of just 18p, if you were to buy today at 13p, you might be looking at a return of 39%. I think that's reasonable risk/return.

Some will obviously disagree and argue the company is heading for bankrupcy. That's fine. Others may say Brokers TP's are pointless. Fair enough. Also, i said 'might'. Well, everythings might isn't it. You pays yer money, you takes yer choice.

Anyway, thanks for the data

"which in your terms is a multi bagger "....no,I never used that term. But do take your other good points. It all depends on your risk level. I wouldn't put the mortgage on it, as the saying goes. My other stocks (listed) have done ok, like your Nvidia, so i don't mind balancing that with some risk. I can't speak to other peoples risk tollerance...

Best leave it there eh. We're not in agreement. . Buying at todays 13p, your Capita shares only have to rise to just short of 16p to get 4 times the Virgin rate, less inflation. I see that as a good risk, you see it as apoor risk. Fair enough.

The arbiter will be the share price. Lets see where we are in the run up to June Capital markets Event.....

E&oE

"You would have made the same argument when it was dropping from 22p to 16p and still have been wrong"

But i didn't, did I. It's at 13p. Not 22, or even 16p.

Averaging down. I did that on my Meta, Coin, Aviva, Lgen as i concluded through my research that all of these stocks/shares would come good, and they have. Identifying beaten down shares is what it's all about, surely. Seeing what the market does not. If you want absolute certainty, pile into Virgin at 5.25%, less inflation.

@Savage, so that makes the 'punt' on some CPI shares look even more attractive then at around 13p, yes....?

Excellant data Fearless, keep it coming please

With respect i dissagree Wool. I'm not saying it's a sure thing, nothing is (well, Virgin at 5.25% is). Am making the point that at just 13p, it must be a reasonable bet that the return over a year can beat a cash ISA. I wouldn't be saying the same if JL was still here or the SP was in the 40's.

@Beach, agree., i never get the timing exactly right either. (if ever)

My point was that with the info/data we have right now, i see Capita as a better return over 1 year than Virgin at 5.25% & wanted other views. 13p to 13.77p doesn't seem such an unachievable target. A share price of only 15.83p would be four times the cash ISA return.

@Beach, fair enough.

Was just to illustrate how, in my opinion, CPI is a bargain at these levels.

You don't see Capita share price rising over the 13.77p level in the next year then?

A better return to be had in a Cash ISA at 5.25%?

@db, that's Darth Vader to you sunny!

May the force be with you all.....

Just as an interesting excercise, here is a possible comparison between a good cash ISA rate & a 13p punt on Capita.

New tax year coming soon, so we all have a chance to top up; whether it be £100 or the full £20k. Lets take a sum of £5,000 for the sake of arguement. So, at 5.25% fixed for 1 year Virgin are quite good. That will yield you a whopping £262 in interest. Say you bought some CPI at 13p; that's 38,230 shares. (after stamp & fee's) Add the £262 to your £5k and you need to get to £5,262 with your Capita.

That means the share price would need to get to 13.77p to get to the same return as Virgin. Ok, share price could reduce further, but at 13p, not much surely.

So, the question is, will my Capita shares rise more than 0.77p over the next 365 day's? If it does, then you've beat the best cash ISA rate & will be promoted to the top of the class......well done

E&oE