RE: 8 year lows in US27 Sep 2018 08:08
Well 6% is very tempting so had to jump in here yesterday.
In an era were interest rates are at low levels and unlikely to hit even 2%.
When retail is getting squeezed, then national grid is a pretty safe bet.
I don't buy that labour will actually nationalise everything they say they will and this is not even on the list yet.
I think they will find it too expensive to buy everything back. Its not like rail were franchises are returned.
Even if they could buy it back in say 4 years after they get into government. That is still 7 years away in total and if the sp simply holds value for those 7 years and the dividend never rises you are look at 42% return on capital before any offer from UK plc.
I also think when brexit hits people will move money again and this is a pretty safe haven.
Basically it's over sold for me at the moment and has good potential for recovery so I'm in.