focusIR May 2024 Investor Webinar: Blue Whale, Kavango, Taseko Mines & CQS Natural Resources. Catch up with the webinar here.
Shell pays 3.58% divis at current price, compared to 4% for Chevron, 3.37% for Exxon and 4.4% for BP. So it's not that, and historically 5-6% for all big oil is not unusual, and I hope we get back to $2 divis pa very soon. But I agree reducing debt is desirable, and that is one of the things they are doing, as well as reducing outgoings and increasing eps with the buybacks.
After BRK/B Shell is my largest holding, and is my biggest income generator (except in years when TGA goes mad); the mixture of capital gains and steady income suits me fine.
And presumably the 16% rise in BISI's price should have a knock-on effect on the owner of 42% (from memory) of BISI's shares?
Like Edward, not as bad as I'd feared, and possibility of (a very little) jam tomorrow from both companies.
Divi received and reinvested here, with a few quid extra. Holding now nearly 50% bigger than at "flotation", and planning to add on anything under £2.40. Average now just over £1.80, so hardly stellar gains, but with the divis I'm not complaining.
If you really think it's going to fall to £6 after xd you'd be an idiot not to sell now and buy back then. I don't so will be holding and probably reinvesting at least part of the divi once it's paid. Each to their own (I've held and bought these since getting 200 from my Anglo holding at £1.20 and buying more up to £4)
3 bulk carriers docked in Richard's Bay coal terminal at the moment (the most I've seen for a while):
https://www.marinetraffic.com/en/ais/home/centerx:32.051/centery:-28.817/zoom:14
Glad they've finally had the balls to up the divi (a bit - still hugely below 2019 level) as they're going to get shouted at for "excessive" profits anyway. Just in time for xmas
Expect we'll sail back through £18 in the run up to exd, but that £20 will be a harder summit to pass, with many algorithms taking profits. Pretty decent profits for many, but I'll be holding at least for my 10 bagger at £25ish (probably soon after full year results next March).
Glad the divi is (finally) increased (a bit). They're going to get screamed at by the likes of Rachel Reeves whatever they do, so might as well return to pre-pandemic payouts rather than rely on buybacks all the time. Great that debt is down too.
27c eps last year at $1.32 and 735m shares = 20.6p, assume the same this year at $1.27 and only 706m shares = 22.3p. Highly likely to be highly higher - 35c, even 40 at the moment. Thursday will show. I'd be buying if I had any spare - £5 is likely before the half year, possibly even before June.
According to the Pink Sheet, South African coal averaged $294.40 per tonne in March, and $219.80 for the quarter Jan-March.
Assuming we're still only on 14mt pa, FOB of $54, and discount of 16%, that's still $235m EBITDA for March alone, and ~$500m for Q1.
"Is a yield of 9% repasonable?", asks rRcht9999.
Very reason indeed, I'd have thought, although Río is paying more, or was until recent rises.
Also, the 91p divi payable in May is not the only divi we're likely to get this year. They didn't pay an interim last year, partly on the reasonable grounds that they'd only been trading independently for a month in the half year results. That won't apply this year, so an interim of 60p-£1.20 in the autumn is perfectly possible. In which case 9% might give a share price of £20 or more.