Member Info for meshtrader

As an add on to the previous post, it's rather obvious telcos don't belong to the stock market as having a strong cash flow is not valued whatsoever. In private hands Vod would have at least 5-6bn in cash flow as things are today and not discounting for the inevitable improvement to the top and bottom line in the next few years. Even at a CF at 5bn, an offer of 30bn means a 6x annual cash flow and if you include the instant cash payment to the acquirer, it will drop down to 5x instantly. How many such listed businesses are out there right now?

Sometimes I wonder if it's all as simple as the American political geo political vortex. Petro dollar flexing its muscle impressing the gullible with their trillion dollar companies, applying maximum pain on doubters who disagree with who is the master of earth. In this maxim, UK relegated itself to back of the room through brexit.

It has been reflected by others here that FTSE100 is damaged goods, so Vod is not an exception as there appears to be a concerted effort and a hidden hand in proving a point by having the value of UK companies thrashed. Pension funds (domestic or foreign) can be incentivised to allocate more of their capital to UK denominated companies, but it ain't happening and I wonder why? In my opinion its ferocious global power play a foot here and hope it's like the Serbia moment which triggered WWI.

Fleccy

Agreed with your assessment of the robustness of the business.

As for dividends, this won't impact the current cash balance and the projected fcf. In fact, I would argue Vod's cash position and fcf will improve at a higher rate than presented by CEO.

How and why? The income statement, balance sheet and cashflow statement cover until the end of q1 for this year. The actual dividends won't be paid until August. That's a five month delay. Vod as a business will have collected a ton of cash to pay for the upcoming dividends. The recent statements included dividends paid out in Feb, so the results reflected fully the impact of dividends.

Another is the energy costs, which are falling much faster than the market agents had anticipated. Further boosting the business is the increase in cross border travel activity, which should be back to pre-covid levels in the very near future.

Like you, I am very happy with the dividend yield. If I had 30bn burning in my pocket I would have taken Vod private myself. That is the degree of my conviction. Offering shareholders 33% premium to Friday's close and upon acceptance, I would have paid myself instantly ca 5bn from the cash in the bank bringing the total to only ca 25bn. It's a no brainer.

Lol The market cap is now almost equal to the value for Vod's german business. What a crazy world we live in.

Putting things into perspective - EQT paid ca 5x net asset value for the company. Dechra has been burning cash in the past 3 years with an annual revenue of ca 700m vs buyout price of 4.5bn.

Mulder

"Debt to equity ratio" is not the same ratio as the "Equity ratio". I was and am merely pointing out the inaccuracy in your previous statement.

"Absolute bo**ocks mesh trader. These are basics, do the math for yourself, look at the balance sheet."

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What is the expression for Equity ratio?

Mulder

Vod equity ratio stands at ca 0.41 as per the report released on 16th May. Equity ratio can never be higher than 1.

"Why don’t all the people on here who are certain about it going down back that theory. Take a a huge leveraged short via a CFD on say IG platform and just put up a fraction of the bet as your margin and hey presto, you’ll be rich and we’ll all applaud your brilliance. Or are you too sh*t scared for that?"

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Decidedly, shooting from the hip and creating a stir for a few moments of a feel-good-factor dopamine rush trumps any rational thinking.

Anybody who comes in here saying this share is a bust, overvalued, bleeding money etc. is best advised to stay away from investing altogether. Ask them on what grounds their assumptions are based on. They have zero clue and won't share links to data and facts.

Investing isn't rocket science but one needs to put in the effort to find the details necessary to arrive at an informed decision. Arm chair traders/investors have nothing else to do than the pursuit to the dopamine rush mentioned above.

Peace and love etc

Why are you on this board? A genuine question!

You have a clear dislike about this share and you are not shorting it. So why are you expending your time on something that is seemingly of no interest to you.

Just finished my last meeting for the day and gone through all posts and you seem to have committed to 50% - ish of it. Posting basically the same thing over and over again.

PS I am sure I am not the only one who is confused here

Tufan is seemingly doing everything according to the perfect kitchen sinking playbook. From now on its all about pumping everything.

1. Based on bad experience 15 years ago when I left them. Came back 2 years ago as I thought they must have improved and it's got a lot worse. Several contracts with them, hours on the phone, broken promises, cancelling the wrong contracts leaving me with no broaband, speaking to people who can't understand basic English. It's a shambles when it goes wrong.

2. Underlying debt costs are rising - do you think they're dropping then ??! Read the balance sheet and accounts, look at the share price...! Those are the facts..!

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1- still a subjective opinion - sorry. Why did you change back to vodafone if you were happy elsewhere?

2 - It appears we are reading the annual reports differently!

Just check out the annual financing cost going back 6 years. What is the average annual financing cost for that period and how much did vod pay towards these costs last year and how does that compare to the average you calculated?

Again, looks like we are reading the balance sheet but arrive at a different conclusion! How has the net debt moved since last year? Have you bothered to look up the outstanding bonds table? If so, what seems to be a worry to you?

1) "Customer service is horrendous if you need anything except an upgrade or some more stuff... "

2) "The debt is getting more expensive to service which will impact margins more than any inflationary upside and revenue is effectively static. "

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So many subjective statements!

1 - What is your proof point? First result on google search: https://usave.co.uk/mobile/best-and-worst-mobile-networks/

2 - What is your assumption based on? Would love to hear it. I will then share with you links to actual facts.

A 3%+ drop on less than half of daily trading volume?

The data points are, however, signalling another fundamental trend: https://www.iata.org/en/pressroom/2023-releases/2023-05-04-01/

Lol this board is now full to the brim with doom and gloom😃

Reminds of when Morrisons was trading well below their intrinsic value and people thought it was done. They woke up one morning to the bidding war over the ownership of company.

The majority here think these numbers(price action) flashing daily is some kind of a game with no floor at which point it will be gobbled up at twice the price in no time. Think again.

As a fun fact, cash in bank is now ca 50% of the market cap. Unbelievable stuff.

Add almost another 7% to my holding.

"Try looking at company debt, you then have your answer"

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Have you looked into Swisscom? Did you know the biggest holder is the Swiss state? In fact a majority shareholder with 51% of shares. Another 21% by institutions. So 2/3 of the floated shares locked up. Solid shareholders as in not the kind who will dump just because they are emotional. Have a look: https://www.swisscom.ch/en/about/investors/shares.html

UK is suffering from a staggering weak investment culture, which is now biting us in the tail.

Vod has a solid balance sheet so its not underperforming its peers. So its something else at play.

Vod net debt/EBIDTA is now lower than its main competition. Same goes with their massive cash position, significantly higher than any of its peers.

Just look at the trading volumes today. One would have thought we are breaking through the floor on large volumes. Tree shaking me thinks. A large buyer is lurking in the background. You sink it so you wont ruin your avg price when you buy larger chunks. Same applies when they are offloading. They pump before they dump.

Would not be surprised if we finish on the + today.

Was checking Swisscom last night and noticed the massive premium they are trading at. A fraction of Vod's balance sheet and cashflow, yet a market cap of ca 29bn EURO.

A clearly broken market and sadly weak holders of UK stocks as always.

"Are you talking about Vod?Are you talking about Vod?"

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Nvidia of course. Massively over hyped.