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Never wrong to take a profit, but all the indications are that CNA has further to go.
"Sadly, there are a number of posters on this board who are consistently negative about the company, "
Look at the share price, what is there to be positive about?
LTI
The value of the business to an investor (shareholder) is the Market Cap (number of shares in issue x share price) - It has declined - or do you value your shareholding in a different way. I hold 102k shares in 2018 they were worth £67k now £42K my calculator says that is a DECLINE. The only return to investors is what they RECEIVE in dividend, the buyback only adds value if the underlying share price rises, as in the case at CNA. For me the end of the conversation.
LTI - Earlier today you responded to my quote below:
''Lloyds despite buybacks of up to 60m shares daily continue to decline''
I am not aware of a decline in the Lloyds banking group business
Well let me remind you (I will admit that the decline is not wholly due to buy backs).
At the time of annual results Feb 2018 (accompanied by a rather bullish outlook) the company had a tad over 72bn shares in issue and a market cap of £48.9bn.
At the 31/7/23 the shares in issue amounted to 64.36bn and a market cap of £27.08bn. How on earth are you "not aware of this decline".
I might add that in addition to buy backs the company has during this period "shuttered almost 20% of its branches and reduced headcount from 64,928 to 59,354, and benefited from the increase in interest rates.
Hang on to your CNA for at least another 42p (+divi) Starmer is a good 12 months off.
Longterminvestor
Perhaps - But analysts have much higher targets for Lloyds and have had these for some considerable time. The big issue for Lloyds (imo) is the number of shares in issue (circa 65bn) its is a traders/gamblers paradise. I am also a CNA holder and just feel their management has grasped the situation and modest buybacks have assisted its recovery. Lloyds despite buybacks of up to 60m shares daily continue to decline, a share consolidation is needed to deter the daily punters.
Centrica commenced its buybacks in November 2022 with a share price of 85p. As it approaches the end of its second buy back (a third will shortly commence) the FT reports:
"price reached a new 52-week high of 145.10 at 11:47 BST"
Analysts have a 160p target (up from 110/130p).
On the basis that at the start of the latest buyback program the sp was circa 52p and tonight it sits at 42.30p what value has been added for shareholders.
After 122 trading days, buyback complete to date:
Total shares to date.....................................................4,127,094,658
Aggregate cost to date... ........................................... £1,890,728,269.85
Average price paid to date..........................................45.813p
Percentage of £2 billion buyback completed............94.54%
C-H-F
Criticism of ST is a bit harsh and in any case had he delivered an update it would surely have fell on deaf ears - why, read on:
Following the licence extension on the 7/6/23 ZEUS did a write up reiterating their thoughts as did WH Ireland.
Following the adj to the windfall tax on 9/6/23 ZEUS stated the case once more.
finnCap issued an update on 26/6/23.
All 3 (ZEUS, finnCap and WH Ireland) commented further on the positives for JOG on 4/7/23.
ZEUS issued further notices (with much the same content as previously issued) on both the 6/7/23 and 12/7/23.
As I have mentioned previously ZEUS, finnCap and WH Ireland are all agreed that the sp target here is in the 600/800p range - no one has been listening (apart from us lot on here).
ST is a journalist (quite a good one apparently) not an analyst and it is just good that his awake to the potential in JOG.
Another excellent article from ST. I can understand the market overlooking one analysts share price projection, but when 3 (all around the same ballpark number) analysts are on the same hymn sheet "overlooking" becomes quite frustrating. Good to see a rare price jump today supported by some decent volume.
Nice (but strange) rise in the share price today. Volume of 3,269,754 (bought 1,371,887 sales 1,897,867) but the mix in simple supply v demand rules does not stack up. Happy for today anyway. This just needs the right news to rerate, fingers crossed.
NigeCo
Very good post, government opposition would be guaranteed.
Can you explain (justify) why any bidder would offer 300p with the stock currently below 120p?
Mick-b
"OFGEM failed consumers by allowing these new companies to ever trade."
What an understatement, and sadly consumers will be paying for this "OFGEM" failure for years to come - They continue to fail to making the "ring fencing" of consumer balances compulsory leaving the door open for similar failures should prices spike again. Centrica has bought forward (quite a way forward) £8bn (that may be $) worth of gas and for me they are the only supplier that can be wholly trusted - Just hope Labour don't sabotage the progress being made here.
Of the 0% interest available to savers in the years 2010 to 2020 or the 1 to 2% mortgage rates enjoyed by house buyers during that period. No criticism of Banks when dividends were cancelled/frozen during COVID - Jeez the press have short memories. Tories have not been good but god help us all when Labour step in, unless of course you can't work or don't want to work.
There has been some criticism of the term "long term investor" so going back to previous buybacks in March 2018 buybacks were happening at an average of 67.25p - now tell me what value is being added.
Yes, the average of all buybacks since 23/2/23 is 46.25p, the average price paid on 23/2/23 was 52.02p and the average price paid today was 42.58p. So a long term investor with say 20,000 shares has seen a decrease from £10,404 to £8,600 (being generous with a closing sp of 43p tonight) so an overall decline of about 17% -- terrific value - NOT