Personally I wouldn't touch a share that has fallen from £40 to £3, it may recover but looks very high risk. Shares with negative momentum often continue to fall and Metro certainly has negative momentum. Falling deposits, dropping interest margin and the need to sell a £521m loan portfolio to shore up liquidity certainly don't shout buy to me.
Ben, agree that 18% is a good margin, I used to work in the food industry and our target was 5%. The trouble is if the margin is declining then the share price will also decline. I'm surprised you haven't had a pay rise, I assume you are not in a union. I would have thought that with a labour skills shortage, you would be in a position of strength to negotiate a good deal. I believe that material inflation was given as a reason, I'm not sure what percentage of sales value is the cost of materials.
BEURUMPSON, The price is not stupid, as I have mentioned before price growth is slowing and build cost inflation is increasing so margins are falling. The price is up 20% since last December + the dividend so it hasn't had a bad run.
I think builders are risky at the moment, the high yields are a warning sign. Margins have probably hit their peak, fuelled by help to buy. Price growth is slowing down but build cost inflation is increasing. I have about 2% of my portfolio in builders but wouldn't want more.
Thanks. It all seems very vague, you would think there would be some rules in place with regards to this. At least it looks like we should get a bit more than we expected when they are finally converted.
NURI123, I've managed to make over £50k profit from this "online delivery company" so I'm more than happy. Looking at your track record with the likes of RMG I don't think we need to be too worried about your predictions being correct.
RE: Help on Share Certificate please09 Jul 2019 19:36
Hi, I have these in a SIPP with AJ Bell. They are now valued at 0. The message from AJ Bell is "We have been chasing both the registrar and our counterparty for an update regarding the outturn of this Corporate Action. Unfortunately, we have not heard back as of yet. Nonetheless, we are continuously chasing so that we can provide shareholders with an update as quickly as possible." I'm not very impressed bit I assume I'll get my money back at some stage in some form.
I suppose we are all gamblers really, at least on average with the stock market you should make money, on the horses only 1% of gamblers make a profit. I now make small profits on the horses but really only bet for fun. I have a plan to visit all UK and Irish racecourses, currently done about 30 out of 90, next stop Stratford on Tuesday.