Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Yep see that Redceo - beats me how the shorts managed to reduce so much without affecting the SP ,seems very dodgy. On a positive note, SP appears to have found support around 200 but until that bunch of to##ers get Brexit sorted we are all in for volatility. So many undervalued U.K. companies and no cash left to buy.
The shorts pattern is following the political uncertainty - they started to decrease when Mays fourth go was on the table and now it’s not they are increasing again. On this ,Falkland is correct but no one knows the bottom ,that’s the point. Fundamentals may mean nothing now but in the long term they are everything, so for me it doesn’t matter what it goes to ( I’m not selling) and will wait until politics is sorted and fundamentals and value come back - as it sure will.
FWIW - I think we are heading to a second ( not my choice) legally binding referendum - more revenue for RMG !
Hard up - following is IMO only and mainly due to political woes but I would sit and wait if you are not already invested and purchase in small chunks when you see fit. In normal circumstances ie no political circumstances then RMG is a definite buy but with so much uncertainty on the political front ,all U.K. companies have suffered and could suffer some more yet. I’m fully in on RMG but I’m looking 1-3years down the line so will compound the dividends ( reinvest) so not too worried about short term fluctuations. I’ve done my research but with current politics it doesn’t matter about fundamentals ( short term) its all about political uncertainty. And as we all know markets are volatile with it.
Hardup - it’s just insurance against your broker lending out your shares - some brokers do and some don’t ,but it doesn’t cost you anything unless of course your limit is reached and your shares get sold ,so as Nuri says ,set a high limit. Have a great bank hol everyone.
Correct Nuri - and good to see you are so positive- it’s a medium/ long game atm.
I’ve put a 360 sell limit on my shares so as to make sure those unscrupulous shorters can’t borrow them. If there was no political uncertainty the SP would recover but with our house of loonies and the remote possibility of Corbyn the destroyer getting in with undeliverable promises who knows what will happen to UK based companies. Next few weeks will be interesting............
Today Goldman Sachs broker states - buy - target price 320 and Liberum switched to hold from sell - target 185
Does Falkland work for Liberum by any chance ?
why Is there so much worry about Corbyn renationalising RMG - firstly Labour are very unlikely to get in with a majority and even if that happens the EU make it virtually impossible to renationalise companies ( unless we are out) and anyway he’s already stated he would buy 60% of RMG so cue big rise when the market know that. It’s a long long shot and way down the list of concerns. I was in Lloyd’s when they went to near 20p in the “financial crash” and now three times that. RMG along with many other U.K. companies have been caught in the perfect storm - political, reduced profit, global contraction and shorters. Unlike companies like Uber who say they may never make a profit or pay dividends ,RMG do, and what’s out of favour now will return to favour at some point. History shows us this happens. It’s called cycles.
None of the two major parties will win outright - we are in for a coalition gov if there is a GE. Too much damage to both Labour and conservatives- there will be a big surge for Brexit party,lib dems and greens - two party politics is over.
I’m way down on all my shares BUT it is exciting in a way - lots of U.K. Plc down on political fears and global fears - our gov in total meltdown and I’ve never seen anything like it ( bar financial crash of 07/08 ) what a mess ! On the plus side if you have funds ,nows the time to buy as history has shown us ,fortune favours the brave. Two years time and this will be a distant memory .
Today’s recs - Barclays capital reiterates - overweight , Liberum capital reiterates sell - expect a few more brokers to state over next few days. Having now looked at very detailed results/forward forecasts in more detail ,I’m happy to hold - Rico has this ! But of course we don’t know what the shorts are going to do but imo I reckon they will move on - action being taken will turn this,maybe slowly but confidence is on its way - all imo obviously.
Well after a quick look I’m pleased - let’s see what the day brings.
Well that was an interesting day ! Trouble is the media have inaccurately stated a 40% drop in profits and unless the guideline of £500 - £530 mill is not upheld then the media are wrong and have helped the shorts hugely. I’m still holding my full amount as imo this is in shorters hands atm and we need the guidance to be correct and divi maintained for this year at least. Otherwise it’s shorters in control again. Institutions will only buy back in if things are stable imo. Crazy few weeks but not really surprised with shorts in control, pricing as if it’s going bust ! Tomorrow will be telling one way or the other.
Sorry meant after transformational costs number NOT underlying !
Thanks fruitster - that explains it - only question is how they would know the underlying number ( if it turns out to be correct that is)
The previous guidelines were £500 - £530 mill - so surely RMG would have to RNS a profit warning if it were that much off (£342 in IG report) - and I also would want an explanation for any leak as this information and exact figure would constitute insider info. I’m confident this is wrong and hope for the sake of the supposedly secure company processes that it is. Would be very disappointed in RMG and the wider market if it is. That sort of thing is for Aim not FTSE 350 .
Had a chat with my postie mate yesterday - he says packets/ parcels are very busy but letters ( exc political) are not - so a mixture - one positive he says they are recruiting in our area so can’t be all bad. I’m holding whatever the results as for me it’s a mid term hold anyway and capital markets day / Brexit resolved are going to be main drivers - as previously said markets hate uncertainty and we’ve got that in bucket loads atm.
Sorry forgot - transaction ID - 3900109736277651
Donation £5.00 (£6.25 gift aid) made to RNLI - as pretty sure I was in that one but not the SP one.