The latest Investing Matters Podcast episode featuring financial educator and author Jared Dillian has been released. Listen here.
The bots really don't want this above 500p. The yanks would normally come in after 2pm and attack this, but yesterday the price went up significantly in the afternoon. Maybe the yanks now like this stock. Let's see what happens this afternoon!!!
KK and LT were fools. You can't borrow £65billion extra a year for tax cuts hoping this will generate more growth and therefore pay for itself. They could never prove it would pay for itself so the bond and currency markets acted accordingly.
Unfortunately we now have a Labour Party that is going into an election supporting a Treasury orthodoxy (aka fiscal conservatism) which has delivered low growth, low productivity, low wages, low investment, high asset prices (especially housing) with millions not earning enough to live, hence we're spending £33bn/year to subsidise the private rent.
Gerald Lyons (ex Boris Johnson chief economic adviser when he was Mayor of London) sums up the situation well (I don't agree with him about Brexit) - “The whole period after 2010 was one of major fiscal mistakes. Austerity was wrong and badly executed. The ability to borrow cheaply was staring at us as a huge opportunity but was never taken.” If we'd invested in infrastructure, public buildings, etc when interest rates were so low we'd have delivered more growth, increased tax revenue and reduced government debt as a % of GDP. That's the proper measure of whether debt is sustainable - someone earning £100k a year can obviously afford to borrow more than someone earning £30k a year, same with governments, countries with high GDP per head means higher tax revenue because taxes are levied on what people earn and spend so they can afford to borrow more. Instead all austerity has delivered is government debt approaching 100% of GDP when it was 60% of GDP in 2010, huge hospital waiting lists, crumbling schools, pot holes everywhere, and a housing crisis (which means we all pay because councils are forking out huge amounts of money on emergency accommodation, aka B&Bs, sometimes with families in them for 10 years).
A good summary here - https://www.theguardian.com/uk-news/2024/mar/01/there-is-no-money-jeremy-hunt-own-note-chancellor-budget
I have Vodafone shares and they've struggled to go above 70p. Now there's a rumour that a French company will propose a merger at 100-105p. That's about a 45% premium, similar to Curry's bid premium. That's insane! Either the LSE is valuing businesses at ridiculously low prices or people are prepared to throw their money away!
The article talks about a merger valuing the company at 100-105p/share. If that happens you'd get shares in the new company worth equivalent of that price times your holding. It would be up to you if you hold, sell or buy them, but you'd in effect have shares valued at 100-105p/share. For example:
- if you had 1000 shares in Vodafone and the takeover (via a merger) valued the company at £1 per share you'd have £1000 worth of shares in the new company.
- if the new company share price is £4 per share you'd have 250 shares in the new company.
- up to you if you buy, sell or hold them.
I hope that helps.
The article I posted pointed out that:
- French shipping firm CMA CGM offered £4.50 a share for Wincanton, a 52% premium on the share price at the time of £2.97.
- They then upped to £4.80, that's a 62% premium.
- Then a US company offered £6.05, a 104% premium!!!!
- Curry's currently has a bid that values it at 42% more than the market did.
We could see a similar situation here so I don't think £1.40 is completely out of the question. But they'd have to be more than one serious bidder.
Here's a link to the article. Rumours are a French company will bid 100-105p/share.
https://www.sharecast.com/news/news-and-announcements/vodafone-rallies-on-rare-betaville-report--16354381.html
Interesting article. I'd say it isn't just sub £1bn UK listed companies undervalued!
https://www.theguardian.com/business/nils-pratley-on-finance/2024/feb/29/uk-stock-market-isnt-working-undervaluation-wincanton-currys
Interesting article. I'd say it isn't just sub £1bn UK listed companies undervalued given Vodafone's assets (as discussed on this board).
https://www.theguardian.com/business/nils-pratley-on-finance/2024/feb/29/uk-stock-market-isnt-working-undervaluation-wincanton-currys
Anyone know why this share always has a massive spread before trading - 40% today. Other shares I watch have 1-2%. Is this significant? Seems to me it shows the market doesn't really know how to value this share price.
As I've said before, my experience with mining shares is that they are dogs for a long time and you just need to hold your nerve because the dog will bark eventually! As I've posted before, I had Glencore shares at a break even of 90p and got spooked so sold up at a slight loss (lots of press talk about them going bust). Now they are 373p, were 523p last March.
Hang in there would be my advice. I'll be topping up this week at this price to bring my break even down.
"Several miners are among the bigger fallers this morning, including Rio Tinto and Anglo American down 2.5% and Fresnillo 2% lower.
These moves reflect declines in copper prices, which traders say is on the back of a rise in the US dollar and higher inventories in China."
Sheep mentality from investors. Copper is falling in price, miners will be hit, sell all miners, including THOSE THAT DON'T EVEN MINE COPPER!!!! This share price will be a dog until Fres post very positive results, even halfwit traders can't ignore ACTUAL NUMBERS!!!!!
https://www.proactiveinvestors.co.uk/companies/news/1041721/ftse-100-live-stocks-on-the-slide-housebuilders-hit-by-competition-probe-1041721.html