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A solid half year report, 106,801 shares bought by directors and the share price barely moves. The stock market is inexplicably perverse at times. I think we have Credit Suisse to thank for the sub £200m market cap despite free cash flow of just over £4m.

Delighted and relieved. An excellent report although the adoption of the new accounting method muddies the water somewhat.

Fearing the worst but hoping for the best.

The man could not do more to endorse and promote the company he runs.

Thanks for your research 1GW_, interesting to note that Credit Suisse have invested. I say again though, the critical number is our profit before tax, anything above £8.1m will ensure that the price rises back towards 300 pence, anything below could cause some short term diminution.

1,000,000 shares at 200 pence just gone through.

I see this as no more than a concentrated effort by the market makers to increase liquidity. I am fairly certain that the half year results will be an improvement on last year so this tree shake is merely designed to persuade existing shareholders to sell in order to increase liquidity. We must remain calm and hold our shares and where possible add more. Remember, one our biggest shareholders, Schroders, has done just that. The share price could still go lower yet but don’t be tempted at these low levels to reduce, only the market makers and new buyers will ultimately benefit.

This can only be market makers moving the price down prior to the release of the half year report. We know revenue is higher which of course should lead to an increase in profit before tax. £8.1m is the number that the company must beat in order to convince the market that last year was not just a one off. I sincerely hope we do not see the return of the dreaded exceptional items.

https://uk.reuters.com/article/uk-emirates-a380-rolls-royce-hldg/emirates-seeks-rolls-royce-a380-engine-deal-nothing-finalised-idUKKCN1N90EH

The share price was marked down in a similar fashion last year prior to the release of the half year report. The company has already eluded to the rise in revenue but the question is will the profit before tax exceed that of last year at £8.1m. Any improvement on this will send the share price up. Now that the legacy customer redress programme is near its end, will this free up some cash to pay us long serving shareholders a small dividend ?

Yes, an unusually detailed RNS to announce the date at which the half year results are to be released. All very positive, unfortunately still six weeks away. Maybe my post results price target of 350 pence is more realistic than I had previously realised.

Well spotted Corral-Part, excellent article thanks for bringing it to the attention of the discussion board, this could in part explain the recent diminution in value.

Thanks for the explanation Arsenal17. Most company shares are heading south at the moment and I suspect there won’t be much relief until we can resolve our differences with the EU.

What is the association with RR and RMG, do they deliver the engines for RR ?

So that completes our first half year of trading. Now we have to wait until the company presents its figures to the market. Last year it was the 29th November. I am hoping our new look board will be reporting rather earlier than that this year. The share price has increased steadily in recent weeks but has now hits its usual resistance at 282 pence. I have raised my own price target, post half year report to 350 pence.

I respect your optimism Miken but I think now would be a good moment to sell. To underline my recent post, the company has failed to communicate positively with investors over recent engine issues. This silence can only lead to a reducing share price. I am going to sell and will be looking to re invest once the price has dropped below 900 pence.

One assumes that the recent engine problem on the Iberia flight that was forced to land at Boston has been solved. Surely it would have been prudent of RR to shout this from the hill tops with a RNS to the market to reassure investors.

Top marks Miken, you correctly predicted that the share price would break £11 and more recently you also correctly predicted that the price would drop back to £9.50. I love Rolls Royce as a business and I am particularly impressed with what Mr East has done to turn around the business from a very dark place. I cannot at this moment invest any further funds into the company as there are still too many unknowns, not least the XWB engine failure yesterday. I fear that the share price will continue its downward spiral until we have further news on this most recent engine problem, some further positive information on the Trent 1000 issue and selfishly whether shareholders will receive an increase in the dividend. Until then I am holding the shares I have but refraining from increasing my position.

You had me worried for a minute there Columbo, 29 pence is a near ninety per cent reduction in our share price. I raced to the regulatory news to find out what had caused such a drop !!

£554m is the money spent so far to rectify the problem. The final cost to redesign and repair all engines in operation is at least £1b.