Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
eviking, on what basis do you see it hitting 1.50? If that happens I'll be out for a while, but looking to re-enter. Is it your gut feeling or your reading of macroeconomic trends? Geopolitical factors? Commodity trends? Technical analysis of charts? Sorry for being hard on you but I too was once one of the gut feeling brigade and got burned. Mind you feeling is a part of any investment decision, but it can't be that alone. Best of luck to you, I'm not trying to be nasty as you can see; 'luck' is as good as 'gut feeling'!
Very informative, Trek. Thank you. Top 10 not too far away from my own portfolio of holdings.
Yes, it was bought up to recent highs as a defence against inflation. It is an algorithmic market that creates buys and sells; no individual rationality. The 'market' is now looking at economies in which inflation will ameliorate, so high yield stocks like IMB are out of favour. I've observed and thought about these relationships for years. Correct me if I'm wrong.
Trek and others, I note the purchase of CSH shares by LGEN but it is very small. I'm now interested in what other companies LGEN have an interest in? As LGEN is run by professionals, I am asking myself whether I should have a look at CSH shares and what other companies LGEN are invested in? Is the CSH purchase an exception or is it an indication that PI's should invest in CSH? Like Buffet buying AAPL shares? I also note that CSH is yielding 9.3% according to dividendmax.
sharefall, yes. I also think the SP will appreciate early next year as we approach dividend season. Mind you I have lost faith a little in PSN and I'm more likely to top up on my old dividend stalwarts; IMB and DEC. LGEN also but I'm overweight there! Good luck!
Tomorrow's update is critical. I was going to sell today in the green but the risk-taker in me said "wait!"
Rio SP is tethered to China indices, Hang Seng etc. Any good news from China will boost the RIO sp. China is out of favour at the moment and has been hammered. But may turn the corner.
"Shooting up" is stretching it. LGEN is tied to Rishi's economic policy stratagems.
I've been invested here for a few years now and buying more with a slow drip of dividends. Obviously my motivation is the dividend yield, particularly with recent dollar strength. Can anyone gibe me a value for the P/E ratio as I get different values from various websites. TIA.
Yes it's cost push and not 'demand pull' inflation. Both the FED and BOE are chasing the wrong problem.
stewart81, nail on head. The monetary policy tool of raising interest rates is a classic macroeconomic response to inflation. The theory is that it dampens demand by discouraging borrowing by individuals and companies. But this round of inflation is a supply side problem and has nothing to do with demand. Higher input costs of energy being the biggest driver along with other disruptions to the supply chain that I don't fully understand. Then Truss comes along trying to do the opposite to the Central Bank by putting more money in people's pockets. I have a bog standard degree in Economics from years ago and I have never seen such a crazy set of economic interventions where monetary and fiscal policies operate in opposite directions. It would also concern me that Truss was allowed to get away with this by people who are much more qualified to make economic decisions - the senior civil servants who advise her. Inflation will be back down by next April; it's clear if you look at how the CPI is calculated.
....to get me into profit. Surprised to see house prices still rising, last week they were falling. UK is a mess of contradictions at the moment, though Hunt has taken a firm stance on dealing with the mess.
Yes 5555, the range of responses available is ridiculous; it is "recommend" or "report" (pretty extreme - I've done it twice in 10 years!).
Porsche, I think your post was nothing more than unsupported fear-mongering. Comparing LGEN's situation to the sub-prime catastrophe in 2008 is irresponsible. While it's great that small PI's like me can discuss our investments here, It is a disgrace that people can post on message boards like this with the effect of instilling fear into the message board community. I don't deny your right to express your opinion here. Just be careful to support wild generalisations with some data. From what I've read, LGEN has a robust financial situation. I would report your post but I think you are entitled to express an opinion. Please support with facts rather than opinion based on wild conjecture.
Yes Trek, I used dividend payments from elsewhere to top up at 1.30 today. The dividend is just too attractive to ignore; especially with dollar strength. I have a tranche from a couple of years ago at 1.13.
Trek, I always read your posts with interest. My humble opinion is that the SP at 1.35 is driven by "sentiment" as you suggest, rather than the buyback. Also in my humble opinion it has been driven by the gas price. Of course we know that DEC hedge and that there is no reason to DIRECTLY connect the current price of Henry Hub gas with DEC share price. Yet the correlation persists. I believe that perception of future value and, as you say "sentiment" are the key drivers of the SP.
Some very dubious rationale being bandied about here on the benefits of buybacks for shareholders. For starters, buybacks do NOT automatically result in increased dividends. The company decides annually on what dividend it will pay on their dividend declaration date, regardless of the number of shares in circulation.
You would think that a reduction in the amount of shares available with the same demand for the shares should lead to an increase in the SP, but I have never seen that happen in my 20 years or so investing. Personally I hate to hear about buybacks and would prefer extra cash be used to defray debt or to grow through acquisitions. One thing that buybacks do achieve automatically is an increase in Earnings Per Share. Same earnings, less shares. This benefits senior management as EPS is a key metric on which their performance is measured. If buybacks continued for a long enough period of time of course it would result in an increase in SP.
I am very sceptical and cynical about the benefits to shareholders of buybacks in the medium term. If DEC buy back a billion dollars of shares for the next 3 years, in my experience I will not be any wealthier. I've seen it with Apple. I've seen it with BP and others. I'm not sorry for the rant. It's over now!
Porsche you are being very pessimistic. My understanding is that MNG have a similar business model to Legal and General who issued a reassuring positive update this morning re. their "robust" capital position. Correct me if I'm wrong in that assumption or if you have the basis for a different opinion. In fact the SP jump today was probably on the back of the LGEN update.
bald_eagle thanks for your contribution. I particularly appreciate your honesty in that last sentence of your post. It's refreshing when many others on message boards resort to attack or defence or are downright opinionated!
AbjectPerformer, you seem to have some conviction about DLG in particular. Why? For example are you assuming that next year's dividend will be the same as the 2022 current 12% divi? I'm not disagreeing, just seeking friendly opinions!