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@kipper - I think there are a couple of background sellers over at FTC and an RNS confirmed this prior to the most recent bounce.

I was running a very tight stop/loss for 50% and, as a result, I got stopped out before the bounce for a small loss (as no stamp duty is payable over at FTC).

I'm letting the other 50% run but if we get sub £1.20 I will buy the other 50% back to recover the small loss.

No reason for the fall other than seller from what I can see

@shorty - am only buying Capita inside the ISA these days and with 82500 already locked away - no funds left to add at these levels although - my overall average is below this anyway!

Looks a good entry point though as I've been holding for what feels like years (because it has been years) with almost zero return on my investment SO FAR

@kipper - my mistake - £1.80 was in April - £1.91 in May of course ..... Still about 25% up though!

@kipper - you still adding - my finger is hovering to add more .... I'm also having a wild rollercoaster ride over at Filtronic and it bounced off the £1.25 level but is falling back again now

@H - it isn't just Ofgem that has caused this drop.

The market just got too excited (together with quite a few people on here) when the share price shot up from £2.50 to £3.50 in about 3 weeks.

If you look over at Ocado the exact thing has been playing out - massive rise from £2.30 to £3.95 in about 3 weeks and now it's falling back.

No way was this worth £3.50 - and I spoke up loudly and was beaten back at the time (accused of dreaming and trying to get a lower entry) - but on the back of the June update the market simply overshot.

Also Oasis buying in may have contributed to the squeeze upwards ....

Without the June excitement we would be probably around this sort of SP having made a gradual recovery since consolidation at £1.80 at the start of May.

So - we are 35 % up since May - that doesn't feel so bad does it?

@woolitch - if you watch the Richard Staverly interview (that I posted the other day) from January 2025 - he almost reveals that one of the major reasons for his investment is that he expects Capita to get bought out by an international hedge fund.

I suspect the more Government contracts we secure - the more likelihood of a buy out and a lot of the deck chairs on the poop deck (eg share premium account abolishment, share consolidation, payment of debt etc) have now been cleared away.

I think we need to get rid of the loss making closed mortgage business and we then will have a chance of a buyout coming along.

Having been waiting here - almost daily - since COVID - I keep telling myself "not much longer to wait now" - but of course it could be another 2 years!

It wouldn't surprise me if this restarted £3.50 as it's moved up so quickly and, of course, there is a gap to fill at about £3.30 if £3.50 doesn't hold.

I think the writing was on the wall here when it didn't manage to breach £4 on Friday .... but nothing to worry about .... it's just that things that go up quickly usually go down quickly (and sometimes quicker) too.

I was going to mention all this over the weekend but I didn't want to get shot by all the bullish sentiment here!

I must admit that I was influenced by the UK Investor Manazine article that said that buying at £1.30 would be a steal.

This has risen so fast - I'd be surprised if anyone could confidently predict the bottom - but if UK Investor Magazine think £1.30 is a steal - then anything under that must be a good entry point!

@savage - in business, if you only compete on price then it's a race to the bottom as you cannot differentiate yourself against your competitors and you'll always find some smuck to deliver something cheaper than anyone else!

Capitas differentiation is their world class experience, trusted brand name and amazing customer service backed up by KPIs. Customers just love what Capita deliver!

And this means they don't need to differentiate their offering by being the cheapest as they can show they are very good at what they deliver and are a safe pair of hands.

So there is no point chasing those low margin deals from customers who are only buying on price as all you are doing is creating vanity revenue and no profit.

When you focus on selling to customers who get what you deliver then you may win less vanity revenue but you create MORE PROFIT.

So - use AI and off shoring to improve the profitability of all the legacy contracts - by all means.

Get rid of the customers who will never be profitable (eg closed mortgage business that's losing £20m a year).

Then focus on higher margin customers who understand what you deliver and are prepared to pay the price for your products and services.

That is how you run a business - something I suspect @savage you have never done?

@aim & @savage - Capita - for fat FAR too long has been a "busy fool" in that the customer has been thrilled with the Capita solution but the company has worked flat out to generate high revenue - but low profit!

Most businesses are best "sacking" their loss making customers (let the competitors win these money losing deals) and focusing on their high margin - PROFITABLE - customer.

In the high margin scenario described above - you do less work - create less revenue but generate more PROFIT.

Suggesting margins of 2.5% is ridiculous for the great customer service experience that Capita customers enjoy and this is proved by the high KPIs that Capita consistently achieve.

So @aim & @savage - hold off investing here for as long as you want - but don't knock the company strategy because it's 100% on the money.

AH and his top team are very experienced smart people - and seemingly much brighter than those who criticise the future company strategy.

@daltry - I just don't think the turn around strategy lends itself to signing NEW big ticket contracts anymore - I don't think that's the business focus - that's the old Capita - big ticket win, large CAPEX during implementation and then long term multimillion pound contract.

The strategy has moved to more profitable, lower value, non RNSable, contract wins. This strategy will work because it is also underpinned by all those "old" contracts being reworked with the new AI led products as well as the offshoring of services to reduce cost and increase profitability and FCF.

Richard Staverly said as much during his January 2025 video in that he talked about a £2.7bn business (a bit smaller now) making a margin of 6-8% would support a much higher business valuation.

So - Capita is going to get smaller to get profitable (AH always admits this) - and that's being done via AI and offshoring of large existing contracts. Contract renewals are therefore very welcome as their profitability will be underpinned by the new productised solutions.

In summary - I'm not really expecting any RNSs for any large new contract wins and I'm expecting revenue to grow via a lot of much smaller 'technology led' wins and profit to grow because of our cost cutting measures

@kipper - yes always dangerous trying to catch a falling knife over at Filtronic as it doesn't usually turn out well .... so a tight stop loss and see if we get a bounce off £1.25ish and if we don't then probably time to quickly exit!

@sheltie - thanks for the welcome. I am a bit of a resident expert on Capita but am a bit of a Filtronic novice so I will keep a watchful eye on this board.

I'm not the luckiest of share investors though and things I buy usually go down after I've purchased - so I apologise in advance for that!

However - I have immense faith in Staverly and as long as he is still invested here then I think (hope) my money will be safe!

Ha time will tell!

@kipper - I've decided to follow Staverly and have a dabble over at Filtronic as the SP is beginning to look oversold.

So - you know I said (the other day) that I'm not invested at Filtronic - ha - well I am now!

... I'm a big fan of Richard Staverly at Rockwood and already have a big investment in one of his other stock picks - Capita (CPI).

This pullback from £1.75 looks overdone so I thought I would join the party here!

@Oppa - contact centre moving to Cape Town - so that should save a chunk of National Insurance payments - and with AI cost savings - I think you can be pretty sure it will be delivering a decent return to the bottom line.

@Shorty - yes I totally agree with you comments re: Staverly and it seems it is something that AH sees as a priority and Staverly is constantly reminding them it's a priority too.

I also believe the offloading of that business is the pathway back to at least £3 this year and I don't see any reason why that's not going to happen (given they've already been working on the exit for 7 months.

At least we've figured out why the SP exploded and collapsed again. I must admit I wasn't that taken with the June update and was totally astounded by the way the share price reacted in the immediate aftermath but the Oasis purchase explains everything

It would be useful if Oasis decided to average down over the next few weeks too as they must have a book average if at least £3 a share but I'm not holding my breath.

I'm still waiting for the big prize (£7.50 minimum a share) rather than worrying too much about the short term gyrations.

I think we all agree the company is in good hands now and on a much finer footing - so it's just a matter of time.

@daltry - so to hear that this down leg of the rollercoaster (known as CPI) has pushed you from £11,000 UP to at a loss today.

I guess shares that go up quickly can go down just as quick (if not quicker) and choosing to buy shares like CPI (and Ocado for that matter) will mean buckling up for a white knuckle ride

If it's any consolation - I was £100k up about 3 weeks ago and am only about £15k up today and every chance I'll be underwater by tomorrow at the rate we have been falling this week.

However - we need to take heart from the fact that the results were in line with expectation and the turn around plan is still firmly on track too. Even the market initially gave us the THUMPS UP before this down trend kicked in.

My guess is that we have a background seller now - perhaps RWC - which is making the share price fall as fast as it rose when Oasis were buying in.

Best to ignore the wild gyrations though as neither of us are selling right now and the plan is on track.

I watched the Staverly interview again (posted in January 2025) just recently and it was nice to watch his bullishness and also hear him talking about what a good CEO and management team we have.

Adolfo just out another £154,000 of his own money in Capita this week and it's nice to see such confidence from the CEO - which was painfully lacking with JL.

I think we will rise gradually from here and I am still targeting a minimum of £3 (and more if we execute ahead of plan) by Xmas 2025.

Nothing going wrong here ....

@shorty - I was blown out of town and cancelled when I suggested we might retrace from £3.40 - but I never imagined we would see these levels again either.

It's easy to blame Ofgem - that was probably the straw that stared the avalanche - but the share had just risen too quickly on the back of the Oasis share purchase squeeze - and we haven't had any new news to sustain the rise.

I think - with a little patience - we shall see £3 again relatively quickly not least because of Yellowstone next week, Adolfo investing another £154k by paying his tax on the latest vestment, the closure of the closed mortgage business and - hopefully - some contract wins.

Disappointed it's dropped so quickly - I sold 15% of my ISA holding for a successful dabble over at Ocado but - judged by today - I sold out of Ocado too soon and bought back here too early.

Ha always easy with hindsight - still made £20,000 profit though so shouldn't be greedy! Helped me increase my ISA holding of CPI shares as i used all of this years contribution buying at 12p (old money) for the wife and myself!

More waiting again here I'm afraid!

@shorty - I doubt @aim is back in yet as she was calling £2.40 when we were up over £3 and I asked for an explanation for her logic but never got a reply.

The logic looks pretty sound now though!