International Personal F... Share Discussion Threads

[wad collector] 07/4/2024 10:10

Xd that 7.2p this week.

[cwa1] 27/3/2024 10:51

Joined your merry throng...it IS merry, right??...this morning at 110p.

Assuming the worst of the Polish news is out there and the rest of the business continues to perform satisfactorily it doesn't look TOO richly rated to me.

An impressive dividend whilst you wait too with an Xd of 11/4 for 7.2p alone. And an ongoing yield of ITRO 10% IF it can be maintained in the manner brokers seem to expect. Fingers crossed anyway.

Mad...or worth a punt?

[verymaryhinge] 15/3/2024 16:25

RCT2 - that's, of course, the basic difference between bonds and stock - the bond is 'only' a 4 year bet as then you get your wonga back, the stock you can (theoretically) hold forever.. depends on your definition of LT I guess.

[spangle93] 15/3/2024 15:54

Citywire write up

[rcturner2] 15/3/2024 07:10

Although I hold both the equity and IPF3, I think the equity is a better long term bet, as I think the share price will grow more then the gap between the yields and of course the dividend on the equity will grow as well.

[tole] 15/3/2024 06:33

Peel Hunt sticks with IPF after results holdup Peel Hunt has reinstated its recommendation for International Personal Finance (IFP) after problems in Poland 'overshadowed' the strength of operations.Analyst Stuart Duncan had placed the doorstep lender 'under review' after the group reported it would not publish full-year results following the Polish regulator's letter to credit card issuers detailing how existing laws and regulations relating to non-interest fees should be interpreted.Duncan has now reinstated his 'buy' recommendation with a 160p target price. The shares jumped 11.4% to 112p after the company released its full-year results, but were still down 7.4% this year.He said the results showed 'strong performance' and 'modest Poland impact', adding, 'IPF has delivered a strong operational performance, with profits well ahead of expectations.''Management estimates that profits could be reduced by up to £10m to reflect the recent letter on charging practices for cards.'This means lower profits in 2024 and Duncan said he expected to reduce estimates by 12%. 'The focus on Poland has overshadowed what was a strong, and continuing, operating performance,' he said.'After recent weakness in the shares, the price/earnings valuation stands at less than six times, while the well supported dividend yield is over 10%.'

[ttny2004] 14/3/2024 15:14

Did they answer your earlier question? For others can you explain. Working today so will have to watch this evening.

[quepassa] 14/3/2024 11:22

Very good all round with buoyant outlook.

At the inflexion point when global interest rates have peaked and forecast to go down this year, it will be a further major boost for IPF when rates start falling. This will reduce both impairments and funding costs.

And what a yield on the share especially when the results were so strong that the dividend has been significantly hiked.

all imo. dyor.
qp

[verymaryhinge] 14/3/2024 10:22

very comfortable and confident presentation. for a bond rated Ba3 by moody's / BB- by fitch that's pretty good IMO.

[tiswas] 14/3/2024 09:47

Very confident investor presentation going on right now.

[rcturner2] 14/3/2024 09:37

Stocko are positive, interesting comment here:

"For me, the bad news and the risk should be priced into the equity at this level. Although as I’ve said before, I think IPF’s debt instruments are also potentially very attractive investments and maybe even offer better risk/reward than the equity. For example, there is the 2027 retail bond (trading under the ticker IPF3 on the LSE’s retail bond platform) that pays a 12% coupon. If that could be bought around par, I might even prefer that to the equity."

[tiswas] 14/3/2024 08:23

I do not understand how that potential profit hit is so large when Poland receivables are just 5% of total. Investor call this morning so hopefully that will explain.

[rimau1] 14/3/2024 08:11

Poland max impact 10m PBT so i snuck in on the bell this morning, i need to do more research but the de-rating looks overdone

[ingham87] 14/3/2024 08:06

Congrats to those who topped up at a generous offering - solid results for a very solid business

[wad collector] 13/3/2024 21:51

Rather an odd situation, a delay of results in response to a Polish Gov announcement. Why not just publish the results and then make an RNS in response that news?
Maybe I am missing something?

[mrphil] 13/3/2024 09:28

I presume it's the delayed results causing this drip down?

[aishah] 08/3/2024 14:09

IPF3 above 100 now.

[rcturner2] 04/3/2024 22:00

Yes when you can get 7% on preference shares from rock solid companies like Aviva there is no point in buying retail bonds.

[simon2huk] 04/3/2024 21:05

I am significantly overweight IPF3 having previously split 50:50 between IPF2 and 3. I took 50% of the IPF2 redemption as cash in December and transferred the balance to IPF3.

Other retail bonds I hold are (all purchased below par):
ENQ2 - was in trouble a few years ago, now bounced back
GSHT - a retail charity bond
RGL1 - the focus of my attention as Region REIT are struggling with loan covenants. The bond has at least faired much better than the stock.
ERO1 - a complete basket case which will probably default. I sold most of my holding in various tranches over the past year or so and mentally written off the balance so anything I get back will be a bonus!

I doubt I will buy more retail bonds in the near to medium term as the risk/reward is not where it should be.

[bhafcseagull] 03/3/2024 09:09

Simon

I would be interested to know what other bonds your holding if your willing to share

Simon

[simon2huk] 01/3/2024 10:44

I buy retail bonds with a view to hold to maturity unless circumstances materially change. That way I can ignore the volatility and wide bid-offer spreads. That said, the volatility is still less than many (most?) stocks.

[verymaryhinge] 29/2/2024 15:36

retail bonds always subject to higher volatility - opportunity knocks imo

[uncle_sam] 29/2/2024 14:57

Yes. I bought into IPF3 last year at 101 and change. Current spread around 97.5 and indicated trend seriously cut into the expected "safe" return here.

[badtime] 29/2/2024 12:41

IPF3 a bit weak recently

[ttny2004] 27/2/2024 11:36

That's what I mentioned at time. Unfortunately, I was personally flying back on a long haul flight at time and didn't have a chance for a discounted top up. Well done anybody who did.