Aldermore Share Discussion Threads

[tini5] 19/8/2016 17:13

Perhaps Morgan Stanley are continuing to offload?

[mdw1] 19/8/2016 17:03

I agree with you 100% CC; BTL is only part of their lending and the BTL market remains strong even after Brexit. The current share is ridiculously cheap and other lenders will be running their slide rule over the business; as I have said previously Aldermore must be a bid target at these depressed levels.

[cc2014] 19/8/2016 16:46

I think the world has lost the plot on this one. Absolutely completely lost it. This is my view. Even if times get a bit tough this looks an absolute bargain on the basis of fundamentals

Net asset value per share as latest interims £1.371. Making £60m every half year so adding say 12p to this every six months (using 70% of £60m to allow for corp tax etc. etc.)

Currently share price is £1.32, so trading at less than NAV per share.

Implies a complete and utter meltdown of it's loan book (and by implication the assets secured against the loans)

Comments from interims say Brexit won't have an impact and further comments in press say challenger banks my benefit from Brexit as they are currently subject to same capital requirements as large banks which is unfair as they don't have the same risk level related to complex derivatives. Carney is thought to be sympathetic to this and ready to act within next 3 months (not sure how he actually does that until we leave?)

No dividends planned until 2017 so that may result in lack of interest from funds and it's about to be relegated from FTSE250 unless the share price can reach about £1.55 by the end of the month

[nick rubens] 19/8/2016 15:14

Ok cheers cancun tango.

I had forgoten about that. Makes sense of the fall and doesn't look quite a bargain then.

I think ALD may have to look for different lending opps.

I'm going to read the BofE link now too. Thanks again.

[tini5] 19/8/2016 14:56

All seems a bit overdone to me.

[cancun tango] 19/8/2016 14:48

Nick

This from Nationwide's accounts might give a pointer:

'Following the announcement of tax changes relating to BTL income, the Group has made changes to its affordability assessment to ensure borrowing for customers remains affordable. An expected contraction in the BTL market, combined with our underwriting changes, is likely to lead to lower levels of BTL new lending for the remainder of the year.'

hxxp://www.nationwide.co.uk/~/media/MainSite/documents/about/corporate-information/results-and-accounts/Interim_Management_Statement_June_2016.pdf

There's also BoE's PRA poking their nose in:

hxxp://www.bankofengland.co.uk/pra/Documents/publications/cp/2016/cp1116.pdf

[nick rubens] 19/8/2016 14:32

Whats the worry in the market here? A collapse in but to let loans and subsequent defaults ahead? With rates so low isn't that unlikely?

[mdw1] 17/8/2016 20:45

Not necessarily; a lot can happen in 2 weeks......

[return_of_the_apeman] 17/8/2016 17:52

Sadly this looks like dropping out of the ftse250 which will mean some compulsory selling :-(

[cancun tango] 17/8/2016 14:33

Aldermore to halt bridging lending on 31 August

hxxp://www.mortgagesolutions.co.uk/news/2016/08/17/aldermore-pull-bridging-proposition-31-august/

[johnv] 17/8/2016 11:28

Curtis bank CBP taking off now

[mdw1] 17/8/2016 10:58

I can see Aldermore becoming a bid target at these levels with consolidation in the sector increasing.

[masurenguy] 17/8/2016 10:54

Morgan Stanley have just reduced their shareholding by 12%, from 27.3m to 24.0m.

[tini5] 17/8/2016 10:25

Aren't they increasing? Went from 6 to 7% or am I misinterpreting the RNSs over the last month or two?

[cc2014] 17/8/2016 10:04

No surprise to find out Morgan Stanley have dumped 3m shares recently as they picked them up much lower after Brexit.

Hopefully they are done now.

[isaready] 16/8/2016 18:32

haha

I have one rule, I started investing in shares where I use the products, if its a good deal for me, hey, it must be a good deal for others, so traction upwards will happen.


Classic examples are telecoms like BT. I joined them in 2010, so got some shares at the same time. It's paid for itself.

You use the bank, maybe you invest a little too.

[future financier] 16/8/2016 16:28

MRPHIL - so invest your cash deposit in the shares instead then - that would be good for all of us!

[mrphil] 16/8/2016 16:08

Ummm, spoke too soon the other day, they are reducing the rate on our business savings account from 1.09% to 0.85% but should be good for profitability and share price!

[isaready] 16/8/2016 15:55

missed that spike to 1.60. Maybe they are spiking it low and high to do a few shakes before the next move up.

[tini5] 16/8/2016 13:56

Hold reiterated by Deutsche Bank hxxp://www.consumereagle.com/aldermore-group-plc-lonald-hold-rating-reiterated-at-deutsche-bank/133266/

[cc2014] 16/8/2016 07:53

Next ftse review 31st August.

The market has moved up in the last week, but ALD hasn't moved with it proportionally.

ALD now needs 156 to stay in FTSE 250 and SHAW needs 214

[mask] 15/8/2016 13:30

Hi everyone! Sorry to ask on here but does anyone know to stop those annoying ads popping up on advfn?

[tyranosaurus] 15/8/2016 13:22

Will Brexit ever happen ?
The vote was non-binding.
PM was/is against it and appears to be doing nothing to get it moving.

[tini5] 15/8/2016 09:11

It's a steal at these prices. Regret I have no cash free at the moment; anything I had is tied up in Entertainment One. Hopefully though that'll be freed up in due course :-)