Aldermore Share Discussion Threads

[mazarin] 02/3/2017 15:05

Were investors led to believe that dividends would commence 2017?

[che7win] 02/3/2017 12:18

RBC Capital Markets have a target price increased by 30 pence to 280 pence.

[future financier] 02/3/2017 12:03

By the way - if you want to see evidence of their incompetence - open the link on their website to their results at in Chrome and you will see that the tab is labelled Ruffler Bank plc - a name that has not existed for 4 years!!!!

[future financier] 02/3/2017 12:00

My moles in Peterborough and Wilmslow tell me that ALD are busy stripping out costs in a manner that will enhance earnings short term but could be negative long term. Could well be that Monks wants to sell the business in the next 18 months on the back of unsustainable wonderful looking results - and then retire to the Caribbean.

So long as it works for us PIs - then I for one won't complain.

Shame about the tax charge - the 8% surcharge is truly painful!

[che7win] 02/3/2017 11:35

Ok, no opinions then.

On broker updates:

Date Broker Recommendation Price Old target price New target price Notes
02 Mar 17 Numis Under Review 246.15 - - Under Review
02 Mar 17 Panmure Gordon Buy 246.15 285.00 285.00 Reiterates
02 Mar 17 Peel Hunt Hold 246.15 205.00 - Reiterates
02 Mar 17 Shore Capital Buy 246.15 - - Reiterates
02 Mar 17 Liberum Capital Buy 246.15 245.00 245.00 Reiterates

[che7win] 02/3/2017 08:17

Any opinion on the costs in the outlook statement?

[steptoes yard] 02/3/2017 07:57

If all companies could deliver shareholder return at 18%. The Brexit dip was a real opportunity

[masurenguy] 02/3/2017 07:37

2016 Results

Underlying profit before tax(1) up 34% to £133m (2015: £99m)

-- Reported profit before tax increased by 36% to GBP129m (2015: £95m)
-- Underlying cost/income ratio(1) further improved to 45% (2015: 51%) demonstrating scale benefits and cost control

Delivering a high-teens return on equity

-- Underlying return on equity(1) of 18.0% (2015: 20.6%)
-- Basic earnings per share grew by 11% to 25.2p (2015: 22.7p) Continued strong, profitable organic growth and robust credit control across the diversified portfolio
-- Excellent loan origination; up by 24% to £3.2bn (2015: £2.6bn)
-- Loan growth of 22% to £7.5bn (31 December 2015: £6.1bn)
-- Asset Finance +17%; SME Commercial Mortgages +12%; Buy-to-Let +38%; Residential Mortgages +7%
-- Strong net interest margin at 3.5% (2015: 3.6%) -- Continued robust credit performance; cost of risk at 23bps (2015: 19bps) in line with expectations

Strong capital position maintained

- Total capital ratio of 15.6% (31 December 2015: 15.1%)
- CET1 capital ratio of 11.5%, up from 11.0% at H1 2016 (31 December 2015: 11.8%)
- Tangible book value per share 21% to 153p (31 December 2015: 126p) Continuing to delight our customers
- Net Promoter Score increased 14 points to +43 from +29 in 2015
- 94% of customers who reviewed Aldermore online would recommend us
- Awards in the year include 'Leasing and Asset Finance Provider of the Year' (NACFB), 'Best Specialist Mortgage Lender' (Your Mortgage) and 'Best Business Savings Provider' (Moneynet)

Phillip Monks OBE, Chief Executive Officer, commented:"2016 was another remarkable year for the Group. We've continued our track record of delivering strong growth, achieving record underlying profitability of £133m before tax, up 34%. This has been achieved whilst maintaining a healthy net interest margin of 3.5%, and by using the scalability of our operations to become even more efficient. More than 220,000 businesses and individuals now choose Aldermore for their banking needs and in 2016 the amount we lent to customers increased by £1.3bn to £7.5bn, driven by record levels of organic origination across both our Mortgage and Business Finance divisions. Our straightforward savings business grew by 16%, with around 30% of balances coming from businesses. Growth has been achieved across our diversified portfolio whilst maintaining a robust approach to risk management. The Group maintains a strong capital position and, as planned at IPO, the Bank reached the key milestone of becoming capital self-sufficient in the second half of 2016. We generated an underlying return for our shareholders of 18% in 2016 and we remain focused on continuing to deliver returns around this level over the medium term. We have made a strong start to 2017, continuing to balance growth, risk and returns across the Group."

[zeus19] 02/3/2017 07:11

Great results

[igoe104] 01/3/2017 16:51

Good write up on Aldermore here.

[igoe104] 01/3/2017 16:47

Tipped here.

[steptoes yard] 19/2/2017 16:54

Royal Bank of Scotland will be forced to supply funding to 'challenger' banks and allow access to its branches to help increase competition for SME business banking as part of a new deal by the Treasury with European regulators that means the bank will not have to sell off its 300-branch Williams & Glyn business.

As RBS failed to agree a deal to sell the branches by the end of 2017, which the European Union demanded as part of the bank's £46bn state bailout in 2008, the government rushed to obtain a new agreement to allow RBS to meet its remaining State Aid obligations.

On Friday after 1900 RBS, which next week is forecast to rack up ninth consecutive year of annual losses, announced that it has taken a new £750m provision within its 2016 results as a consequence of the new proposal.

As part of the Treasury's proposed alternative plan, RBS will create a fund, administered by an independent body, to be accessed by eligible challenger banks to increase their business banking capabilities.

RBS will also deliver funding for eligible challenger banks to help them incentivise SMEs to switch their accounts fromRBS paid in the form of 'dowries' to eligible challenger banks.

To support these measures, RBS will make its branch network open to business customers of eligible challenger banks for cash and cheque handling.

Finally, the 73%-state owned bank will also set up an independent fund to invest in fintech "to support the business banking of the future".

EC competition commissioner Margrethe Vestager will ask commissioners to look at the plans "in the coming weeks".

RBS chief executive Ross McEwan said: "Today's proposal would provide a path to increased competition in the SME market place. If agreed it would deliver an outcome on our EC State Aid divestment obligations more quickly and with more certainty than undertaking a difficult and complex sale and would provide much needed certainty for customers and staff."

Source:CNBC/BBC/Sharecast

[cc2014] 16/2/2017 22:13

If you think this board is quiet go take a look at SHAW. I think I must be the only PI on SHAW. It's doubled in price just like ALD and it seems no-one's interested

[steptoes yard] 15/2/2017 12:20

Why, what did he/she do..or not do?

[future financier] 15/2/2017 11:42

Aldermore should benefit from the recently announced "loss" of their head of mortgages. Maybe some sanity will be regained - just a pity they lost so many good people before they lost the bad!

[steptoes yard] 13/2/2017 11:10

Shhhh ! Quiet boards are the best

Been swing trading these between 8.5 and 9.9 proce earnings for a while now. Will need to reset when the FY is released in March

[maurillac] 13/2/2017 10:13

very quiet here for a share that has been so strong and looking like heading to £3. quiet can be good eh ...
happy holding here
m

[steptoes yard] 01/2/2017 10:44

Looks comfortable with that, OSB had a 420 nudge today as well. 270p is still 2017 eps at 10.3 yrs. Doable.

[che7win] 01/2/2017 10:11

Barclays 270p price target released today for ALD

[isaready] 16/1/2017 15:38

like anything, its a good trade. We may get some shorts again when article 50 is started. It won't make any difference in the short term for anyone, but eventually things will change. yes buy on dips.

[steptoes yard] 10/1/2017 13:08

buy on the dips in the uptrend, yes

results out 2nd Mar

[che7win] 10/1/2017 12:34

Couldn't resist buying some on the low today.

[che7win] 22/12/2016 12:23

Scan, I've bought numerous times today in OSB, intriguing why it fell. It's a low volume day I guess, it's following the chart, from here is should play catch up with ALD and SHAW.