Banco Santander Share Discussion Threads

[leebong] 26/8/2014 16:10

Banco Santander-Chile (BSAC - Snapshot Report) has been on a bit of
a cold streak lately, but there might be light at the end of the
tunnel for this overlooked stock. And for technical investors there
is some hope when looking at BSAC given that, according to its RSI
reading of 22.36, it is now in oversold territory.

What is RSI?

RSI stands for ‘Relative Strength Index’ and it is a
popular indicator used by technically focused investors. It
compares the average of gains in days that closed up to the average
of losses in days that closed down; readings above 70 suggest an
asset is overbought, while an RSI below 30 suggests undervalued
conditions are present.

Other Factors

Yet, BSAC’s low RSI value isn’t the only reason to have
some optimism over a coming turnaround, as there has been plenty of
positive earnings estimate revision activity as of late. This is
especially true when investors take a deep dive into some of these
estimate revision stats and recent changes to Banco
Santander-Chile’s earnings consensus.

Over the past two months, investors have seen 2 earnings estimate
revisions move higher, compared with none lower, at least when
looking at the key current year time frame. And the consensus
estimate for BSAC has also been on an upward trend over the past 60
days, as estimates have risen from $1.91/share two months ago to
just $2.01/share right now.

If this wasn’t enough, Banco Santander-Chile also has a Zacks
Rank #2 (Buy) which puts it into rare company among its peers. So,
given all of these factors, investors may want to consider getting
in on this stock now (or holding on), as there are some favorable
trends that could bubble up for this stock before long.

hTTp://www.zacks.com/stock/news/145130/banco-santander-chile-bsac-is-oversold-can-it-recover

[its the oxman] 26/8/2014 12:47

Unusually strong - up 3% at mo.

[leebong] 12/8/2014 08:44

Here is an article well worth reading:

Conclusion

Santander is a solid choice for dividend reinvestment and those looking for improving prospects over time. It is especially attractive in a tax-advantaged account where you take the scrip dividend.

[oniabsta] 08/8/2014 20:05

Thanks guys. still have not rec'd mine, will contact broker on monday.

[jimjones1] 08/8/2014 16:41

Just wanted to say a HUGE thank you to everyone who has helped me out so far.

This will be my final post (plea)! I just need a few more complete questionnaires so if you wish to take part please follow the link below. It will only take 2-3 minutes of your time.



Just in case you didn't catch my post earlier this week and wonder what this is all about, I am doing a master's thesis on communications within online financial communities. This questionnaire will be a source of my data.

Of course I am more than willing to share the results of the study with anyone who is interested.

Thanks again for your help.



P.S. If you have any questions, please feel free to contact me at jaw73(at)aber.ac.uk.

I confirm that all responses remain strictly ANONYMOUS and that no personal information with be associated with your responses. This study is purely for research purposes with no commercial gain to myself (unfortunately!)

[music1] 08/8/2014 16:40

Cash dividend received late 1st August but dividend as shares still being processed, the shares appeared in my account today but I cannot trade them yet.
Presumably this will change in the next day or so.

[pvb] 08/8/2014 16:31

Anyone had their divi yet?

Yes, cash - 1 August.

[oniabsta] 08/8/2014 16:27

was that today?

[cwa1] 08/8/2014 16:13

received in my Selftrade account FWIW.

[oniabsta] 08/8/2014 14:51

Anyone had their divi yet?
thought it was due a week ago.

[leebong] 08/8/2014 12:39

Events

Nov 4, 2014
Q3 2014 Banco Santander SA Earnings Release Add to calendar

Nov 4, 2014
Q3 2014 Banco Santander SA Earnings Conference Call Add to calendar

Sep 15, 2014
Banco Santander SA Extraordinary Shareholders Meeting - 8:30AM GMT+1 - Add to calendar

Sep 14, 2014
Banco Santander SA Extraordinary Shareholders Meeting - 8:30AM GMT+1 - Add to calendar

[dendria] 03/8/2014 13:28

The UK IPO looks a long way off:

Comment from Javier Marín Romano CEO '...with respect to the U.K. IPO, well, it's not on the table right now so it's -- we will do the IPO of the U.K. whenever we think it's appropriate, but it's not on the table right now, so you cannot expect that either for this year or for 2015, at least'.

[cwa1] 31/7/2014 08:23

Thanks for that link dendria

[dendria] 31/7/2014 07:52

Bloomberg comment on Q2 results:

'Banco Santander Quarterly Profit Rises on U.K., Spain Recovery'

[leebong] 24/7/2014 12:47

How Strong Are Banco Santander SA's Dividends?
By Alan Oscroft - Thursday, 24 July, 2014 | See also: BNCSAN


Santander Shares in Banco Santander (LSE: BNC) (NYSE: SAN.US) have soared by more than 30% over the past 12 months to 587p, while the FTSE 100 has struggled to manage a 3% rise.

And that's in a year when the bank's dividend is expected to be cut by a couple of percent over the next two years, and after the shares finished 2013 on a lofty P/E of 17. So what gives?

To answer that, we need to look at Santander's historical dividends and at what lay behind them.

Enormous yield
In 2013 the bank provided shareholders with a whopping 8.8% dividend yield, and its value exceeded Santander's actual earnings by 50%! Still, at least earnings did rise that year. 2012 concluded four years of declining earnings, but still brought a dividend yield of 9.7% - the dividend amounted to 2.6 times earnings that year!

Santander was able to get away with such high dividends because the majority of shareholders have traditionally elected to take its scrip offering instead of cash. So the bank doesn't actually have to hand over any cash, it just issues more shares to take care of it.

Of course, there's no such thing as a free dividend, and that practice leads to ever more dilution of each subsequent year's earnings.

Scaling back
Such high yields do also attract more and more people wanting actual cash, so something has to be done. To that end, with earnings forecast to rise strongly over the next two years and the dividend expected to be cut back gradually, we should see Santander moving towards a more conventional and sustainable dividend model - and by December 2015 the dividend should even be covered by earnings for the first time since 2010.

We have a current consensus for a 23% rise in earnings per share (EPS) for this year followed by a further 20% for 2015. That should provide dividend cover of 1.2 times by 2015 - not enough, but much better - and it would drop the P/E from last year's 17 to 12 this year and around 10 the year after.

The yields will still be high, with 7.6% and 6.8% penciled in for 2014 and 2015 respectively, but I'd expect it to drop to the 4-5% range within five years.

Still attractive
Santander is still a bank that is capable of rewarding shareholders well, despite its quirky dividend policy of the past few years. It's well worth remembering what the bank said at the time of its 2013 annual results...

"The total shareholder return, based on the share price performance plus the dividend, was 43.5% between the beginning of 2008 and the end of 2013, compared with an average 17.4% for European banks."

[oniabsta] 19/7/2014 11:24

Liontrust Global Income is the highest-yielding fund in the IMA global equity income sector at 4.6%, returning 30.2% over the past three years, compared with 28% for the sector.
Rebecca Jones asks co-manager Samantha Gleave which shares she is buying, holding and selling.

Buy - Banco Santander

The purchase of Spanish bank Banco Santander (BNC) marks a new chapter for Liontrust's Global Income fund, which prior to its switch into the IMA global equity income sector last August had no exposure to banks and only 17% of its portfolio invested outside the UK.

However, since the move Gleave and co-manager James Inglis-Jones have been casting their net wider, increasing their non-UK holdings to 45% and upping their exposure to the financial sector.

Despite the previous exclusion of banks from the fund, Gleave claims that Santander fulfils the fund's two most important investment criteria: strong cash return on capital and an attractive free cash flow yield - a measure of how much "free cash" (after capital expenditures) a company is expected to earn per share.

Gleave says that Santander, like other banks in the region, is also showing some "tentative signs of improvement" in terms of strengthening its capital base and selling down bad loans.

"We bought Banco Santander because the dividend yield, currently over 8%, is attractive for the portfolio. The company is also engaged in quite a significant cost savings plan; it's targeting €1.5 billion (£1.2 billion) of savings by 2016 and half of that is to be achieved by the end of this year," she says.

[leebong] 16/7/2014 12:45

I have to report that I have never been paid a dividend this fast. The script shares have been paid into my account this morning at a divi value of 11.87p for each share that I hold. Rock on Banco!!. Very pleased indeed.

Here's an interesting article about growth at the bank:

[leebong] 15/7/2014 20:48

Banco Santander, S.A., (NYSE:SAN) reported that it will open three new branches in Philadelphia to support growth in the region. Expansion of the branch network is part of a $200 million investment program in infrastructure to enhance client experience, which Santander, one of the largest banks in the United States by deposits, announced last October.

[big7ime] 15/7/2014 10:41

Some interesting views of Santander dividend out there:

Banco Santander: Is The 7% Dividend Sustainable?
Dec. 3, 2013 11:36 AM ET | About: Banco Santander S.A. (SAN)
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. (More...)
With investors still struggling to generate income in their portfolios thanks to the government's easy money policy, some are turning to equity dividends to fill in the gaps. Utilities and financials are often popular choices for income where a 3-4% dividend yield is not uncommon. But take a look at Banco Santander's (SAN) current 7.3% yield and your snap reaction might be that it's a little too good to be true.

Banco Santander is one of the largest banks in the Eurozone and does most of its business in Europe and Latin America. Like many financial companies, Santander saw its stock price maintain a steady upward trajectory until the global financial crisis and weakness in the European economy began to take its toll. Since Santander derives most of its revenue and earnings from the retail sector it was hit particularly hard as millions of dollars of mortgage loans went bad. As the Eurozone housing market begins to recover Santander could be positioned to rebound nicely.

With regard to the dividend, part of the reason that we see such a significant yield is due to the stock price decline. The stock hit a high of $22 around the beginning of 2008 but thanks to the mortgage crisis it dropped all the way to its current level of around $9 per share. During that time, Santander has largely been maintaining or raising its dividend, pushing the yield up to its current level.

In assessing the sustainability of the current dividend, it's worth noting that a dividend cut is not unprecedented for Santander. As the mortgage market started melting down, Santander cut its dividend from $0.36 per share down to $0.15 in order to preserve cash for ongoing operations. But is a similar situation ahead for the bank?

Looking at the numbers would suggest that the answer is yes. 2013 earnings are expected to come in somewhere around $0.60 per share. When compared to the current annual dividend payout of $0.64 per share you could conclude that the dividend cannot be maintained with current earnings. But that may not be the case.

Somewhere between 80-90% of Santander shareholders elect to receive scrip dividends instead of cash dividends. This means that most shareholders are issued more shares of Santander stock instead of cash. The primary advantage to shareholders is that a scrip dividend will not be subject to the 21% Spanish withholding tax that applies to cash dividends. The primary advantage to Santander is that it allows the company to maintain its cash position and it's this advantage that allows the company to pay out a dividend that exceeds what it's able to earn.

There is a downside to this strategy however. Issuing a scrip dividend dilutes the ownership share of all shareholders making everybody's stake worth incrementally less over time. As shares drop in value due to the scrip Santander needs something to replace the lost value of diluted shares and it's currently counting on future growth to fill in that gap.

[big7ime] 15/7/2014 10:34

And then Bulgaria.

Bulgaria urges account holders to keep their calm after bank runs
Government officials in Bulgaria have called on citizens not to panic, following runs on two crucial banks in the country last week. But many said they doubted the Balkan country's financial stability.

Bank runs rattle Bulgaria
The European Union on Monday approved a request by Bulgarian authorities to extend an emergency credit line of 3.3-billion-lev (2.36-billion-dollar) to the country's banks.
"The Commission concluded that the state aid implied by the provision of the credit line is proportionate and commensurate with the need to ensure sufficient liquidity in the banking system in the particular circumstances," the EU executive said in a statement.
Bulgarian leaders had appealed to citizens not to withdraw all their savings as banks in the EU's poorest member state reopened Monday. The call came just days after runs on two major lenders, raising widespread fears that the Balkan nation's financial stability was in jeopardy.
Massive withdrawals of deposits at Corporate Commercial Bank and First Investment Bank posed the biggest challenge for Bulgaria in nearly two decades.
The central bank said there had been a deliberate and systematic attempt to destabilize the banking system and vowed to take all measures needed to protect people's savings.
Keep your calm!
Law enforcement officials launched a criminal investigation, and five people were arrested on suspicion of spreading false information about the health of banks by sending random emails and mobile phone messages to customers, prompting them to withdraw their money immediately.
"There's no cause or reason to give way to panic," Bulgaria's President Rosen Plevneliev said. "There's no banking crisis, there's a crisis of trust and there's a criminal attack," he maintained.
He added that the fixed euro-lev exchange rate would remain unchanged until the country's accession to the single-currency eurozone. "The money of private citizens and firms is safe," Plevneliev insisted.
The bank runs coincided with a period of political turmoil in the country. Prime Minister Plamen Oresharski's minority cabinet had been dogged by charges of graft and street protests and said it would soon resign, agreeing to a snap parliamentary election on October 5.

[leebong] 15/7/2014 10:20

Today I am detailing why I consider Banco Santander (LSE: BNC) (NYSE: SAN.US) to be a great value selection selection for earnings as well as income investors.
Growth at a great price
Banco Santander is, of course, a favoured pick with those seeking to bump up their income streams, with one of the most lucrative dividend policies currently on the market. Despite a backcloth of consistent bottom-line pressure, the bank has maintained its policy of offering above-average yields.
In a bid to create a more sustainable dividend programme in line with earnings, however, the business is anticipated to cut the payout to 56.9 cents this year and again, to 50.5 cents, in 2015. Still, these payments produce whopping yields of 7.6% and 6.8% respectively, trampling a forward average of 3% for the rest of the banking sector.
And in my opinion, the bank can also be considered an ultra-savvy pick for growth investors. After years of consistent earnings pressure
Santander
following the 2008/2009 banking crisis, the banking leviathan finally managed to post earnings growth in 2013 mainly as a result of lower write-downs in the beleaguered regions of Southern Europe.
Following last year's stunning 74% earnings advance, City analysts expect the Spanish institution to deliver bubbly growth of 23% and 20% in 2014 and 2015 correspondingly.
These readings leave Santander trading on a P/E multiple of 15 for this year, bang on the watermark that represents reasonable value for money and which also matches the prospective average for the complete banking sector. And next year's further improvement drives this figure down to just 12.5.

And the firm's miserly price to earnings to growth (PEG) numbers for the medium term rubber stamp the bank's position as a bargain earnings pick -- for both 2014 and 2015 Santander carries a readout of 0.6, comfortably below a figure of 1 which is generally considered tremendous value.

The bank has excellent exposure to emerging markets, particularly those of Latin America -- indeed, the firm announced plans to purchase the 25% stake in its Santander Brasil division currently listed on the stock exchange for ?4.69bn in May, underlining its confidence in the region.

With conditions in Europe also on the mend, I believe that Santander's pan-global presence makes it a solid contender for those seeking long-term earnings growth.

[big7ime] 15/7/2014 10:14

Problems in Portugal won't go away

[acamas] 15/7/2014 10:03

Was is not a mix up in currencies 20 American cents as opposed to .15 euros. Same difference just the figures miss read

[big7ime] 15/7/2014 09:58

There is no special, have you seen an RNS? a bad US site with incorrect info I think. The US sites seem to have the exdiv dates incorrect too.