Barclays Share Discussion Threads

[smurfy2001] 23/2/2017 11:44

Impairments: International card impairments rose 53% YoY, given balance growth of 24% and changes in the portfolio mix, coupled with FX movements.


Impairments in the IB also rose 8% yoy driven by single name exposures. BARC notes underlying impairment trends in the UK are stable (echoing LLOY commentary) and are seeing improved delinquency rates in the UK cards portfolio.

[smurfy2001] 23/2/2017 11:43

Africa: BAGL de-consolidation will add 75bps to CET1, but BARC will incur £895m of changes to agree the separation, and are still awaiting regulatory approval to proceed with further sell-downs, so timing of CET1 gain remains uncertain.
Non-core: Non core to close 6 months early, with £25bn in RWAs. £1bn pbt loss guide for 2017 is in-line, and will be 1H front-loaded.
Valuation: Tangible book value up 3p/share to 290p/share, leaves the shares trading on 0.8x.

[johnwise] 23/2/2017 11:43

Business

Barclays booms as it challenges Wall St giants

[smurfy2001] 23/2/2017 11:42

IB Revenues: Q4 FICC revenue in-line at £766m, up 32% YoY, driven by US flow business in credit and a strong rates performance. Equities +29% yoy, driven by strong cash and derivatives. Corporate lending revenues fell 3% on margin compression. The investment bank ROTE in 2016 was 7.3% ex the compensation and other charges. Nothing in the outlook statement as to how the IB has performed ytd.

[smurfy2001] 23/2/2017 11:42

Capital stronger: CET1 12.4% v JEFe at 11.6% (RWAs totalled £366bn v JEFe at £373bn); this included a 20bps gain from the reduction in the defined pension scheme deficit. Pillar 2A requirement is increasing 10bps in 2017, and BARC now targeting CET1 150-200bps above minimum regulatory level (vs. previous guidance of 100-150bps).

[smurfy2001] 23/2/2017 11:41

Barclays’s Q4 16 PBT was a 55% miss to consensus (see Exhibit
overleaf), though 7% ahead after adding back £395m of costs related to a “restructure of compensation awards”. Capital was stronger than expected at 12.4% vs. cons. of 11.8% on lower RWAs and a 20bps tailwind from the defined pension scheme deficit reduction. Core ROTE = 6.4% (9.4% for FY 15 ex notable items). Company guiding to £900m separation costs related to Africa, with a 75bps gain to CET1 from the regulatory deconsolidation of BAGL to come. Fixed income revenues grew 32% YoY, a result consistent with peers. International card impairments rose 53% YoY, and remain elevated for a second quarter. Non-core unit expected to close 6 months ahead with £25bn of RWAs. TNAV = 290p/share. Hard to see upgrades to consensus on the back of these results.

[johnwise] 23/2/2017 11:37

Incentive awards at Barclays inched down in 2016 despite bumper profits

[keifer derrin] 23/2/2017 11:10

Barclays' profits almost triple – but chairman admits it still faces challenges



i like this part of the article

"Alongside this year’s annual results, McFarlane raised the prospect of the dividend payout – set at 3p for 2016 and 2017 – being reconsidered once the bank’s fortunes had improved."

[portside1] 23/2/2017 11:07

very risky as these could jump any time

[astol] 23/2/2017 11:04

Profit taking but should bounce back

[sue999] 23/2/2017 10:59

Oh là là

[astol] 23/2/2017 09:34

Sue no probs taking profit I am going to move my stops from 216p up to release capital.IG contract ends mid March so will maybe close beforehand.Donal Tommy is supposed to announce some mega tax reforms must be fairly imminent.So still bullish even with the share price increase so far today

[astol] 23/2/2017 09:29

Looks share price will keep above 240p likely upgrades from analysts in tomorrow press etc so should see 250p hit by end of the week imo

[diku] 23/2/2017 09:29

Too much expectations baked in of rate rises for Goldmans & Co...if there is a spanner in the works & rates don't rise then those banks are going to reverse the gains....

[clond] 23/2/2017 09:19

Need the divi back and 20% rise will be instant from the institutions

[sue999] 23/2/2017 09:17

Sooner than that.

[r ball] 23/2/2017 09:09

£4 anyone in 2 years time after litigation tails off and interest margin rises.

[portside1] 23/2/2017 08:51

day close near 250p

[clond] 23/2/2017 08:49

Lucky call - barclays never track wall Street or anything

[sue999] 23/2/2017 08:46

I am taking profit now as I think Wall street futures are not moving up. I will buy back at 240.

[smartypants] 23/2/2017 08:32

"Barclays brings forward non-core closure as fourth quarter profits disappoint"
Are you disappointed ??

[portside1] 23/2/2017 08:23

now just going to wait till xmas

[portside1] 23/2/2017 08:22

so we are all happy today .
just reading about france the euro is killing them if they do not leave the euro they will be a worse state than Greece .funny old world is it not

[astol] 23/2/2017 08:17

Flying !!!!!

[clond] 23/2/2017 08:15

So I can buy he he he