Babcock Share Discussion Threads

[salpara111] 27/5/2017 17:34

Solid results decent divi rise.
curious market reaction.

[yump] 25/5/2017 16:25

There's quite a long established resistance/support around this level, no way it would go straight through unless they unleashed something startling. Not that I believe in charts ;-)

[dgwinterbottom] 25/5/2017 10:51

Here we go again, a significant rise prior to the final results....... followed by the usual drift down. What is the problem here......

[stewart64] 24/5/2017 09:01

Bond prices make no sense nor does the return on bank and building societies. A certain loss over inflation if kept to maturity.But a lot of assumption at the moment that Equities are in for a correction so the fear of capital loss is restraining the rotation.

[suetballs] 23/5/2017 17:41

A very good day. Fingers crossed for an equally good day tomorrow.
Suet

[yump] 23/5/2017 16:02

There's also the often talked about possible rotation from bonds into (value & dividend & defensive) stocks that might be having an effect.

Its a slight puzzle that the market has been strong, while there are several serious general worries around: Brexit, Trump, Terrorism etc.

Those sorts of worries should have combined to drop the market imo.

Some of the big institutions have been playing down the slowing and perhaps stalling of the bond market, but they certainly would not be saying they're moving heavily to equities, until they've actually done it.

[alphabeta4] 23/5/2017 13:16

I'm inclined to agree DG, indeed I sold out last year but came back for a small trade as I thought £9 was just too cheap. Seeing as this was £10.14 when I looked last May and to achieve the same forward equates to £11 I would be happy with something approaching that and then I'll probably be out again. I see the main catalysts as a positive technical rebound, a stable/improving oil price to help Avencis and a slight uptick in organic growth from an increase in defence spending. I think BAB will struggle to go much beyond this from general govt pressure on budgets, net debt at a level which makes acquisitions tricky and lingering Scottish Independence doubts.

I guess it all comes down to price, I feel the current price is good value so my strategy is hold for the rebound and pocket a handy dividend in the meantime.

[stewart64] 23/5/2017 09:36

One of the big movers today on the FTSE, continuing the momentum. I guess (sadly) defence is in focus today.

[dgwinterbottom] 20/5/2017 17:10

Possibly so that people can take advantage of the dividend!!

[suetballs] 20/5/2017 12:05

Rising nicely into the results.
Suet

[dogwalker] 06/5/2017 21:35

I'd expect BAB to benefit from the recent local elections & ahead of the general election in the expectation of there being less pressure for an independence vote in Scotland. This - independence - will have been an ongoing threat to the business because of uncertainty thrown up by it vis-a-vis BAB's Scottish business & sites.

[yump] 05/5/2017 15:55

I was wondering about Capita, as have some chunks of money looking for dividends.

In terms of contrarian, looking back, every time I haven't been, it turns out I should have, at least on the main market.

So I did't put a load in during the 1998 banking crisis.
Did in 2003.
Didn't in 2008, except for a small 250 tracker.

So I think 'contrarian' is the word to describe the feeling, but the reality is just buying low, or at least nowhere near a top.

Think the main difficulty then is working out when to sell on a decent recovery and how long it might last.

[stewart64] 05/5/2017 09:47

Well Yump I did exactly what you infer folk should be doing and swapped trendy Taylor Wimpey property shares for bombed out Bab. Leasehold scandal was worrying me. Time will tell whether this contrarian move was foolish on my part.

Also bought into Capita the previous week on the 560 dip for the same reasons, that one has paid off well so far.

Also think Woodford is due a good spell as are those two shares.

[yump] 04/5/2017 15:32

Well perhaps housing, except that a load of people flood into that market when its trendy and near the top, just like shares.

[dogwalker] 28/4/2017 10:29

If people really didn't buy what they don't understand there wouldn't be much supporting the market, I'd suggest, except maybe ...erhm, housing ?

[dgwinterbottom] 22/4/2017 18:36

Suet - Totally agree with your comments re sentiment. It appears that when the share price moves up in the morning on any particular day it usually falls back to a fraction of that days gain or even into -ve territory