Babcock Share Discussion Threads

[alter ego] 31/1/2018 09:02

looks like BAB tarred with same brush as Capita this morning.

[unclelen] 31/1/2018 09:02

Here we go again, what next? It's endless with this share, good news counts for nothing, bad news on a different company in a marginally related area of business, wallop. I just checked brokers reports within the last few weeks on Capita, some 'buys' 350-450p; in other words totally meaningless, so no comfort in the several buys, one to 980p on BAB.

[alanr1] 30/1/2018 21:24

My average is now 6.75 after trading, still in profit but I think there is more to come!

[alanr1] 30/1/2018 21:16

I did at the end of the trading day!

[oriana2] 30/1/2018 19:08

I hope you didn't

[alanr1] 22/1/2018 22:33

Thanks for the Nimis brokers note. Just waiting for news to send the share price higher. Perhaps the trading update will help - may buy some more before the update.

[smcni1968] 19/1/2018 19:34

Trading update 6 February

[yump] 19/1/2018 15:01

The tricky bit is to work out if the sheep are heading for the cliff, or if they're just running around in circles because the one in front is running around in circles.

[yump] 19/1/2018 14:57

If you imagine that you are a hedge fund and have x number of shorts to pick, which sectors would you choose ? Construction and Retailing (the physical ones) seem a good start.

Assuming that you have to short, given that is your business, in the same way that investing is.

Those are two sectors where margin pressure is obviously at work and the idea is to make money from the share price movements, so you pick the ones that are most vulnerable, not based on their actual figures, but based on the sentiment that people adopt just on face value. A load of analysts worried reports is enough to encourage a lot of sheep to do what you want.

[watfordhornet] 19/1/2018 12:54

What do those in the no know? Level of shorts rose sharply backend of last year. Only c 5% but still higher than been for long time

[yump] 19/1/2018 10:35

Been reading about margins in construction the other day. Brings it home how bad CLLN margins were and a few others, so subject to dire consequences on any contract problems or late payments.

Some running at 2% which gives no margin for error.

BAB margin pre-tax is pretty healthy though 6+ percent.

Unfortunately 'the market' acts like a load of sheep and can't differentiate between different businesses in the same sector half the time.

[dr_smith] 19/1/2018 10:11

I see what you mean alanr1.
In absence of any other info a spurious guess would be some connection or read across from CRLN downfall. Though that could just as easily be a positive.

[alanr1] 18/1/2018 22:35

Looking good until 2pm - wonder why the share price suddenly went down - anyone know why. I think it is due to short term traders - the value investors will win out in the end imo!

[smcni1968] 16/1/2018 15:25

I am watching Bristow Group- BRS on New York- they are a main competitor on the helicopter side, look like things are improving slowly

[stevemarkus] 15/1/2018 10:07

Think Friday's rise was more likely down to the GKN bid, BAB being another fairly neglected company with an engineering bias.

[minerve] 14/1/2018 20:25

"Was the Friday rise due to the pending Carillion collapse?"

Possible, yes. I would suspect there is opportunity to pick up contracts managing military bases and possibly some related to rail networks.

[ryry0707] 14/1/2018 20:23

Was the Friday rise due to the pending Carillion collapse?

[woodhawk] 11/1/2018 11:22

If so, might have cleared an overhang? Onwards and upwards!

[penycae] 11/1/2018 10:48

Standard Life reducing?

[woodhawk] 08/1/2018 08:06

Yup just saw that - the good news keeps on coming now! Two large contract wins in 2 weeks and now a joint mega-bid!

[woodhawk] 06/1/2018 20:44

Thanks for that Matthew. Already done well with this one and looking for plenty more upside and a useful divi too. With two substantial contract wins in the last couple of weeks, BAB must be doing something right!