Bank Of Ireland Share Discussion Threads

[red army] 24/7/2014 19:21

Ffitch upgrades European banks

[docdave2] 24/7/2014 16:43

It's funny how America IRE jumps just a little and then in Europe they just get totally carried away and ramp and ramp it up to highs of the highs so the poor innocent investor gets dragged in and then burned!!!! It will be down tomorrow!!

[hvs] 24/7/2014 16:29

BANKRUPT Bank in BANKRUPT COUNTRY.

[kemorkid] 24/7/2014 16:25

People hoping for good interims on Aug 1st

[county kilburn] 24/7/2014 11:27

Yahòòooòooooooo

[4spiel] 18/7/2014 12:42

Best to just hold on at present. But if you are prudent don't keep much here. If like me you bought at 10-12p you are in credit. Can't complain.

[red army] 18/7/2014 12:34

Look like the capital raise could be 20c

[lbo] 18/7/2014 12:08

if banks were to measure all financial instruments at fair value, the most negatively impacted would be Bank of Ireland (shareholders' equity more than wiped out)

[kemorkid] 03/7/2014 10:13

Any views on this would be appreciated.

[county kilburn] 30/6/2014 21:23

Taking a battering of late.

[cricklewood] 16/6/2014 18:08

WTF

Is going on here .

[red army] 11/6/2014 10:36

Why not wait for the rights issue :-)

[boldtrader] 11/6/2014 09:42

Upside to 32c then. Maybe,maybe not. Pondering right now,buy more or sell!! Cheers.

[cricklewood] 10/6/2014 22:35

"Longer term, the removal of Wilbur Ross from BoI's share register may be a positive for the bank, reducing the focus and reliance of one large high-profile investor as the group returns to normalised operating conditions," Merrion Stockbrokers analyst Ciaran Callaghan wrote in a note.



So, is Bank of Ireland fairly valued at its current share price (or the one achieved by Mr Ross)? There are many ways to value any asset but they all come back to one basic principle: how much money (profit) will be made? The exploration of this simple statement has filled many libraries and sustained many an academic and hedge fund career. Peering into the future, particularly of the far-flung variety - opens up all sorts of possibilities for serious analysis and snake oil salesmen. The investment world is full of both: the key skill is the ability to distinguish between the two.

One of the reasons why we observe so much focus on simple accounting ratios - like the humble price-to-earnings (PE) ratio - is that they summarise an awful lot of work (including all of that guessing about future profits). And, of course, they are simple . So, when somebody says that the correct PE ratio for a bank is, say, 15, we need to figure out, first, whether they have done the weeks of work necessary to generate such a conclusion, second, whether that work can be trusted or, third, whether they have just thought of a number. Either way, it can look the same.

Like a lot of banks, Bank of Ireland doesn't have any earnings to put into that simple PE ratio. By the end of 2014 we hope that this will have changed but, for now, we have to use a slightly different method (but one that is equivalent). We need to figure out what investors, like the Irish Government, are charging for supplying equity capital to the bank. We then need to estimate the likely returns that the bank is likely to generate for those investors. There is then a very simple formula that links these costs and returns on equity capital that tell us what the market value of the bank should be.

[cruiser70] 10/6/2014 18:43

BOI went from red to green on NYSE so far

[lbo] 10/6/2014 11:19

Would Ross dumping be anything to do with the fact that Lloyd's Priced at below 1x book value and bank of Ireland trading at nearly 2x book value!

[razr] 10/6/2014 07:30

How is he going to sell between 26-27c? Surely with that volume of shares sold being flagged in advance the price has to be depressed for a while?

[ant15] 10/6/2014 07:22

Cruiser I do believe rough waters are ahead here and will watch with interest.

[cruiser70] 10/6/2014 01:27

Water gonna get rough here for a bit hxxp://www.independent.ie/business/irish/us-billionaire-wilbur-ross-is-selling-his-entire-stake-in-bank-of-ireland-30340240.html

[cricklewood] 27/5/2014 08:09

Mark

That link does not work ?