Barclays Share Discussion Threads

[portside1] 05/3/2015 09:21

I lost over 100k in 08 still hold 45000
and in my view the divs and bonuses should have been stopped till
all issues were sorted out for good not drag on for years not knowing
how long the issues were going to go on ,
I am now thinking I will be dead before the issues are done and dusted

I want to see 350p at least but when is the question will we get free
o the issues at the bank 8 years down the road and still no end in site

[portside1] 05/3/2015 09:14

Britain’s banking sector has a problem: it is destroying more value than it is creating. On the face of it, Barclays is suffering from the same ailment. Its cost of equity is relatively high at 10.5pc or so, but the returns it can generate on said capital are just 9.2pc for its core bank, a measure that already excludes the underperforming operations that chief executive Antony Jenkins has pledged to wind down.


In other words, the bank is consuming more resources than it is generating, which is unsustainable: nobody will want to go on providing capital to the bank on those terms forever.


But a more careful analysis shows that Barclays’ predicament is both better and worse than the top-line figure would suggest. The firm is made up of four components: two are doing very well, one is doing fine and one is performing very poorly. Personal and corporate banking had a return on equity of 11.9pc last year; credit cards boasted a return of 16pc and Africa notched up 9.3pc. But the investment bank’s return on equity was just 2.7pc, which is disastrously low.


As Sandy Chen, an analyst at Cenkos, put it, the only plausible way that returns on the investment bank will rise sufficiently to match or beat its cost of capital will be if the division is subjected to another round of massive cuts. A smaller investment bank may be able to pay for itself, but a biggish one won’t be able to. Jenkins probably needs to go even

[blackberry122] 05/3/2015 08:34

Minky, regarding the bonuses, it's complicated, you should read the qa to get your questions answered.

[diku] 05/3/2015 08:10

Bonus is must priority!!...to keep the staff...in other words bonus is used as a ransom weapon!!....

[minky] 05/3/2015 08:01

If they wanted the required capital ratios first, why did they not reduce the excessive bonuses as it would have been achieved much quicker.

[blackberry122] 05/3/2015 07:25

Interesting read of the qa transcript with the results on the Barc website. Seemed very positive and they have a good handle on how to get where they are targeting. Regarding the dividend, they are determined to get to the capital ratio levels required first, which should happen within the year, then they have more flexibility to use capital for other things including dividends. Hence why they kept the dividend the same now.

Also interesting there was no question about the dark pool situation. Seems old news.

[diku] 04/3/2015 21:23

Barclays recommends Barc as a buy!!!....

04-Mar-15 Morgan Stanley Overweight - 315.00 Reiteration
04-Mar-15 Societe Generale Buy - 320.00 Reiteration
04-Mar-15 Numis Securities Buy 315.00 315.00 Reiteration
04-Mar-15 UBS Buy 305.00 295.00 Reiteration
04-Mar-15 Deutsche Buy 295.00 300.00 Reiteration
03-Mar-15 numis Buy - 315.00 Reiteration
03-Mar-15 Shore Capital Buy - - Reiteration
03-Mar-15 Barclays Buy - 315.00 Reiteration
03-Mar-15 Investec Securities Buy - 295.00 Reiteration

[smurfy2001] 04/3/2015 21:05

We need to break 270!!

[fjgooner] 04/3/2015 20:38

Translated by Dr Spooner?

[smartypants] 04/3/2015 20:24

Barclays is still struggling to turn the page on the crisis - Over Europe

Today: Wednesday 4 March 2015

Barclays (BARC.LN) likes to recall that its activities are now organized around two poles: a strategic division whose performance improves, and a bad bank that the brakes.

One of the British bank skilful steering allowed to showcase healthy strategic activities despite the accumulation of restructuring costs and expenses inherited from the bad behavior of the past. Moreover, the non-strategic part also seems less toxic, with a drop of bad mortgages and corporate debt.

But looking closer, perhaps investors should not be lulled by the reassuring information.

Loads that will take time to be absorbed

On strategic activities, are the cost reductions that are responsible for improving yields. Excluding charges related to these cost savings, return on equity rates are almost back to pre-crisis levels. That of Barclaycard, business credit cards, would be 25%, while the retail banking business and commercial banking would be close to 19%.

Now these restructuring charges will take time to resolve. They were even in 2014, 42% higher than in 2013.

The investment bank, meanwhile, continues to lag: capital rate of return, excluding expenses, amounted to only 11.4%.

Regarding the "bad bank" risk-weighted assets decreased as the activities and holdings have been sold. As a result, net banking income will drop in 2015, without the costs fall much more. Barclays' declared expect losses of nearly 1 billion pounds (1.38 billion euros) a year, even with a slowdown in losses on bad debts.

Ongoing regulatory investigations

The British group is still under investigations by regulators concerning its actions in the folder manipulation of the currency market - for which it provisioned 1.25 billion pounds in 2014 - and its fundraising from Qatari investors in 2008 . These surveys, as well as others, could therefore still be extremely costly.

Barclays strategic activities generated a pre-tax profit of 6.7 billion pounds, or the British bank reported a net loss of 174 million pounds (239 million euros) for the financial year 2014.

Unfortunately for Barclays, it is unlikely that the gulf between the two branches is filled quickly.

[fjgooner] 04/3/2015 19:20

Analysts at Deutsche Bank maintain their Buy rating on Barclays plc (LON:BARC) saying the company is on track to deliver its 2016 objectives.

At the same time the BARC target share price has been raised from 295p to 300p.

The UK bank reported 4Q14 Core adjusted profit before tax, restructuring costs and UK bank levy at 2% above consensus driven by 1% higher income.

All Core divisions beat Deutsche Bank’s equivalent forecasts.

Commenting on the technical outlook for BARC, analysts Jason Napier and David Lock tell clients:

“Our Core EPS for 2015-2017 increases by 3-4%, our SOTP derived Target Share Price rises to 300p from 295p.

“Trading at 8.2x / 7.6x 2015/16 Core EPS and 0.9x TNAV for a 13-14% Core ROTE target, retain Buy.”

Furthermore, deleveraging and capital build is considered to be proceeding well with Group RWAs at £402bn taking them to be on course to meet the FY16 target.

Deutsche Bank warn that key downside risks relate to the cost of regulatory change, litigation, disappointing capital markets and an unexpected spike in credit costs.

[fjgooner] 04/3/2015 19:12

04-Mar-15 Morgan Stanley Overweight - 315.00 Reiteration
04-Mar-15 Societe Generale Buy - 320.00 Reiteration
04-Mar-15 Numis Securities Buy 315.00 315.00 Reiteration
04-Mar-15 UBS Buy 305.00 295.00 Reiteration
04-Mar-15 Deutsche Buy 295.00 300.00 Reiteration
03-Mar-15 numis Buy - 315.00 Reiteration
03-Mar-15 Shore Capital Buy - - Reiteration
03-Mar-15 Barclays Buy - 315.00 Reiteration
03-Mar-15 Investec Securities Buy - 295.00 Reiteration

[gotnorolex] 04/3/2015 18:20

KenBachelor There's no concept that cannot be verbalized! portside1 only has a mantra and no concept of anything that's relevant in the world of banking. It would be nice if you can persuade him to actually partake in a reasoned discussion, perhaps put some ideas forward on how to sanitize banking practices while fertilizing profits.

[david90] 04/3/2015 17:29

So glad Jenkins does not waste time replying to Portside.

[smurfy2001] 04/3/2015 16:43

Why didn't it do that yesterday ho hum.

[hamblyr] 04/3/2015 16:03

VK74 made the wrong move!!

[smurfy2001] 04/3/2015 15:22

Depends how many quids? If it a few quids probably cost allot a fair chunk to transfer to nominee.

[g.j.a] 04/3/2015 15:17

I was surprised by letter from Barclays Stockbrokers today. I am currently dealing and holding paper certificates. They wrote to say that from April they will no longer be dealing with certificated transactions and sent me detail and forms for "thesharecentre". I was rather surprised that they didn't suggest I moved to paperless transactions and instead keep with Barclays and an online account?!!! Do they not want my continued custom? Valued customer????/ Huh!

[barbar7619] 04/3/2015 15:10

VK74 very silly move by October 2016 these will be over £5 a share!!!

[kenbachelor] 04/3/2015 13:46

Mbmiah - English has always been my worst subject and I don't know where I'd be without a spelling checker, so I never criticise others. Please just be grateful that you're not hampered by the problems that some of us have to overcome.

[smurfy2001] 04/3/2015 13:17

Nice recovery.

[mbmiah] 04/3/2015 12:27

Please Fock off Portside, your English is doing my head in. DYOR

[gcom2] 04/3/2015 12:23

good results despite all the whining on here.
£3

[portside1] 04/3/2015 09:11

baclays e ban of crooks and liars run by crooks for crooks led by Jenkins the liar who will not answer questions will not reply to e mails