Bt Share Discussion Threads

[dmf] 13/9/2017 10:17

Why buy BT now when it can be bought cheaper the next day !

[essentialinvestor] 13/9/2017 10:00

I like Lloyds longer term.


Anyone brave buying BT.a at these levels?.

[stewart64] 13/9/2017 09:57

Toon1966...Not sure if Lloyds Bank is one of the better examples of a falling share
The share stands at .648, the year high is .7351 and the low is .5084. Meanwhile .032 has been paid (or ex div accrued) since April....5% yield in 6 months.

[dmf] 13/9/2017 09:56

This stock needs to 'gap down' significantly for a realistic entry point !

[essentialinvestor] 12/9/2017 22:45

One of the challenges is how reduced Openreach wholesale
pricing may impact the FCF.

[kazoom] 12/9/2017 22:40

Hi Stewart,

I think if there was a "standardised approach" the companies would find a way around it in their reports so the data would become worthless.

imho - there is no alternative to DYOR and take a view as to whether the differences between "statutory" and "underlying/adjusted" earnings are indeed "exceptional" or not.

Just my thoughts but :
> BT Italy accounting Fraud - certainly not an ongoing cost, but this is the second "misstatement" by BT GS this century and unless they (and the wider market) lower their expectations for this sector - and stop hiring snake oil salesmen to run the division - it will be repeated at some point. For me I would probably accept maybe 15% of this exceptional hit as on going (ie assuming it will re-occur ever 6-7 years or so.)
> Ofcom fines : It is tempting to think of these as a cost of doing business in this sector, but in fact I think the enhanced separation between Openreach and BT makes reoccurrence of these penalties less likely, so I'd maybe classify 5-10% of that as recurring.

Just my views of course and others will differ - hence DYOR!

[diku] 12/9/2017 22:12

2 days in a row BT has found support around the 282.5p...

[diku] 12/9/2017 22:09

monty...computer model forecasting...

[toon1966] 12/9/2017 16:04

montyhedge 12 Sep '17 - 14:23 - 25103 of 25103 - Interesting forecasts, what do you think chaps ? I don't know this company. hxxp://poundf.co.uk/bt-share-price-forecast.

Hmmmm.... I see using this forecasting model Glencore continues it's meteoric rise since Jan 2016.....BT continues it's decline, as does Lloyds. So if you're stock is currently rising or falling it will continue this trend over the next few years? Wow....

[montyhedge] 12/9/2017 14:23

Interesting forecasts, what do you think chaps ? I don't know this company.

[stewart64] 12/9/2017 11:11

It would be nice if there was a standardised approach to p/e. I prefer to be cautious and look at the unadjusted stats. Whether BT is 15 or 10 it is relatively cheap for a blue chip on either measure. The worry is more the assets cover rather than the income cover.

Imperial Brands is either x50 (unadjusted) or x13 showing how differing outcomes can be calculated.

[edwardt] 12/9/2017 10:22

in sunnary on that basis, I think we are 305 undervalued but at the end of the day that is my opinion only.

[edwardt] 12/9/2017 10:21

also given complexity of moving parts, a dcf is very spurious. I would prefer a sum of the parts approach given regulated nature of openreach.

[edwardt] 12/9/2017 10:20

this company should be viewed on a ev/ebitda basis not p/e.

[lurker] 12/9/2017 08:37

But it is the 5.4% dividend (covered nearly 2x) that I like even better

[lurker] 12/9/2017 08:35

Hargreaves Lansdown Fundamental data shows March 2017 year end data as 28.9p adjusted eps, and p/e (retrospective) as 11

Current (Forward) p/e is shown as 9.83 today

[montyhedge] 12/9/2017 08:17

P.e 14.81 eps 19.2p is that incorrect then ?

[montyhedge] 12/9/2017 08:15

Well inform Advfn that they site is wrong on p.e calculation.

[pierre oreilly] 12/9/2017 08:15

By simply stating facts doesn't mean someone isn't caring.As a caring person, would you say obese people live longer than healthy slim people?

[kazoom] 11/9/2017 22:17

Hi stewart,

Apologies if I was terse, but there are some people who are passing off that figure with an attempt to mislead. I'll stand though by my view that people need to do their own research.

£1.9Bn statutory profits is indeed correct , but at the same after tax level there were -£0.9Bn effects; so the underlying profit was £2.8Bn (a PE of just under 10).

You have to make your own decision of course as to whether to accept those as exceptionals (although I would say some of them are quite clearly one offs).

If though you take the view of only looking at the statutory numbers, then you will also see that BT is "set to deliver a stellar earnings growth" that would definitely justify such a high apparent PE.

But of course as someone said earlier - PE is not the only story here (is it ever?) BT has big debts and a big pension deficit so you really have to take your own view on it.

GL

[stewart64] 11/9/2017 19:14

Kazoom I'm ready to be enlightened on BT's real price to earnings. My calculation was 28.4 billion market cap divided by the last annual profit ( after tax) to March 2017 of 1.9 billion.

[careful] 11/9/2017 15:47

About life expectancy.
There are so many obese people about these days.
Fat people die much earlier, despite advances in medicine.
Hard to believe the life expectancy predictions.

[careful] 11/9/2017 15:44

these long term guesses about life expectancy and interest rates make these deficits meaningless.