Bt Share Discussion Threads

[eaaxs06] 06/5/2020 16:50

A poor afternoon performance from BT, which seemed to be tracking America lower, where we don’t seem to have many fans lately. Closing auction wasn’t in our favour either, but is it ever?

That said, volumes were not very high so I’m not unduly worried, and buys even outnumbered sells 2:1, until the after hours trades.

All will be revealed tomorrow, good luck everybody, Sid.

[wapper] 06/5/2020 16:43

No predictions from me: just to say good luck to all fellow holders tomorrow.

[bo90] 06/5/2020 16:32

knowing my luck it will rise 7% as my order for 114 hasn't executed :(

[teamwork1] 06/5/2020 16:25

I think first it will drop then will recover

[laptop15] 06/5/2020 15:07

SP predictions for tomorrow??

[vas007] 06/5/2020 14:17

Please explain the point

[nicholasblake] 06/5/2020 14:13

@Nige Co, as I keep saying the WHY is critical. A cut to feed pension fund (which may be looking for more becuase of BOE suppressed Gilt Yields) would go down like a bucket of sick. Cut to upgrade capex under revised Ofcom Full Fibre regime and hang on to your hats.

[eaaxs06] 06/5/2020 13:56

Looks to be a battle going on over the 117p level with buyers/sellers equally matched.Under 117 the buyers appear, anything over brings out the sellers. It will be interesting to see who wins.

[nige co] 06/5/2020 13:48

My prediction last week was that BT will pay the H2 dividend in full 10.78p, and cut the 2020 full year dividend from 15.40p to 10.00p. I think that the market would like this outcome and re-rate the BT shares accordingly.

[nicholasblake] 06/5/2020 13:41

The BT dividend is well covered. And CV appears not to be hurting it's business badly.
Something significant has to change for a cut to be justified.

[brucie5] 06/5/2020 13:28

eaaxs06
6 May '20 - 13:15 - 35244 of 35244
0 0 0

If a company significantly increase the divi – the price soars. If they cut or cancel a divi – the price dives. This obviously makes sense, as it shows the confidence the Board have in their company for the next year or so.
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With respect, I'm not sure that's how it works. BT has been the odd one out in refusing so far to cut it's dividend. The share price has halved in recent time. The market thinks it's unsustainable. On the whole, large companies that are highly stretched on their dividends cut payments to restore balance sheet confidence, and that often goes some way to reassure. Clearly a total suspension would not; but a partial/reasonable trim might well be perceived as good housekeeping.

I may be wrong, but bought some more today in that expectation. This is hugely oversold, in my opinion, but also carries massive pension liabilities and works in a competitive sector. BUT, it is a key infrastructure play, as we all know. FWIW I use BT for my broadband and am just too lazy to switch for a keener rate. It tend to trust them, whether rightly or wrongly. I would imagine there are many such as I. Captive market, more or less.

[eaaxs06] 06/5/2020 13:15

I think the reaction to this set of results will be quite different from the normal.

By that, I mean that one of the major factors that move the share price in the short term is the dividend.

If a company significantly increase the divi – the price soars. If they cut or cancel a divi – the price dives. This obviously makes sense, as it shows the confidence the Board have in their company for the next year or so.

I feel, this time, there will be far more importance in what Phillip Jansen has to say in his comments about the results and (more importantly) his words of guidance for future trading for the company.

[montyhedge] 06/5/2020 13:07

I expect half decent figures tomorrow, with a 50% cut in dividend. I think that would be a great result.

[montyhedge] 06/5/2020 12:38

Yes totally agree, a lot of companies I feel using Coronavirus not to pay a dividend.

[eaaxs06] 06/5/2020 12:30

BT have a bit of a nasty habit of ‘all or nothing’ over the dividend.

Very often they seem to struggle on, and on, until there really isn’t any possible alternative; either a massive cut, or stopping payments completely, when their profits have been decimated and taken a severe battering.

I’d argue a good case for saying we haven’t yet hit that point, and it’s more a guess from the Board as to how much earnings have been (and will be) hit by the pandemic we’re all going through at present.

I’m just hoping they make their own mind up, based on BT Plc’s prospects, rather than follow the herd mentality of feeling obliged to do what others have done. For once it would be nice to see BT become a leader, not a follower.

[montyhedge] 06/5/2020 11:50

6.4 fav 50% cut my bet, might have a tenner at 33.1 unchanged, lol.

[colsmith] 06/5/2020 10:26

Not sure why BT so far down, this comment on Fibre Optic cables makes the point that BT et al are the 'Railroads of the future! Of course making the stuff no good unless someone (BT etc) stuff it in the ground. Does that mean the whole infrastructure of getting stuff like ZOOM and remote working is the engine of it all?
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EXTRACT
Now, as the coronavirus pandemic causes more people to work remotely and cloud-based applications such as Zoom Video Communications Inc. become a crucial part of the economy, demand for fiber-optic cables is increasing.

"These are literally the railroads of the future," said Marc Ganzi, chief executive officer-elect of investment firm Colony Capital Inc.

[nicholasblake] 06/5/2020 09:47

So what would the stated reason be for the cut? If not growth the price will be under pressure.

[guss] 06/5/2020 09:35

I was expecting a big rally as the insiders told all their friends and family what to buy. Of course, all the big boys can buy on delayed trades to make it look like they acted after the results were public.

[diku] 06/5/2020 09:17

monty...for me No dividend 3.1...not that I like it...but the stock could rally if the financial impact across the Group is not severely impacted so far...all will be in the statement wording...




If I was a bookie these are the odds I would offer on dividend tomorrow.

50% cut 6.4 fav
75% cut 2.1
35% cut 3.1
No dividend 3.1
Dividend unchanged 33.1

Place yer bets boys, lol.

[diku] 06/5/2020 08:40

If I was a Moodys...monty your no;1 position is under review...all will be clear tomorrow...

[sicker] 06/5/2020 08:25

If I were a punter I'd take that 33/1 every day of the week ;-)

[montyhedge] 06/5/2020 07:57

If I was a bookie these are the odds I would offer on dividend tomorrow.50% cut 6.4 fav75% cut 2.135% cut 3.1No dividend 3.1Dividend unchanged 33.1Place yer bets boys, lol.