Centrica Share Discussion Threads

[sarkasm] 09/1/2021 12:12

Does the Centrica share price represent a FTSE 100 index turnaround opportunity?
Can the Centrica share price (LON: CNA) (CNA.L) deliver a recovery after underperforming the FTSE 100 index (INDEXFTSE: UKX) over the past few years?
January 7, 2021 Robert Stephens, CFA Centrica (LON: CNA) (CNA.L) (CNA.LON), FTSE 100 Index
The Centrica share price (LON: CNA) (CNA.L) has lost 75% of its value over the past five years, while the FTSE 100 index (INDEXFTSE: UKX) is up 18%. That’s a 93% underperformance versus the index, which is obviously extremely disappointing.
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In my view, further difficulties could be ahead for the firm. Containment measures brought in to respond to Covid-19 may limit its capacity to increase customer numbers. Even though it has a simplification strategy that could work in the long run, a stock price recovery could take some time due in part to difficult trading conditions.

More challenges ahead for the underperforming FTSE 100 index stock?

One of the challenges facing Centrica in the first half of its financial year was declining customer numbers. They fell by 0.8% in the first half of the year. Key reasons for this included fewer home visits that usually provide sales opportunities, as well as some sales channels being unavailable. Those same difficulties may remain in place during at least part of 2021. Therefore, it would be unsurprising if there is downward pressure on customer numbers due to Covid-19 disruption.

Still, the FTSE 100 index company reported stable customer retention and satisfaction rates. This could suggest that as economic normality resumes, scope to increase customer numbers returns. That said, factors such as higher unemployment and weak consumer confidence may cause some people to become more price conscious and to cut back on household spending where possible.

Strategy changes that could catalyse the Centrica share price

In spite of threats to its short-term performance, the Centrica share price has gained ground in the past few months. FTSE 100 index investors seem to have become more upbeat about its outlook as it embarks on a new strategy to focus on core activities within energy supply and services.

As part of this, the company agreed to sell Direct Energy for £2.85 billion. This could improve efficiency and allow it to focus on increasing customer numbers. It is also seeking to embrace a low-carbon future that may help to align it with growing trends within the energy market over the next decade. This process should be aided by a lower level of debt on its balance sheet, as well as cost savings that could make it more efficient in a competitive energy marketplace.

Although these changes could inspire greater investor confidence in the business, the Centrica share price could experience further volatility due to the current trading environment. It seems to be making the right moves to improve its business model, in terms of focusing on core areas and simplifying its structure. However, evidence of the impact of these changes on the company’s financial performance is needed before I can become upbeat about the stock’s long-term recovery potential.

Disclosure: the author has no position in any stocks mentioned.

[cleverinvester] 09/1/2021 11:45

Also we have one person using 3 accounts .that's as pathetic as it gets .And you support them .that says alot about you norma

[grupo guitarlumber] 09/1/2021 11:44

Cleverinvester
9 Jan '21 - 11:43 - 1752 of 1752 (Filtered)


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[cleverinvester] 09/1/2021 11:43

Norma I'm entitled to my view .The e bully is clear to see here .And your one of them .CLEVERINVESTER

[grupo guitarlumber] 09/1/2021 11:27

Cleverinvester
9 Jan '21 - 11:26 - 1749 of 1749 (Filtered)


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[cleverinvester] 09/1/2021 11:26

Guys I'm a CNA investor who has been targeted by people with multiple accounts.I shared my view yesterday over on another BB and the mob came after me.I can only apologise and hope you can see what's going on.CLEVERINVESTER

[grupo guitarlumber] 09/1/2021 10:36

sadly i am no longer a premium poster due mainly to the poor monitoring and maintenence of forums and bulleten boards by advfn

my main interest is in european shares,the uk part no longer substantial due to brexit and covid

thanks for your, much appreciated post


have a great weekend albeit freezing Skinny
9 Jan '21 - 10:22 - 1745 of 1748(premium)

[wendsworth] 09/1/2021 10:27

Why trash this BB ? Pointless. As for CNA as a short term investment ? The strike has motivated me to sell my entire holding.Consider the current share price to be defying gravity.
Now I've sold doubtlesss the share price will rise back up ?!! Trading update next week could be interesting .

[skinny] 09/1/2021 10:22

First look in here since last Spring - what on earth has happened to yet another decent thread.

Grupo GuitarLumber - if you start another thread, do it from the PBB with option 3 - then you can moderate and even ban FBB posts/posters.

[grupo guitarlumber] 09/1/2021 10:01

Lets turn up the heating but please central heating do not break down in the coming days






Be prepared to put another log on the fire

[antonagis] 09/1/2021 09:04

EXACTLY. This idiot the not so CLEVERINVESTER has done the same on Saga and probably elsewhere.

[sicker] 09/1/2021 08:45

How to decimate a thread in one evening :-)
They (he or she) have no shame. :-0

[antonagis] 09/1/2021 01:05

Billy no mates 'cleverinvester' has managed to single handed ruin this thread. I'm sure everyone can see that. It's hilarious but at least now he'll be communicating with himself in future.

[grupo guitarlumber] 08/1/2021 22:46

Companies to watch today: Banks will be top companies to watch in the FTSE 100 today. This is because there are signs that the Bank of England (BOE) is said to be considering negative rates.

That could have a negative impact on banks like NatWest, Barclays, and Lloyds that do a lot of business in the country. Centrica will also be watched after employees of British Gas, a company it owns, decided to go for a strike. Yesterday, Centrica share price fell by more than 2% and the losses could accelerate today.

[grupo guitarlumber] 08/1/2021 22:41

Cleverinvester
8 Jan '21 - 22:23 - 1738 of 1738 (Filtered)


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[cleverinvester] 08/1/2021 22:23

Billy no mates are people with multiple accounts,How sad they are .

[antonagis] 08/1/2021 22:21

Billy no mates 'cleverinvester' has managed to single handed ruin this thread. I'm sure everyone can see that. It's hilarious but at least now he'll be communicating with himself in future.

[cleverinvester] 08/1/2021 22:17

Warning ROSE PHILIS/Silverstone and professor Glennglad are the same person using multiple accounts.

[professor_glennglad] 08/1/2021 22:11

Warning CLEVERINVESTER, ROSE PHILIS, Silverstone are the SAME SHORTER using multiple accounts. FILTER

[professor_glennglad] 08/1/2021 22:11

Warning CLEVERINVESTER, ROSE PHILIS, Silverstone are the SAME SHORTER using multiple accounts. FILTER