Centrica Share Discussion Threads

[supermarky] 28/5/2014 18:43

Actually over 330. Only just. Amazing.

[mitchy] 28/5/2014 13:39

Should I Invest In Centrica plc Now?By Kevin Godbold - Wednesday, 28 May, 2014 | See also: CNACPYYY0inShareIntegrated gas and electricity company Centrica's (LSE: CNA) share price is down from its highs just now and I think that makes the firm look attractive.More than just your average utilityWith both upstream and downstream operations in roughly equal proportions, Centrica seems likeable for both its dividend-yielding cash flow and its potential to deliver capital gains via upstream development.So, with Centrica, if the price is right, we can end up with a pleasing mix of cash-flow backed value and growth at a reasonable price.Diversity within a company's operations can be an advantage. Last year, based on location of customer, 66% of Centrica's revenue came from the UK, 28% from North America and 6% from the rest of the world. So there's diversity by geographical origin of the firm's revenues.In terms of activity, there's also plenty of diversity. Downstream operations supply both gas and electricity, as British Gas in Britain and as Direct Energy in the US, this is the utility part of the equation, the bit that delivers steady cash flow to underpin Centrica's tidy dividend record.Upstream operations involve oil and gas exploration, production and storage activities; owning and operating combined cycle gas turbine (CCGT) electricity-generating power stations; offshore wind generating operations; and a 20% stake in EDF Energy's UK nuclear power stations. Within those pursuits, oil and gas exploration has, perhaps the greatest ability to drive up Centrica's share price.CyclicalityVariable demand can make it difficult to nail a profit downstream.  Demand for energy  fluctuates according to factors such as differing weather patterns, and downstream energy suppliers must deal with fiddler's elbow-like  wholesale prices, too. On top of that, British Utility providers face intense scrutiny , and regulation can move the goal posts. Nonetheless, Centrica's cash flow record is good and the firm does a pucker job of advancing its dividend:Year to December20092010201120122013Net cash from operations (£m)2,6472,4282,3372,8202,940Adjusted earnings per share21.7p25.2p25.6p26.6p26.6pDividend per share12.8p14.3p15.4p16.4p17pI'm keen to see how things are going this year when the firm reports its interim results around the 31 July.ValuationAny investment in Centrica is probably best justified by first considering dividend income. On that score, the news is good. The forward dividend yield is running at about 5.5% for 2015 and adjusted earnings cover the payout around 1.4 times.Meanwhile, we can currently pick up the shares on a forward P/E multiple of almost 13, with city analysts forecasting an 8% earnings' uplift next year. That strikes me as a fair price for Centrica's growth potential.

[mitchy] 26/5/2014 16:55

26 May 14 Centrica PLC Liberum Capital Buy 328.30 350.00 Reiterates

[mitchy] 26/5/2014 16:54

Mon 26th May 2014
Centrica PLC (LON:CNA)'s stock had its "buy" rating restated by equities research analysts at Liberum Capital in a research note issued to investors on Thursday. They currently have a GBX 350 ($5.89) price target on the stock. Liberum Capital's target price would indicate a potential upside of 6.62% from the stock's previous close.

[nabzi786] 26/5/2014 10:59

So tempted to sell and buy back at under 300. But then I think at such a small stake, do the commission fees make it worthwhile?

[mitchy] 25/5/2014 17:30

Just a reminder..the dividend 'payment' date is 11th June.

[mitchy] 23/5/2014 07:01

23 May 14 Centrica PLC Goldman Sachs Buy 323.95 359.00 359.00 Reiterates

[mitchy] 22/5/2014 22:24

Not sure if this graph is correct but this mini uptrend within the down trend may just keep going thanks to the buybacks. Hope springs...

[supermarky] 22/5/2014 19:03

This is like watching paint dry!

[mitchy] 22/5/2014 06:58

21 May 14 Centrica PLC Credit Suisse Neutral 323.95 310.00 310.00 Reiterates

[mitchy] 21/5/2014 07:39

I just googled centrica and it was amongst those articles on the first page

[cwa1] 21/5/2014 07:18

Hi mitchy, thanks for that. Would you mind posting a link to where that came from? Cheers.

[mitchy] 20/5/2014 23:43

From 19th MayAnalysts at Goldman Sachs decreased their price objective on shares of Centrica PLC (LON:CNA) from GBX 377 ($6.34) to GBX 359 ($6.04) in a research report issued to clients and investors on Thursday. The firm currently has a "buy" rating on the stock. Goldman Sachs' target price would suggest a potential upside of 9.16% from the company's current price.A number of other firms have also recently commented on CNA. Analysts at Citigroup Inc. reiterated a "neutral" rating on shares of Centrica PLC in a research note on Wednesday, May 14th. They now have a GBX 340 ($5.72) price target on the stock. Separately, analysts at Credit Suisse reiterated a "neutral" rating on shares of Centrica PLC in a research note on Friday, May 9th. They now have a GBX 310 ($5.21) price target on the stock. Finally, analysts at RBC Capital reiterated an "outperform" rating on shares of Centrica PLC in a research note on Thursday, May 8th. They now have a GBX 360 ($6.06) price target on the stock. Four investment analysts have rated the stock with a sell rating, eleven have issued a hold rating, seven have given a buy rating and one has given a strong buy rating to the company. Centrica PLC currently has a consensus rating of "Hold" and an average price target of GBX 357.05 ($6.01).Centrica PLC (LON:CNA) opened at 328.35 on Thursday. Centrica PLC has a 1-year low of GBX 302.50 and a 1-year high of GBX 403.20. The stock's 50-day moving average is GBX 331.7 and its 200-day moving average is GBX 331.. The company's market cap is £16.662 billion.Centrica plc is an integrated energy company. Company operates in four segments: British Gas, Centrica Energy, Centrica Storage and Direct Energy.

[supermarky] 20/5/2014 14:02

If you look at the one year chart for the ftse it looks ominous for at least a 200 drop in the near term imo. I would certainly not go long on ftse at the moment. Hopefully cna being a good defensive will be a safe haven in a storm...

[supermarky] 20/5/2014 13:55

Hopefully. My sixth sense tells me the market is jittery. I am only in hsba cna and tsco at the moment

[mitchy] 19/5/2014 23:08

Oh yea of little faith.. energy sector and market as a whole were down-ish today. It'll bounce back tomorrow...erm..or the next day :)

[m4rtinu] 19/5/2014 19:16

Mitchy - see my post 432 where I said // or :). I did try to point you in another direction. Albeit, rather sarcastically. I just think Centrica is difficult to predict at present with press and politics kicking it around. Cheers.

[mitchy] 18/5/2014 23:51

Looking at the chart now without the rose tint it aint looking great.
Historical support at circa 306.Possible breakout of the down trend at 336.
Possible wedge forming to take us down to 280.

The buybacks and the phat divi should keep us afloat though..we shall see.
Good Luck.

[mitchy] 15/5/2014 18:41

I must be going gaga in my old age. We are clearly still in the original down trend. Hopefully we can break out of it circa 336 and range trade up to 350 as suggested earlier.
Good Luck.

[mitchy] 15/5/2014 08:03

15 May 14 Centrica PLC Goldman Sachs Buy 328.25 377.00 359.00 Reiterates

[mitchy] 14/5/2014 21:49

Hargreaves showing 11 broker notes as :-

1 Sell
5 Neutral
1 Buy
4 Strong Buy

[mitchy] 14/5/2014 21:45

Looking at the latest chart I can't see anything other than range trading.

[mitchy] 14/5/2014 19:41

14 May 14Centrica PLC Citigroup Neutral 327.10 340.00 340.00 Reiterates