Diageo Share Discussion Threads

[broadwood] 18/3/2015 16:16

Shares like the duty cut.

[wirralowl] 18/3/2015 10:20

I've DGE, ULVR and Nick Train's FGT in my SIPP. Really like his investment style and seems that Consumer companies are in a sweet spot at the moment with savings on packaging resulting from the lower oil price, together with the strong US dollar.

[shammytime] 17/3/2015 13:49

UK fund manager Nick Train is a self-confessed “great devotee” of Warren Buffett. Train has built an enviable track record of first-rate returns from buying quality companies — “durable, cash-generative businesses” — and holding them for the long term.

The top three companies in Train’s portfolio are Unilever (LSE: ULVR) (NYSE: UL.US), Diageo (LSE: DGE) (NYSE: DEO.US) and Reed Elsevier (LSE: REL).

"Diageo
Diageo shares many qualities with Unilever, and is Train’s second-largest holding with a weighting of 8.3%. The global drinks giant owns an abundance of top brands, including world number ones Johnnie Walker, Smirnoff, Bailey’s and Guinness. Also like Unilever, rising incomes in developing markets are a driver for long-term growth.

Diageo’s shares are currently trading on 21x forecast earnings, with a dividend yield of 2.8% — again, similar to Unilever.

The Telegraph last year asked Train to name the one share he would buy for his children or grandchildren. Train named Diageo, commenting:

“Sometimes we complicate the investment challenge. If you can find a company whose products are likely still to be consumed in 25 years’ time, and if the company can succeed in at least maintaining or preferably increasing the price of its products above inflation, then you have the basis for a wonderful long-term holding”.

[shammytime] 16/3/2015 08:18

Should see 1900 here this week

[broadwood] 12/3/2015 13:57

So here it is.

DGE Diageo PLC Morgan Stanley Overweight 2,200

[broadwood] 12/3/2015 08:03

Lively start - must be a broker rec which I can't yet see.

[jeffcranbounre] 29/1/2015 20:16

Diageo #DGE delivers a much improved performance in the second quarter.

ADVFN Podcast>

[careful] 29/1/2015 11:55

Good results today after currency factors.
marets respond well.

[ygor706] 19/12/2014 18:31

Bearish article by tempus this morning suggesting changing consumer habits and high pricing will negatively influence the share price Absolutely no mention that Diageo is a very big dollar earner which is going to be a big positive for 2015 imo.

[denbos] 20/11/2014 16:40

Has drink gone out of fashion? Don't wait till the freeze get topped up with stock now or head for the sun.

[spacecake] 16/9/2014 20:13

Scotland might have the distilleries but a great deal of barley malting is done in Berwick upon Tweed.

[ashitpatel] 16/9/2014 17:00

thanks GAN..............

[battyliveson] 16/9/2014 12:50

I am short. Seems to have lost revenue and earnings momentum, high PE, high debt, and exit of successful CEO.

Batty

[ganthorpe] 15/9/2014 16:25

A "yes" vote may mean that exports to the EC may be affected as Scotland won't be a member. The EC are good at fudges so it may not happen.
GAN

[ashitpatel] 12/9/2014 11:47

scottish vote.............will it affect whisky business

[wad collector] 08/8/2014 20:28

I've been out of these for a while ; Sterling strength has hit the bottom line but is beginning to look tempting as a long term buy again. I think sub £17 might make the yield look more attractive - 3% is still not that enticing yet.

[essentialinvestor] 08/8/2014 11:57

broadwood, did you read the recent Questor article?,
it did not appear optimistic to me.

[wolterix] 03/8/2014 20:40

I dunno, it's under the 200ma

They also made my mate redundant a few weeks back

[broadwood] 01/8/2014 15:33

The only way is up from here.

'I think Diageo is a great income buy on the rare occasions when the market offers the stock on a yield at or around the market average. That's the case right now with the shares trading at a 52-week low of 1,765p at the time of writing.

The market has known for some time that Diageo's been affected by weakness in emerging economies - including anti-extravagance measures in China - and adverse exchange rates.

Annual results for the company's financial year ended 30 June, released yesterday, put numbers on the impact. Earnings per share (EPS) were down 7.6p to 95.5p. Foreign exchange movements hit EPS by a whopping 10p. Management told us:

"The catalysts for a near term recovery of consumer spend in the emerging markets are still weak however the future growth drivers for this industry, its aspirational nature as consumers in the emerging markets see increasing disposable income, are undiminished".

The Board was confident enough to raise the annual dividend by 9.1%, and anyone investing before 13 August will pick up the 32p final dividend, announced in the results'

[spacecake] 31/7/2014 07:20

Missed market estimates

[broadwood] 02/7/2014 13:26

Defensive move?

Drinks giant Diageo has confirmed the purchase of a further 26% of United Spirits (USL) for £1.12bn, taking its share of India's largest liquor group to 54.78%.

In 2012 Diageo said it planned to take a 53.4% stake in USL for £1.285bn, but the eventual price was 44% higher at £1.844bn after the FTSE 100 company battled through years of delays in its attempts to complete the acquisition.

It expects to fully consolidate the results of USL into its own numbers from Wednesday.

[betman] 28/6/2014 19:13

Interesting article in today's FT speculating on a merger with SAB as a poison pill from InterBev takeover

[wernluck] 19/4/2014 19:55

1615 ish target for downside:

[ohbummer] 17/4/2014 09:33

Hate this share.