Drax Share Discussion Threads

[bookbroker] 27/3/2015 09:39

This wretched Govt. and its onerous carbon taxes, it would probably provide a better return for the co. and its shareholders if they simply stopped producing electricity from the turbines powered by coal, the carbon taxes are practically making the production of electricity from coal a loss-making exercise, the co. is working hard to mitigate these effects but in the meantime they are are being squeezed.
Quite frankly the co. should be compensated for this situation, the consumer is paying about £40 per household to subsidise wind, solar and any other alternate eenergy provider, and yet Drax is being held to ransom. it's a disgrace, we have an ageing group of nuclear power stations, and the Hinckley Point project has not been finalised, I hope we have a situation where the lights go out, then the Govt. might wake up.

[nick rubens] 27/3/2015 08:40

Just wondering why Profits have slipped away over the last few years? Electricity useage hasn't slumped.

[nick rubens] 26/3/2015 16:09

cheers 'careful' The valuation doesn't look overstretched if it can maintain earnings at least.

[careful] 26/3/2015 15:50

a pe of 12 and a yield of 3.3% is ok.
that is after a reduced dividend.
drx is important, it provides 8% of uk electricity.
drx should not fall further on fundamentals, but who knows in these markets.

[nick rubens] 26/3/2015 15:15

As far as I am aware a takeover rumour stopped DRX's descent and caused a mini rally. Now we have heard nothing, it seems Drax is being valued on it's own ability to make money (prior expected biomass subsidy from govmnt was excluded )and I don't see how it can improve it's future profitability and no broker note explains that.

Of course if I am missing something then it's a buy opp for bulls in the know.

[wipo1] 26/3/2015 14:54

A good trading buy but my trailing stop got hit today might back in 370p ish

[bookbroker] 26/3/2015 14:53

All analyst notes are BS., they are a personal opinion and have very little credence to what actually happens, the market generally judges the price movement ultimately, unfortunately these reports have a habit of damaging sentiment towards cos. that are trying to provide a return for PI.'s whether via pension fund assets or likewise individuals. Analysts should be censored before issuance, they serve no useful role!

[nick rubens] 26/3/2015 14:42

DRX profitability is not very good at moment. How can they grow profits?

These research notes are BS.

[mike740] 25/3/2015 15:05

Drax Group Plc Rating Reiterated by RBC Capital (DRX)

Posted on March 24, 2015 by Matt Cooper in Analyst Articles - UK, Investing

Drax Group Plc (LON:DRX)‘s stock had its “outperform221; rating reissued by RBC Capital in a research note issued on Monday. They currently have a GBX 575 ($8.59) price objective on the stock. RBC Capital’s price target indicates a potential upside of 49.51% from the stock’s previous close.

DRX has been the subject of a number of other recent research reports. Analysts at AlphaValue reiterated a “buy” rating and set a GBX 434 ($6.48) price target on shares of Drax Group Plc in a research note on Thursday, March 19th. Analysts at Societe Generale reiterated a “sell” rating and set a GBX 400 ($5.98) price target on shares of Drax Group Plc in a research note on Thursday, March 5th. Analysts at JPMorgan Chase & Co. reiterated a “neutral”; rating and set a GBX 370 ($5.53) price target on shares of Drax Group Plc in a research note on Wednesday, February 25th. Finally, analysts at Deutsche Bank reiterated a “hold” rating and set a GBX 360 ($5.38) price target on shares of Drax Group Plc in a research note on Thursday, February 19th. One investment analyst has rated the stock with a sell rating, five have issued a hold rating and six have given a buy rating to the company. The stock currently has a consensus rating of “Hold” and an average target price of GBX 426 ($6.36).

Drax Group Plc (LON:DRX) opened at 384.60 on Monday. Drax Group Plc has a 52-week low of GBX 348.37 and a 52-week high of GBX 780.00. The stock’s 50-day moving average is GBX 394. and its 200-day moving average is GBX 504.. The company’s market cap is £1.56 billion.

Drax Group plc is the holding company of the Drax group of companies. The Company is engaged in the generation and sale of electricity and by-products of the electricity generation process at Drax Power Station, Selby, North Yorkshire and the sale of electricity to businesscustomers by Haven Power Limited (LON:DRX).

[bigdazzler] 24/3/2015 11:23

Trade in DRX coming along nicely. DRX is looking quite perky.

[joshuam] 21/3/2015 07:39

Think we have reached our peak for the year ahead,will top up on further lows

[wipo1] 19/3/2015 17:09

I saw a article today that a Arab Investor is looking to take a 10pc stake in German Utility company RWE. Surelly Drx must be a takeover candidate. Back long again. I made a few quid on this. Trailing stop hit at 399p on my last lot. Happy to buy cheaper :)

[bigdazzler] 19/3/2015 16:01

Well personally I'm looking at another run up to 433p. So long trade for me.

[vk74] 18/3/2015 16:05

Up today, what is happening?

[fangorn2] 16/3/2015 13:01

What director selling Rubens?

Probably closer to truth with the profits comment but it all higmnes surely on the "pricing regime" awared to the third unit?

"Latest RNS is saying some were awarded and some lapsed. Some shares were sold to meet tax liabilities and an only 7,575 sold outwith the bonus arrangements. The director who sold still kept just over 25k of shares from the bonus, so has substantially increased his holding."

[nick rubens] 16/3/2015 11:20

The director selling is a concern especially at this level. Shows they don't think it's value will hold IMO.

Profits are lacking at the end of the day.

[bookbroker] 11/3/2015 13:59

one has to think that the management should have invested more time and energy into the process of carbon capture here, I don't put the falls down to just low energy prices and a lack of interest in utilities, it's halved in value and more over the last eighteen months, where does it become a value play, backed by strong assets!

[sasannach] 11/3/2015 11:29

Latest RNS is saying some were awarded and some lapsed. Some shares were sold to meet tax liabilities and an only 7,575 sold outwith the bonus arrangements. The director who sold still kept just over 25k of shares from the bonus, so has substantially increased his holding.

So not quite 140,000 sold! Unless I've missed something as well.

Probably wanted a new car or something similar.

[fangorn2] 11/3/2015 08:20

@Andy,

Missed that - how recent was that.Seen a couple of "Matching Awards and Deferred Awards were made through the Drax Bonus Matching Plan" but only skimmed it..

When did they SELL 140,000?

[andycapcarroll] 11/3/2015 06:51

doesn't help when four directors sell approximately 140,000 shares between them

[fangorn2] 10/3/2015 11:59

Any reason for the 4% drop all of a sudden today?

[bookbroker] 10/3/2015 11:58

Dorothy Thompson is another director who has overseen one of the most seismic shifts in shareholder devaluation, I cannot understand why these cos. do not obtain cast iron guarantees from the Govt. in terms of the grant process, when they are literally being forced to comply with new environmental standards, the alternative is simply to turn the lights out!

[bookbroker] 26/2/2015 11:52

Good to see now positive!