Electrocomponents Share Discussion Threads

[botman begins] 02/8/2005 13:39

BOT_MAN, from the prelims...

The Board recognises the importance of dividends to shareholders and is confident that the successful implementation of EBS, execution of the strategy and cost reduction initiatives will significantly improve financial performance
over the next three years. Consequently, assuming no substantial deterioration in economic conditions, the Board has decided that it should maintain the current level of dividend during these three years. To the extent necessary, the strength of the balance sheet will be used to support the dividend.

[bot_man] 02/8/2005 13:16

how safe is the dividend, will there be dividend growth?

[botman begins] 02/8/2005 12:40

no i am just pointing out how much the shares need to rise to generate a dividend yield that equates to various benchmarks

[bot_man] 02/8/2005 11:11

BOTMAN BEGINS , thanks for that, are you saying this share is a buy?

[botman begins] 02/8/2005 09:01

UPDATE, dividend yields as quoted in July 29 IC p40/41 were...

FTSE 100 = 3.17%
FTSE 250 = 2.57%
FTSE 350 = 3.09%
Sppt Svcs= 2.76% (sector, p41)
PFL .... = 5.25% (9p dividend at 171.5p price)

based on above data, ECM share prices required to equate these yields (ie, 18.4p ECM dividend divided by above yields) are...

FTSE 100 = 580p
FTSE 250 = 716p
FTSE 350 = 595p
Sppt Svcs= 667p
PFL .... = 350p

above share price difference over current ECM price of 246.5p...

FTSE 100 = 135%
FTSE 250 = 190%
FTSE 350 = 141%
Sppt Svcs= 171%
PFL ..... = 42%

ie, for ECM to have the same yield as FTSE350 it would need to rise 141%, or 42% to have the same yield as PFL

[botman2] 29/7/2005 09:31

bots, dont forget these shares were 825p five years ago and the dividend then was only 12p for a yield of merely 1.45%!!!!!!!!

[bot_man] 28/7/2005 15:21

fascinating

[b0tman] 28/7/2005 11:17

BOTMAN BEGINS, thanks for your analysis. is this an anomaly or what?

regards, B0TMAN

[botman begins] 28/7/2005 10:33

BOTMAN, i understand dividend yields as quoted in July 15 IC p40 were...

FTSE 100 = 3.15%
FTSE 250 = 2.54%
FTSE 350 = 3.07%

also, its competitor Premier Farnell pays 9p for a yield of 5.22% at 172.25p price

based on above data, share prices to reach these yields would be...

FTSE 100 = 584p
FTSE 250 = 724p
FTSE 350 = 599p
PFL .... = 352p

upside implied over current price of 254p...

FTSE 100 = 130%
FTSE 250 = 185%
FTSE 350 = 136%
PFL ..... = 39%

[botman2] 28/7/2005 09:02

evo8, thank you for your help

i look at the ftse350 page, sure enough ECM tops the list

top 10, according to your link above...

Electrocomponents
Lloyds-TSB
United Utilities Utilities
BRIT Insurance Holdings
GCAP Media
Avis Europe
Smith David S
Northern Foods
Premier Farnell
Royal and Sun Alliance Insurance

[botman2] 27/7/2005 16:52

cant find that info on the web. any humans out there with an FT?

is there a website where you can compare FTSE350 dividend yields?

[b0tman] 27/7/2005 15:42

what are the dividend yields on the FTSE 100 and FTSE 250?

[b0tman] 27/7/2005 15:18

hello BOTMAN2. it would be 368p, as 18.4p divided by 5% = 368p

[botman2] 27/7/2005 15:02

what would the price be for a dividend yield of 5%?

[botman2] 27/7/2005 13:18

dividend yield of 7.34% (18.4/250.75), is that the highest in the FTSE 350?

[botman2] 27/7/2005 11:39

BOT_MAN, my long lost clone?

[bot_man] 27/7/2005 11:05

my ANNie likes this one too

[royaloak] 27/7/2005 10:49

I bought this around 250 before it went xdiv. Intention was to sell straight after xd to make a loss, ie loss of approx. 12p income of 12p to suit my tax planning.

Did not sell as even more research suggested it was way undervalued. Looks a very good trading stock also, buy around 245 sell around 252, however it could soon convincingly break the 252 barrier.

[evo8] 27/7/2005 10:30

I'm a human and a holder. Are you bots related?

[botman begins] 27/7/2005 10:08

looks like the humans are gradually catching on

[botman2] 25/7/2005 15:01

i'm in as well. why only bots find this one? human investors not interested. humans are funny creatures, wait for shares to jump 20% before buying

[botman begins] 25/7/2005 14:40

B0TMAN, well spotted and thanks for pointing that out

[b0tman] 23/7/2005 15:45

from the recent trading statement....

"Sales of the UK business have declined by 3.5%..... Overall Group sales have grown by 2.5%. "

given that ex-UK sales are approx 55% of group sales, this implies ex-UK sales have grown at a healthy 7.3%!!!! why dont the management emphasise that?

if UK can halt the decline, group revenues then grow at approx 4.25%. perhaps the expected rate cut and lower sterling will help customers businesses... perhaps UK will even start growing again ;) anyway if ex-UK keeps growing faster than UK, group sales will accelerate as UK has declining impact on group revenues

[evo8] 04/7/2005 09:59

Buy at 250p (currently 242¼p xd) advises Merrill Lynch, which believes the market is underestimating the scale and attainability of the electronic widgets supplier's profit recovery over the next four years. Although the broker admits that strategic benefits are only likely to be seen at the later stage of the four-year recovery plan, the 7pc dividend yield should compensate in the meantime.