Gsk Share Discussion Threads

[haughtonhoney] 04/4/2018 10:04

@anhar - thanks for clarifying

[anhar] 04/4/2018 10:01

anhar - may I ask where you’re getting a trailing dividend yield of 3.1% for the FTSE100 from?

I have it at 4.1% (probably incorrectly)?

I'm using the median yield as reported on one financial database. The reason it's much lower than you mention is that the 4.1% is based on an average of the FTSE which is a cap weighted index. That means the average yield is skewed in favour of the top caps, many of which have very high yields like Shell, BP, HSBC, BHP Billiton, GSK etc.

But my income port. is not cap weighted, it is equally weighted at cost. So I see the median index yield as a more relevant comparison for me than the cap weighted one that you quote.

[jrphoenixw2] 04/4/2018 09:18

@haughtonhoney
FTSE Russel have the index yield at 4.1% a/o 30-March/18
[Opens as .pdf, refer to page 3/3]

[tradermichael] 04/4/2018 08:42

A word of warning
Despite the encouraging outcomes of previous trials, the possibility of the drug failing to impress still remains. Plenty of highly promising treatments have disappointed at the last hurdle, resulting in significant capital losses for investors. Unless you’re willing to embrace this level of risk, Immupharma shouldn’t even make it on to your watchlist, let alone into your portfolio.

[montyhedge] 04/4/2018 08:41

Could be the greatest crash coming for that share if news disappoints on their drug. Everyman and his dog been piling in.

[top tips] 04/4/2018 08:36

This promising small-cap stock could be a millionaire maker in 2018
Paul Summers
26/12/2017



The suggestion that a single stock could lead some investors to become millionaires next year may sound fanciful but I think this is quite possible if events work out for small-cap drug discovery and development firm ImmuPharma (LSE: IMM). Let me explain.

[haughtonhoney] 04/4/2018 08:12

anhar - may I ask where you're getting a trailing dividend yield of 3.1% for the FTSE100 from?I have it at 4.1% (probably incorrectly)?

[alphorn] 03/4/2018 21:30

Small increase in a bearish position this morning; remain net long.

[philanderer] 03/4/2018 16:05

Credit Suisse....neutral....1450p. Up from 1300p

[abdullla] 03/4/2018 14:29

Vodafone's yield is over 6% and the shares are cheap !

[anhar] 03/4/2018 12:34

Thanks fellas. Back to my normal and sole concern.

With a trailing 80p div on 1,386p, the GSK yield is 5.8% . That is still much higher than the 100 yield which is a trailing 3.1%, making an exit price right now of 2,581p so I continue to hold for income, having done so for many years now.

It's slightlly different on forecasts with 3.5% on the index but GSK is unlikely to increase the 80p div. So the exit on that basis would be 2,286p, still miles above the current price.

[solomon] 03/4/2018 11:34

I feared that anhar had been hacked. Glad to know it was just a brief departure from character.

[tradermichael] 03/4/2018 11:06

Yes, anhar. Its not like you to ponder over any fundamentals except the yield ..... ;0)

[anhar] 03/4/2018 10:46

Okay thanks. Seems to me they are already over burdened with debt so that is bad news. But that's all getting in too close for me really. Better I take a step back and resume my usual hands off position.

[romeike] 03/4/2018 10:24

They pre-arranged ten year bonds at low interest rates

[anhar] 02/4/2018 10:09

How do they propose paying for it? I saw something about disposing of Horlicks but the value of that can't be anywhere near the cost of the purchase.

[dr biotech] 01/4/2018 23:01

Decent write up in the telegraph too

[zho] 31/3/2018 17:45

The stars have aligned for Emma Walmsley’s first big strategic move as chief executive of GlaxoSmithKline. Last week the group quit the contest to buy Pfizer’s consumer health division, a deal that could have cost $20bn (£14bn) and was unnerving her own shareholders. Now GSK gets full control of a business it knows well – its own Panadol to Sensodyne consumer business, 63.5% owned – at a price that won’t shock anybody.....

[abdullla] 29/3/2018 20:32

Legal people in GSK would know what to do with this case and they certainly will act accordingly !

[ygor705] 29/3/2018 17:02

Sounds like a good case for an appeal. The accepted legal norm used to be that the first judge gets it right, the second gets it wrong and the third gets it right again. All a good boost for the income of an overpaid profession!

[woodhawk] 29/3/2018 13:02

Thanks for the article, Fangorn2.

[tradermichael] 29/3/2018 11:39

The judge in the latest Teva ruling appears to have a less-than-squeaky clean record of disclosure, according to this:



One wonders whether he holds shares in the Israeli firm or other conflict of interest?

[fangorn2] 29/3/2018 11:27

Among UK-listed pharmaceutical firms, GlaxoSmithKline (GSK) – which has a wide moat and a four-star rating – faces low exposure to US drug policy changes and represents one of the most undervalued firms in the drug area. Likewise, the majority of AstraZeneca’s (AZN) sales are derived outside the US, so the wide-moat firm faces fewer repercussions from changes to drug pricing there. But Shire (SHP), which could be the subject of a takeover bid from Japan’s Takeda, could see 2019 earnings hit by exposure to the medical benefits coverage market.

[romeike] 29/3/2018 11:20

- As for the Teva case, its demonstrates that "the law is an ass......"

Does seem so doesn't it - the judge upheld that Teva had infringed the patent but according to him apparently this doesn't matter. This kind of ruling, along with moves on biosimilars threatens to disincentive the kind of risk taking that can lead to some of the most cutting edge treatments.

- Its not a concern.

Totally agree, their debt level is completely sustainable and in any case they have the means to substantially reduce it relatively quickly if they ever wanted to. As it is they reduced debt by over 1Bn last year. They also generate more free cash flow than suggested by the conservatively calculated figure they reported in their results.