Gsk Share Discussion Threads

[darias] 15/3/2018 11:05

I really getting fed up with this board. There are clear shorter who are trying to worry the weak holders by talking about Pfizer. The CEO has clearly said she will not overpay. We either trust her statements in which case we pile in at this price or we don't in which case we should have left by now. It is the shorter who are discussing Pfizer and it is my view they will be burnt.Holders have nothing to worry about.

[alphorn] 15/3/2018 11:03

There is also an argument that major mergers/acquisitions can provide a group with the opportunity for restructuring that would not be available otherwise. Glaxo plus Wellcome and GW plus SKB are two relevant examples.

[al101uk] 15/3/2018 10:57

CEO's have more responsibilities than just looking after the share price, they are there to run the company. That involves strategy, oversight communication, delegation and taking advice.

In decisions like the one involving Pfizer for example Emma will have appointed investment bankers to value the potential acquisition. Investment Bankers aren't in it purely for the good of the Glaxo share price either, they are in it for the fees.

Just because Emma is the CEO of Glaxo doesn't mean she is any more adept at corporate finance than some on here. Just as it doesn't mean she will personally develop a cure for cancer.

[abdullla] 15/3/2018 10:32

Surely the CEO should know better then what is being discussed on this learners board,sadly the markets are pessimistic hence the daily fall in the share price !

[ygor705] 15/3/2018 09:54

IMO the GSK balance sheet is weak and, in an environment where patent protection on drugs is arguably too short to cope with their upfront development costs, who knows if the goodwill shown as assets in the GSK balance sheet are really worth the value ascribed. Could GSK do a Corporate Bond issue to fund the Pfizer situation? Probably. Would it be medium/long term at a fixed rate? Yes, if GSK has got any sense. Would there also be a rights issue? Yes, I think so. How would the GSK balance sheet look after any acquisition? Even worse than now. Realistically, if the Pfizer situation goes ahead, we should be looking at GSK as a leveraged entity rather than a large corporate. In that situation, the stability of forward revenues and margins plus insulation from interest rate rises will become of critical importance. The danger here is that the Board end up creating a Zombie company.

[al101uk] 15/3/2018 09:01

Bonds pay interest, they have a cost, just like bank finance.

The assumption is that the total cost of debt will overwhelm the companies ability to pay a dividend, whether that is through bonds, banking finance or whatever.

[montyhedge] 15/3/2018 08:54

Yes knock 50p off the share price in one go, if they did win. Investors would think dividend might be under threat, but surely just raise money in the corporate bond market.

[tradermichael] 15/3/2018 07:51

A price that is acceptable to Pfizer would mean that the winner has overpaid ..... ;o)

[montyhedge] 15/3/2018 05:37

I don't know why, I just have a feeling we will win the Pfizer bid.

[jadeticl3] 14/3/2018 16:47

Hi Abdul’s, are you fed up because you did not get a vote? The outcome is called democracy.

[abdullla] 14/3/2018 16:41

Dow tanking 500 points ftse going below 7000 and GSK going below £13 again,take your pick !

[toffeeman] 14/3/2018 15:45

IMM is being pumped by many usernames - each time I see as IMM post I filter the poster.

[romeike] 14/3/2018 14:42

IMM don't even have a sales team and this is the GSK board. Honestly I think IMM must be among the most over hyped stocks on these boards. I wonder how all those punters who bought in over 150p are feeling now it's headed back in the wrong direction.

[top tips] 14/3/2018 14:39

Immupharma (IMM) looks interesting ahead of reporting Phase 3 results for potential blockbuster lupus drug 'Lupuzor' later this month. Data so far indicates it could be far superior to GSK's 'Benlysta'.

Market capitalisation still below £200m at 125p, a potential 100 bagger as the drug could open up the whole of their 'P140' platform to dozens of high value indications.

[abdullla] 13/3/2018 16:45

Imo, the referendum was a big mistake.

[abdullla] 13/3/2018 15:56

Dow still up where as ftse likely to score a century,albeit downwards,a direction less uk market on account of leaving Europe,IMO !

[darias] 13/3/2018 15:38

Discussion on this thread has been about possible acquisition of Pfizer but nobody has commented on this paragraph from the Annual Report published today,

"Dividends represent an allocation of capital and the Board is mindful of the value that many shareholders attach to dividends. Under our framework, any material acquisitions have a lower priority and would have to meet our strict returns criteria."

It is my view that recognises that any deal with Pfizer will have to be eonomically sound and not speculative.

[gallops] 13/3/2018 14:06

Trader Michael
Thanks for the information reply much appreciated.

[abdullla] 13/3/2018 12:09

GSK 15p down now spells Dow mini crash imminent!

[romeike] 13/3/2018 11:57

Another full year of Advair revenue looks likely to support 4 - 7 eps growth for 2018 and yet share price down today sadly. Good news for GSK though, every extra month of ongoing revenues from Advair is a bonus. Need to break resistance at 1350p.

Alphorn filtered.

[ny boy] 12/3/2018 23:23

IMM will be able to buy GSK for petty 💰 soon 🤫

Gradual climb here with a few niggly down days. Steady as she goes Sir

[romeike] 12/3/2018 22:54

About time the shareprice was the other side of 1400p!! - Make that 1700p

[romeike] 12/3/2018 22:54

Please stop discussing IMM on the GSK board. There is an IMM board, go join the dreamers on their board please.