Gvc Share Discussion Threads

[velod] 25/10/2016 21:10

Private Investors could try this -

. . Hedge fund/Shorters "borrow" shares in a company they intend shorting. A commission is agreed between the lender and the borrower - and for how long the shares are borrowed. Hence when shorters sell the first tranche of shares - they haven't even paid for them yet. When it comes time to return them to the rightful owners, all the shorters have to do is buy them back in the market, hopefully they expect at less than they sold them for.

. . So where do they get these loaned shares from? Surprisingly from some of the finance houses that are advisors to the same company about to be shorted, big institutions - and also from you and I, without your knowledge or permission.

Your broker from whom you bought GVC shares may well be making money on your shares and losing you share price value with your very own shares!

One way to put the kibosh on this practise is to put a limit-sell order on your shares ( far in excess of what you ever dreamt you'd get for them in the future so they don't actually stand a chance of being sold). Once they are put up for sale your broker is prevented from loaning them out to the bigger hedge funds.

. . And if your shares are already loaned out - without your permission - then the 'lender'would demand a portion of the loaned shares back to meet requirements if he had left himself ahem, short of stock.

Tonight I've put all my holdings in GVC up for sale with a limit-sell order of 1001.01p If I wanted to to be absolutely sure of a no sale I'd have put them on limit-sell at 5001p.

. . There are some huge holdings on this board. Put them out of reach of being loaned out. This board all told, acting as one, could put huge seven figure sums or more in total, out if commission from being loaned out.

. . I'm down from 5 figures to 4 figures in paper profits - not holdings! - And I'm one of the smaller holders here.

[mnomis] 25/10/2016 20:49

RSI hit 78 on 20th Sep, so clearly in overbought territory then ... my simple 100 DMA which was support in late June and lat Jan per my trusty BBG terminal is at £6.68, so not sure that I agree about strong support at 690p ... I see support at £6.68 and £6.25 (although just my humble opinion) ...

[velod] 25/10/2016 20:15

Got no work done until early afternoon because of all this, and then had to leave and go like the clappers to get jobs done. Came back only a few hours after close expecting no worse than 689p/690p and YER WOT? 679P?!?

. . Seriously you gotta be kidding me!

. . What would Mrs Brown's response be to 679P I wonder?

. . Technicals all in the sick bay - RSI is teetering on the edge of the precipice at RSI30 - Will it fall below 30 and thus become technically classed as oversold? That being the case then wherever the share price goes from here it may be closer to the endgame than the start.

. . 679P?! Seeing as both strong support points in the 690p's were utterly and completely eviscerated, totally destroyed and crushed dismissively in ONE DAY FLAT there's only one conclusion I can come to - I'm gonna need a bigger chart!!

. . What can all small private investors do to fight back against powerful shorters? Quite a bit as it turns out in this situation. These shorters are coming at the share price in what feels like Tiger tanks crewed by mad suicide bombers - but Tiger tanks have a weak spot - their rear - So will put the suggestion in the next post to keep things concise, but first - I'm off to put that suggestion into action right now, in my broker's account.

[mnomis] 25/10/2016 20:02

@ Slippersidewinder - "The chart looks pretty depressing for those who have failed to bank profits." - chart still looks pretty good to me. Looks like a buying opportunity similar to late Jun 16% sell-off (when I also did not bank profits) or Feb 15% sell-off (when I also did not bank profits). A 13% sell-off after a 69% rise for the year is hardly anything to be alarmed about, and is still a healthy profit. Probably a buying opportunity at current levels DYOR (but will wait to see a bottoming out first) ...

[cheshiremoggie] 25/10/2016 20:00

Crikey, the share price is back where is was at the start of August....

All of 2 months ago.

Ahh, I remember those good old days of Summer when we were so poor, but still happy without any distractions from badly spelt posts.

CM.

[diviincomesearch] 25/10/2016 19:48

Agreed BroncoWarrior i find it unlikely that a multi-billion market cap firm can be talked down by a bloke who can hardly spell, ranting and raving on a BB...

Will be interesting to see where it begins to level out.

Trading updates seem to be every 2 months or so, so we can't expect one until mid November, a good one would quickly provide a rebound.

GVC went through several rough periods last year, where there would a 10-20% drop due to a large seller offloading stock, so this isn't out of the ordinary, but i a calming of this, would certainly be welcome.

Sterling's weakness is our gain, with so much of our revenues in Euros and other foreign currencies.

I'd prefer that we don't make a move for the whole of WMH or Amaya. Focus on digesting Bwin, then crack on with paying off the debt and the resumption of dividends in due course.

[popper joe] 25/10/2016 19:12

So what in particular is it about GVC that you think has resulted in their share price being hit more so than the rest of the sector?

[slipperysidewinder] 25/10/2016 19:02

Damn right i am implying.

BWIN in hot water ??????? New FD from Wonga?????


Watch this space.

[slipperysidewinder] 25/10/2016 19:02

Damn right i am implying.

BWIN in hot water ??????? New FD from Wonga?????


Watch this space.

[popper joe] 25/10/2016 18:54

I assume you mean Betway? What has that got to do with GVC? Unless you are implying that all sports-books will be under suspicion, which is hardly new news, as it was headlines on the BBC last week.

[slipperysidewinder] 25/10/2016 18:36

The chart looks pretty depressing for those who have failed to bank profits. There is still time to salvage some of your hard earned cash.

Dont be the guy holding the door whilst your mates bail out leaving you with a handful of broken dreams.

Dont be the hero or the guy wearing the rose tinted specs.

Most of all, never fall in live with a share!##

[popper joe] 25/10/2016 18:13

UT at £6.79 and then an 80,000 share (£550K) negotiated trade at £6.95 after hours.

[festario] 25/10/2016 16:31

The UT will be interesting, because up to now, there is nowhere near enough volume being traded to justify such a drop.In fact, it's lower than any session for ages.Any bad news that was known to some parties would have seen some major quantities being dumped, visibly throughout the day.

[srpactive] 25/10/2016 16:30

Could the shorters have an agenda on the behalf of wmh.
Drive the price down to buy a little cheaper and get
KA to run the combined operation.

dyor

regards

active

[cheshiremoggie] 25/10/2016 16:16

Maybe but..."With only around 10% of its customers in the UK, it is the least exposed of any peer to the risk of increasing duty/regulation in its domestic market, Liberum said."

[festario] 25/10/2016 16:13

Malachey, it's just an inquiry by a U.K. bureau, into gaming companies T&C's generally.It's old news really, and other gaming companies should be hit harder than GVC because of their huge exposure to the UK.Brands like 888 and 32 Red have a large proportion of U.K. business, but are not coming under this degree of pressure.It's just the scaremongering shorters, having a little romp, before the likes of us continue to build our position in this excellent company.

[malachey] 25/10/2016 15:59

Any credence to this explanation?

[nurdin] 25/10/2016 15:54

No sign of that yet.

Why pick on GVC when there are far more deserving cases out there?

[festario] 25/10/2016 15:49

Once the shorters have had their fill, and it might be a while yet, who knows?Then when the are closing out, it will be instantly obvious and when the uptrend is in place we can pick up a larger holding at a discount price... well below 700p

[plasybryn] 25/10/2016 15:43

You are right Festario, this is going to present a rock solid buying opportunity.
Seems we are experiencing a re-run of what happened before.
A few Institutions reduce for what ever reason and unknowing pte investors like lemmings follow suite only to find the price recovers quite soon & they have to pay more to get back in.
What a silly game. Money transferred from the nervous to the confident.
Last time I missed out...not this time.
Brillant.

[foxman14] 25/10/2016 15:36

Slippery

See you just got back from your lunch and found some coat tails to hang to. The FD.

Only problem is he joined Wonga to oversee the restructuring after all the compliance issues had been aired. He has an excellent track record.

Let me tell you how these shorting consortiums work. They are like Ponzi schemes. All the big boys start selling and/or shorting at 750/760. Then more and more people are involved until the bottom feeders get in around now.

Then the squeeze starts to come, the big boys close and guess who gets left holding the can!

You better avoid long lunches from now on!

Have you got any facts for us yet?

[gorilla36] 25/10/2016 15:31

Velod - Interesting analysis re shorting, thanks for sharing that.