Hargreaves Lansdown Share Discussion Threads

[mngf] 08/6/2023 20:29

Can you elaborate? Always been great service to me. I never have to call, just message and they reply next day

[stoopid] 07/6/2023 17:20

https://citywire.com/investment-trust-insider/news/hargreaves-lansdown-shares-rise-after-strong-third-quarter/a2416061?re=108585&refea=1746813Unloved and undervalued atm. Active savings is going to do well/is doing well.Revenue has increased, customer retention is high and Divi will be increased.

[jubberjim] 05/6/2023 15:36

I seen somewhere that Hargreaves were interested in going down the A.I route

I would suggest that they utilise Any Intelligence before venturing any further into it

What has happened to the service it used to provide

It is absolutely dire at the moment.

[jubberjim] 05/6/2023 12:32

Looking at the lack of movements across all shares do not see much headway for any of the brokers

Sold my Abdn this morning on that premise and doesn t look like it will improve near term

This one is on a watching brief but remaining wary

Prefer to hold cash at moment

[giltedge1] 02/6/2023 13:18

Talk of comparison with gilt yield misplaced, gilt yield 4.2%, HL yields 5%, but also reinvests another 5% in business, so thats 10% earnings yield.Also when IT upgrade finished, more special dividends. Sure riskier than gilts but adequate reward.

[giltedge1] 26/5/2023 11:42

Bought back at £7.95 looks good value No. 1 Broker & 5% yield, net cash on Balance sheet.

[ochs] 25/5/2023 11:51

Strong half-year results from AJ Bell this morning (to 31/3) - turnover up 37%, pre-tax profit up 61%, and margin up from 34.6% to 40.4% - with dividend up 26%. Although net inflows were down from £3b to £2b.

[ochs] 25/5/2023 10:24

@Porsche1945, I get your point about BP, Shell etc holding up FTSE, but if interest rates keep going up as you suggest that does benefit HL due to their high cash margin - as their clients get increasingly nervous about markets even more will probably hold cash.

[porsche1945] 25/5/2023 10:15

This will re test lows, can’t hold any gains. U.K. interest rates heading towards 6/7pc plus as core inflation still rising, nightmare, why take the risk with stocks paying 5 pc dividend when you can get same and more with U.K. gilts. The whole of the ftse now held up by 4 shares, the rest either at multi year lows or leaving the index to list in the US, when those four roll over you could be looking at 5400…watch this space. Builders have been a fantastic short, as I said, that will continue. Expect to see them halve again, brexit basket case U.K. ( even that 🤡 Farage now admitting it’s been a disaster ) in the shxt. Don’t bother to reply Jubberjim, just keep going to the adult learning centre, there a good little chap.

[lomax99] 25/5/2023 08:37

Yield back above 5%, will be adding from the low £7's down.

[ochs] 24/5/2023 09:40

@giltedge1 today is a good example of my concern for the HL share price since March - we fall when markets fall, but we failed to rise since mid-March when markets (espec Germany and UK) have been doing very well.

[ochs] 24/5/2023 06:55

Yes, its a great money making machine, and would be a sensible fit for a big UK bank, or foreign competitor or Private Equity.

One correction from your post - HL definitely do pay bonuses, but perhaps not to excess like some banks have in the past.

[giltedge1] 23/5/2023 14:48

Makes great margin on cash deposits, shows what a great profit Lloyd's, Barclays make, but they waste on staff bonuses, branch network etc. Wheres HL has one office on Bristol & no bonuses. Just checked interim report more customers than thought 1.8 m & great cash flow if you add back change in working capital & strategic spend about £190m in 6 months. Would make a great fit for a big Bank Barclays for example with founders cooperation of course.

[ochs] 23/5/2023 10:23

Fingers crossed, I certainly think it will be hard for the FCA to take action against HL. Surely if they were planning to they'd have done it at same time as Link?

High markets at present are great for monthly percentage fee income on funds, plus higher interest rates go straight to the bottom line with the £billions of cash held.

[lomax99] 23/5/2023 09:29

Perhaps realisation is dawning that no direct legal action against HL re W will materialise.

[giltedge1] 23/5/2023 09:12

Hello Ochs, looks like we have support above £8.00, bounced 4% in a few days.

Could be £9 soon.

[ochs] 21/5/2023 06:20

Good point @giltedge1, for a long time the market rated HL as a growth stock, hence the premium price and high P/E - now profits have actually caught up with the share price and the market is not seeing so much future growth (at present) and so the dividend yield is also looks healthy at present.

With regards to the fund list (ex Wealth 150) I think you're right - infact HL always did things very much in conjunction with the FCA - so the way it was presented (on a non-advisory basis) was essentially FCA approved. Perhaps the market doesn't understand this point?

I think future growth can come from the Active Savings service - the potential is still massive and they started it ahead of competitors - although a lot of marketing spend will probably be needed to make it really big. Additionally there will probably be some consolidation - perhaps a future merger between HL and AJ Bell?

[giltedge1] 20/5/2023 14:15

Hello Ochs,I think we have to look at big picture. Floated 2008 round about £ 1.50 now £ 8.00 in 15 years 5x + divs, say 8x (Compare BT, VOD, LLOY all down). FUA at floating £8B now £132B, customers over 1 Million. Looks good once you step back from short term noise. Sure bumps on the way, Fund lists are tip sheets. Lawyers & FCA cannot prosecute because that is what they are, not advice.

[ochs] 20/5/2023 11:52

@giltedge1, I agree with much you say, but the big problem with the share price at present is the Woodford saga still hanging over it - seems the market won't re-rate until it is finally put to bed.

My other concern is that where the market has generally recovered very well from the mid-March lows (for example Germany reached all time highs yesterday and the Nasdaq is now above the highs from Aug 2022) the HL share price is hardly changed from March - and therefore if there were to be a general market correction HL could be in danger of falling below previous lows and perhaps under £7 or worse!

[lippy4] 20/5/2023 11:33

hl is going down the road of ai and now trying to deal with them on the phone has become very long to get to talk to a dealer,i was always happy to pay more as their service was excellent,not any more..

i complained and of course it goes over their head,ai stinks and their service does now..i see there is a article about it in the telegraph financials today..

[giltedge1] 20/5/2023 11:04

Looks good value UK No. 1 Broker, at £8 & 5% growing yield, I last sold higher, will buy back. Great beneficiary from high interest rates & passes on rates to savers, unlike Barclays, Lloyds etc. These savers will buy shares/funds when interest rates drop. Should benefit from IT spend, less workers required. Founder shareholders putting pressure on Management to improve. Low cost base, one office in Bristol, main expense staff which can be trimmed. One to add.

[jubberjim] 17/5/2023 08:09

Here's a tip

If you are going with A.I
Have a good think about it and if and when you do decide make sure the systems work

Absolutely rubbish at moment.

Yet again no updates

[ochs] 16/5/2023 19:23

Entertaining chat with Peter Hargreaves over lunch, well worth a read!

[lomax99] 04/5/2023 17:29

Ben Williams, Shore Capital:'We continue to see HL as a cheap share, with the nature of the new client experience, and of the quantum of cost savings planned both being misunderstood by the market,' he added.Https://citywire.com/investment-trust-insider/news/hargreaves-lansdown-shares-rise-after-strong-third-quarter/a2416061?re=108585&refea=1746813

[lomax99] 04/5/2023 10:29

No need for a correction, that figure I gave was clearly the YTD figure, and it was 23% up on the prior year comparative.