Hsbc Share Discussion Threads

[crontab] 17/1/2007 22:32

You're welcome mate.

[tuftymatt] 17/1/2007 22:28

Thanks very much Crontab.

[crontab] 17/1/2007 22:25

tufty

I wish I knew. No-one ever knows. One just looks at a company and thinks things such as, "is this a good company?", "does it pay a good dividend?", "is it well-poised for the future?", and, "is it good value?".

All very subjective but, for me, it's yes, yes, yes and yes. The clincher is the provenance, which probably explains why they are where they are in China.
It might get cheaper; probably will, as we can not reasonably expect to pick the bottom.
But it's cheap enough for me right now, and I will add as it rises. I will not add on dips, but as it goes lower, I will set my buy stops to be triggered on the way back up. Good money to be made here, if one can be patient.
Btw, I am not bearish on the $.

Max downside at ..erm...860 - if the wider market stays up - at a guess.

[tuftymatt] 17/1/2007 22:07

crontab,

What is you take on the possible price movement then please.

[crontab] 17/1/2007 21:59

HSBC
Published: January 17 2007 13:34 | Last updated: January 17 2007 19:59

In the global banking playground, it is HSBC's turn to be picked on. In the past three months, the bank's shares have fallen 9 per cent, while the banking sector globally has gained 8 per cent. Troubles at Household, the US consumer finance group acquired in 2003, are the latest catalyst. Losses on Household's US mortgage book in the third quarter were all the more galling given prior eulogising of the credit risk models built by its 120 PhD-holders.

Based on Household's travails alone, though, HSBC's weakness is overdone. Household generates a fifth of group profits and only one part of that business – second lien mortgages – has run into trouble. It is quite possible that broader problems are looming in the US. But UBS reckons that at HSBC's current share price, the implied value of Household, forecast to generate $2.3bn of earnings in 2007, is less than zero.


Re 301...also they're getting pummelled over (lack of) cost control and progress in investment banking. But they are EXTREMELY well-placed in China. They are in the top 3 Western banks in China and arguably with their provenance they are in the top 1.

[crontab] 17/1/2007 21:48

KenBachelor - 13 Jan'07 - 09:09 - 292 of 301


I posted this last night on my thread.

The analysis suggests a short this week, with a target of 739p.

I've laughed at some of these prophecies before and then found them to be right.


What, and whose, analysis exactly?
20% downside from here? What a load of old tosh!

Oh, and I also have laughed at some of these prophesies before and then found them to be wrong.

[bloodsports] 17/1/2007 09:12

The share looking cheap compared to others in the sector. I got a holding have had for a long while think they undervalued compared to HBos and others. My take on the reasons are:

1. The dividend is paid in dollars so we are not getting the same amount due divi due to the exchange rates
2. Possible bad debt concerns in America esp. The bank they brought a few years back concentrating on sub-prime borrowers/lenders. (hosehold?)

Any others that i am missing?

And views please.

[miata] 16/1/2007 10:49

The Hong Kong government should consider cutting taxes given the huge budget surplus expected in the fiscal year to March, an HSBC economist said.

HSBC Asia-Pacific economic advisor George Leung said the government is expected to record a 22 bln hkd budget surplus for the current fiscal year, four times the government forecast of 5.6 bln hkd. The bank forecasts HK GDP growth at 5.3% this year amid continued growth in domestic consumption. He said he remains bullish on the territory's economic growth and may raise the forecast later this year if the US economy achieves a soft landing.


In HK, the HSI fell 41 points to 20028 - some profit taking following yesterday's large rise and ahead of this week's BoJ decision.

As regards investing in HSBC shares, consider where 'cable' is heading with future UK interest hikes (UK inflation accelerated to the highest in at least a decade) and the probability longer term of future reductions in US interest rates.

[diku] 16/1/2007 10:19

If HSBA falls that low...it will take the whole banking sector down...barclays comes to mind first...

[tuftymatt] 16/1/2007 10:06

Well Gateside if you make a call let me know as I am interested in buying but am not sure if we will test sub 900.

[tuftymatt] 16/1/2007 09:34

Thanks Ken and I will do.

[kenbachelor] 16/1/2007 09:33

It is not a mistake, but see the analysis on my HSBC thread.

[tuftymatt] 16/1/2007 09:27

Hello everyone,

Having missed out on the October rise I have kept away from HSBA for a while but am now looking again to buy. What is the general feeling here currently and are any of you expecting the price to drop below 900?

I see ken has posted someone see's 739!! that must be a mistake.

Thanks in advance.

[penycae] 16/1/2007 09:16

Dear oh dear. :0(

[gateside] 16/1/2007 08:50

HSBC is the highest riser amoungst The Banks so far today... something must be wrong with my screen!!!!

;-)

[gateside] 15/1/2007 17:15

A good opportunity to buy some HSBC cheap, or time to bail out?

[gateside] 15/1/2007 17:12

This chart says it all for HSBC at present!

:-(

[miata] 15/1/2007 09:12

In HK banks were boosted by hopes of increased yuan business and the rise in China shares. The HSI rose a hefty 455 points to 20,069.

The lack of a positive move in the UK says a lot.

[kenbachelor] 13/1/2007 09:09

I posted this last night on my thread.

The analysis suggests a short this week, with a target of 739p.

I've laughed at some of these prophecies before and then found them to be right.

[financeguru] 13/1/2007 08:35

I agree with the view to buy more if the price drops below £9, I had already made that decision. However, I don't think we will have the opportunity. Unfortunately I see a very narrow trading range at the £9.10 - 9.30 until such time as the market sees fit to break out over the £10 level (that is always assuming there is no general market crash!). It is always nice to read your updates, would be better to hear you just a little more upbeat though!

[kenbachelor] 12/1/2007 20:12

The analysis suggests a short this week, with a target of 739p.

I've laughed at some of these prophecies before and then found them to be right.

[miata] 12/1/2007 18:06

Short term the market took the view there were better prospects in other banks, I followed by reducing my holding in HSBC in October and investing more in LLOY and RBS. I would however buy more HSBC below £9.

[financeguru] 12/1/2007 17:01

Hey, MIATA.... you seem to be very negative about HSBC these days. Anything you want to share with the rest of us?

[miata] 12/1/2007 13:19

Conversely when/(if) the BofE increases interest rates again the dollar will weaken.

[verynervy] 12/1/2007 12:50

Now the analysts are downgrading its probably a good time to buy!

When the dollar starts to strengthen this share will take off and the affects that the rockets up backsides in the boardroom will help.

It is undervalued and could get even more so in the short term!