Imperial Brands Share Discussion Threads

[kiwi2007] 04/5/2020 10:42

Smokers seem less likely than non-smokers to fall ill with covid-19
That may point towards a way of treating it

Aquarter of French adults smoke. Many people were surprised, therefore, when researchers reported late in April that only 5% of 482 covid-19 patients who came to the Pitié-Salpêtrière hospital in Paris between February 28th and April 9th were daily smokers. The ratios of smokers to non-smokers in earlier tallies at hospitals in America, China and elsewhere in France varied. But all revealed habitual smokers to be significantly underrepresented among those requiring hospital treatment for the illness. Smokers, the authors of the report wrote, “are much less likely” to suffer severely from sars-cov-2, the virus that causes covid-19. Rarely, they added, is such a result seen in medicine........?????????

Anyone got a heads up what's behind the paywall?

[lendmeafiver] 01/5/2020 18:52

Take 6p off for the cigar sale, call it £2 per share and hold it there, simple.

[scrwal] 01/5/2020 18:42

I reckon the interim div will be kept as is and that any tweaking will be on the final div as by that time the overall picture will be clearer. A freeze on the div for a couple of years , if affordable, would be a potential way forward especially if the eps rose.

[lendmeafiver] 01/5/2020 16:23

Have you seen the oil price...

[strutt12] 01/5/2020 14:46

That's what a lot of shell investors were thinking too!!

They have a good reason, eps 100p a share.

[spud] 01/5/2020 14:38

And the price tanks 30%. That'll do it!For the final time, the dividend is well covered! Why reduce the dividend of a dividend stock for no good reason?Madness. spud

[strutt12] 01/5/2020 14:18

The next two dividends due are around 30p each so I don't see them being reduced, what i do see going forward is maybe reducing the following two 70p dividends closer to 30p that gives the new guy 6 months breathing space.

[eeza] 01/5/2020 13:43

You have to pay for quality.


Just a pity we didn't get it. Only the cost.

[daneswooddynamo] 01/5/2020 13:37

And it would have been even more if shareholders had not blocked an increase from 5.5 to 8.5m in 2017. Astonishing!

[eeza] 01/5/2020 13:13

Only if you give her another £73m.

[lendmeafiver] 01/5/2020 12:58

Can we have the old CEO back then please

[kiwi2007] 01/5/2020 12:50

I'd imagine they will cut. Either this month or, perhaps more likely, after the new guy gets his feet under the table later in the year.
I'd be happy with anything North of 130p.

[daneswooddynamo] 01/5/2020 12:43

Not quite correct the 2 billion target included some other asset sales although cigars business has brought in a few hundred million less than original hopes

[jezza123] 01/5/2020 12:29

they were supposed to be getting 2billion from the recent sale - and this was earmarked to reduced the debt pile - they didn't get 2 billion so how else can they proceed without clawing money back from the divi?

[minerve 2] 01/5/2020 12:12

Whether the dividend is cut or not will depend on the boards view of what returns on equity they can get from increased investment in NGP. To some extent they are almost forced to go down this route anyway. BAT and PM pump £1bn/$1bn into capital expenditure every year. IMB would have to triple or quadruple their capital expenditure to compete at the same scale. If the capital expenditure isn't deemed to get the satisfactory return there really wouldn't be a need to decrease the dividend unless share buybacks offered a better return on equity than the board expects we would get by investing elsewhere or they believed the debt profile needed reducing at a faster rate than it currently is.

[daneswooddynamo] 01/5/2020 11:42

Rdsb cut took market by surprise. Market has been betting on a cut here for months. If it is a sensible cut it is priced in.

We shall see

[spud] 01/5/2020 10:02

You've only to look at RDSB to see what a dividend cut does to a dividend stock. I suspect those here in favour of a cut haven't yet bought or have a holding they wish to increase when the price plummets. If the Company had greater headroom with the dividend saving, all they'd do is waste the money on meaningless buybacks! spud

[irenekent] 01/5/2020 09:32

All we need is the WHO to say that smokers are less affected by Covid-19. As I said earlier retaining the div would be seen as a positive which would help to lift the share price whilst lowering the apparent yield ratio.

[eeza] 30/4/2020 19:30

If anyone wanted it they would have bid @ 1275p. They would not have waited for the share price to rise to 1680p.

[daneswooddynamo] 30/4/2020 19:22

Sure but if they cut to say 150p from 200p plus that would give them 500m to repay debt and invest in ngp. Would be a 50 percent yield premium to bats. And with imb there is always the ongoing chance that it gets consolidated it is looking a minnow now in a sea of big sharks

[eeza] 30/4/2020 18:59

If they cut the div where would you rather have your money. Here or BATS. The original no-brainer. Peeps will be killed in the rush to the exits.

BATS has vastly: superior management, game-plan, execution, s/hlder engagement and is held in much greater regard. If they both yield the same this will be emptied of investors.

[spud] 30/4/2020 18:32

Totally agree. spud

[eeza] 30/4/2020 18:30

No problems at BATS - they have increased their dividend. New CEO needs to keep one thing in mind - this is an Income stock. It is not in trouble the way that RDSB is.
They are selling addictive products to addicts. It should be a cash cow.