M&g Share Discussion Threads

[skinny] 04/4/2024 11:02:21

Oh dear.

Why not just use one of the relevant threads - like the one I've highlighted?

[skinny] 04/4/2024 10:55:57

I refer you to post 4656 & 4613.

[louis brandeis] 04/4/2024 10:52:33

Why the moderation Skinny???

[pierre oreilly] 04/4/2024 10:44:01

In response to Louis Brandeis

That's an incorrect generalisation. Lloyda for example have a high yield, plenty of cash to fund their future and surplus cash to fund large buybacks. Ditto several other high yielders. Whether MNG is the same I'm not sure.

SO the following is not the case

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This is because the high yield generally leaves no room for funding growth or replacing new assets with old.

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I'd say 'sometimes' rather than 'generally'. This due to high divi companies rebasing their divi when or before that situation arises.

If a high divi is paid, all you can say i that the cash for the divi is no longer available to the company (obviously). What effect that has depends on the company.

You certainly don't want to buy any company purely on the basis of say a 10% yield. What you also need to know, or guess, is that the divi is sustainable and preferable growing and the business is adequately funded after the high divi cost.

[baldrick1] 04/4/2024 10:20:27

210p on the short list.

[louis brandeis] 04/4/2024 09:52:04

"I keep Aviva and have not looked at Barclays since Covid started."

It's going up - the same as Aviva!

LOL

[garycook] 04/4/2024 08:52:29

Topped up here. Think bottomed now from the XD. Nice 9% plus yield to buy into.

[skinny] 04/4/2024 07:14:36

I refer you to .

[dutchguilder] 04/4/2024 04:47:06

Ron, will you try to sell your Aviva before the XD is complete too?

[helen troy] 03/4/2024 17:11:16

Yes Ron. I have the days left until Tesco goes x divi for the prices to come into my trading range. No sweat.

[rongetsrich] 03/4/2024 16:58:51

Hi Helen, I only said maybe too late!! It might drop lucky, yet.When I started to push for retirement back in 2018 I found 2 shares that were antiphase with each other. Barclays and Aviva, and it was stupidly easy to sell and buy making money. Not sure if there's a share that works like that with either MNG or Tesco?If you have an IPhone the Stocks app gives you a good tool to compare share charts to see the pattern.I keep Aviva and have not looked at Barclays since Covid started.

[rongetsrich] 03/4/2024 16:52:44

Nonsense Peter. I had the dividend in cash, it's now invested and I have more shares than I started with.

[helen troy] 03/4/2024 16:40:09

Ron, I have a large holding in mng and a largish one in Tesco. I was looking to sell some mng and add to my Tesco holding to get the Tesco extra divi. The price of both has reduced the attractiveness of that so I'm treading water at the moment.Gla

[pierre oreilly] 03/4/2024 16:21:54

The way I see it is if you want to buy a high yielder, a good time to buy which puts the odds slightly more in your favour is around xd time (matters not whether just before or just after xd) The reason for this is that valuations are more based on p/e and other ratios based on the price compared to the cash a company holds. So getting rid of cash in the form of divis lowers the p/e and other valuation ratios (especially for high divi payers since the xd price drop is more). If the p/e before the xd was say 8, then after the xd with the price drop is 7, then in the weeks and months ahead the price will return to the previous p/e of 8 (by the price rising) since that was the established p/e which institutions previously though fair. All this relies on 'all other things being equal' (which they never are of course), hence why it just increases the chances of making a profit.

[pierre oreilly] 03/4/2024 16:09:53

But I haven't been claiming anything about my bank balance, so why should I provide evidence of it? It's not a matter of believing or not believing - it's just a matter of supplying evidence to back up what you've posted in vague terms, and to see the reason you bought and sold at those times. We're all here to learn.

[rongetsrich] 03/4/2024 14:12:38

Fenners, don't get me wrong, this is the only share I've done this on (twice now). It fed my Aviva habit this time, which will yield after the 11th. Will I do it on the interim? I don't think so, I'll be drawing a decent divi as income later this year.

[baldrick1] 03/4/2024 14:04:35

It seems shorties are working their way down to 180-200p

[fenners66] 03/4/2024 13:55:37

Well said Ron.
If they dont believe - so what no skin off your nose.

If you had merely proposed the "idea" as a test and run the numbers and found out it worked - that would have been great too as these boards are about trying to find a way to make money.

As you said , different ways to skin a cat.

I think the idea has to be situational . Must work better with hi-yielders as largely they will not suddenly get a growth story going to foil the share price reduction. Now must look at some of the others to test the hypothesis.

Of course a company announcing a buyback - which may give a short term boost to demand - probably needs to be avoided.

[rongetsrich] 03/4/2024 13:41:00

Happy to do so Irish Pete, once you have collated and posted your bank statements for me to peruse!I couldn't care less if you suspect foul play or BS, I cannot see anything to be gained from making stuff up. DYOR!