Melrose Industries Share Discussion Threads

[jackdaw4243] 02/4/2020 16:24

Broke a rule, added to an offside position with MRO and RR. £2.78 and £0.74 again I could be the "kiss of death"

[yertiz] 02/4/2020 13:58

Another dip at 75.3p, cheap as chips, bargain of the century etc, etc. Now expect MRO to consolidate and rise steadily to £1.05 over the next 2 weeks.

[yertiz] 02/4/2020 09:43

The programs I was alluding to are the drug trials and immunisation research/development schemes. You can bet your bottom dollar the Chinese hierarchy will not be lifting a finger to help the RoW in this. So get off your high horse and stop pontificating, makes you look kind of ridiculous, tbh.

[yertiz] 01/4/2020 16:27

Toe dip at 80.20p, couldn't resist but tomorrow could easily see 75p....

[yertiz] 01/4/2020 15:27

Worst case scenario is Covid-19 mutates to become a new, more virulent pandemic, but there is the hope that not only will there be monoclonal antibody treatment tailored to combat the current strain, but also other, novel and more specific drug therapies to aid recovery in those affected. Rest assured the companies involved in immunisation/drug develooment are working full on to create the best fit for this disease. Chinese should foot any bill for all these programs. Watch out for Avigan and it's subsidiaries, already on the market. Had some benefit for Covid affected patients. Could well see MRO dip below 80p this afternoon.....and I'll start buying back

[gettingrichslow] 01/4/2020 13:10

Yertiz, not so sure, have you seen some of the modelling that is suggesting that what we are seeing now might not even be the biggest wave of Covid19, and that could be in a second wave coming in Dec 20? IF that comes to pass then the situation would be very grave indeed for MRO and frankly most other businesses.

[yertiz] 01/4/2020 11:48

So, is sub 80p on the cards here? Already seen one dead cat bouncing, sucking in a few and blowing them out again just as quickly. Share movement becoming very predictable in these trying conditions, but as earlier stated, anything in the 70's has to be a complete steal.

[reddevils1] 01/4/2020 09:54

Amazing that these guys are surprised by what happens to the GKN Driveline and Powder Met business when auto OEMs shut down. Only need to go and take a look at GKN results and share price and rescue equity issue from 2009 to see what will be required here........

[minerve 2] 31/3/2020 14:08

htTps://ftalphaville.ft.com/2020/03/30/1585559932000/Markets-Now---Monday-30th-March-2020/

[yertiz] 31/3/2020 13:57

Really? Post the link, please. Anything about Rolls Royce in the same issue?

[minerve 2] 31/3/2020 12:08

FT quote from yesterday: "Melrose Industries, the publicly listed private-equity style sacking-people-and-making-operations-run-as-hot-as-possible-before-flogging-them-off specialist." LOL

[minerve 2] 31/3/2020 11:27

jackdaw Buy-backs - when executed properly - should be a function primarily of return on capital so if it works at £28 it works even better at £13. Unfortunately, lots of executive pay is linked to earnings per share so the way for directors to earn more ATM is easily done by using cheap debt to decrease share numbers. Your job as an investor is to decide which camp the company falls into. If the buy-backs are done from earnings and its highly correlated cashflow then they fall in the first camp, other than that they are probably in the second camp. A very good example of a company that executes share buy-backs to perfection for the benefit of its shareholders and executives is NEXT. Go to their 2013 annual report/account for a wonderful description of their share buy-back policy by Lord Wolfson.

[deadly] 31/3/2020 09:20

-20% then +20% swings in 2 days for this are amazing.

[jackdaw4243] 31/3/2020 09:12

I struggle to understand the merits of share buy backs when the share price is going through the floor. It brought GE nothing but pain, Shell have stopped what do Ashtead know, buying back at £28 and down to £13.

[archy147] 30/3/2020 23:33

I bought in on the drop today. Gradually building a portfolio of strong FTSE 100 and 250 companies that are trading at 1/3 of their previous highs. (MRO just falls short of this criteria but after today’s drop I couldn’t resist). This may not be the bottom (it’s impossible to call) but a year or so from now I expect to have made a 100-200% profit on each of these bad boys. GL all holders!

[minerve 2] 30/3/2020 21:21

gettingrichslow I'm sure you timed it right getting. And I'm sure you will time EVERY bottom of EVERY share you hold! LOL If you buy the right companies you really shouldn't have any need to sell when prices go lower. You should be a buyer.

[henley2] 30/3/2020 18:32

The only surprise with the trading statement is why they chose to issue it 5 minutes before the close of the market. It’s out of the way now, they’ve announced the dividend cut and told the market about their financial position. Given the volume of shares traded in the closing auction, presumably short covering induced, it’s time to buy!

[gettingrichslow] 30/3/2020 18:32

Minny, they’re not professional investors, no, but they still made the right decision didn’t they?! Unlike you it seems who didn’t have the right stop-losses in place. They, like me, are now sitting on big cash piles that are worth way more than if we hadn’t acted. Now that might not be such an issue when dabbling in relatively small amounts of money like you do, but at the amounts I had invested I had to act fast, and I did, and I’m very glad I did! Sometimes you have to make big calls Minny, and it seems you failed to do so!

[gettingrichslow] 30/3/2020 18:16

I’m amazed people are still asking ‘why has this fallen?’. Are people not watching the news??

[minerve 2] 30/3/2020 17:51

Keep safe all. This is horrible.

[minerve 2] 30/3/2020 17:50

Ashtead is certainly one to watch. Probably going to fall more as the US starts to feel the pressure more - not pleasant but will push down the price. Ashtead is a good stock to hold in a portfolio as an hedge against catastrophe insurers. When hurricanes hit insurance companies get hit also but Ashtead gets a boost from rebuild whilst you wait for insurance premiums to pick up. :)

[yertiz] 30/3/2020 17:44

Thanks for the reply, Minerve2 - appreciated (honest!). I'm not buying anything until the smoke clears, then there'll be some BIG money to be made, providing I get in early enough. Melrose may not be at the top of my shopping list, but well worth a crack at sub - 80p. Looking intently at rebuying Halma, Ashtead, house builders (Vistry, Redrow,) and infrastructure developers (Hill & Smith, Segro) if these are still in business by the end of June. Stay virus free, safe and Indoors!.