Metro Bank Share Discussion Threads

[lotsostocks] 25/1/2019 08:16

Hello Bitco1n you NONCE !

[lotsostocks] 25/1/2019 08:13

This has been way oversold guys and expecting this to climb back up now ! Happy with my position here and willing to wait to see the fair value. Ignore NONCES like the ant lol

[lotsostocks] 25/1/2019 08:12

YOUR A NONCE !!!!!!!!!!!!!!!!!!!!! Bullet ant ! Most people stamp on ants when spotted lol

[chucko1] 25/1/2019 00:13

Benny, is that 20 referring to P/E, pounds or pence? You weren’t the person doing the RWA calculations, were you?

[benny shares] 24/1/2019 22:00

IMHO 20 by February

[swiftnick] 24/1/2019 16:07

Underlying EPS for 2018 (announced yesterday) is 40p on which basis puts the shares at 1475p on a more palatable P/E of 37.

[tsmith2] 24/1/2019 16:04

Lol. Brilliant.

[buywell3] 24/1/2019 15:58

P/E 112 looks a bit high

For a UK Bank that is

Not a Tech stock is it

[1224saj] 24/1/2019 15:34

Ny boy, sometimes the BOD don't like certain members sitting round the table

[tsmith2] 24/1/2019 09:19

each to their own..

[ny boy] 24/1/2019 09:04

tsmith2, you maybe right but these markets are unforgiving at present, I would say more downside before a recovery. The global markets are mixed and lack direction at the moment. Best sit on the fence for a while, it’s what I am doing.

[tsmith2] 24/1/2019 08:08

Yesterday's fall was utterly ridiculous. trading at less than book value

[buywell3] 24/1/2019 05:54

Banking in the UK was and is never going to be easy

Except for a very select few in high places

[ny boy] 23/1/2019 23:58

One is somewhat alarmed by the quality of the management, only in November one director bought 10’000’s of shares £21-23 ffs! Just biazzare, what was he thinking or on at the time?

[bullet ant] 23/1/2019 23:05

People

I think Santander will pounce in with a nominal offer of 99p for the entire bank. Soon overnight lending will freeze.

Most likely redux of Northern Sheik NRK. Once overnight interbank lending start tightening, -50% on daily recurrence till lender of last resort has to step in.

BOE and PRA must be monitoring overnight lending. We won't know if they are already tapping emergency lending till Peston shouts it.

Based on this bombshell, I do not think Ant will get in the dead titties bounce. Keeping Goolies safe.

BA
Stealing is Good (

[montyhedge] 23/1/2019 19:25

I see another 1000p off this price. Not worth more than 345p.

[tsmith2] 23/1/2019 18:26

Trading at discount to book?

[tsmith2] 23/1/2019 18:19

Metro Bank has revealed a major blunder in how it classifies its loan book, sending its share price crashing by 30% and wiping £600m off the value of the company.The bank, which has been opening new branches as established rivals cut back, revealed that hundreds of millions of pounds worth of commercial property loans and loans to commercial buy-to-let operators had been wrongly classified in risk terms, and should have been among its "risk weighted assets".After the blunder emerged, Metro's shares plummeted from £22 to about £15 as analysts feared the bank may have to raise fresh capital, just six months after tapping shareholders for £300m to finance its rapid expansion plans. When a bank has higher risk weighted assets (RWAs) regulators require higher amounts of capital to be set aside.Metro launched in 2010 and has opened new banking halls in city centres across the south of England. It floated on the stock market in March 2016 at £20 a share and spiked to more than £40 a share in March last year, but has since been falling.Metro Bank chief executive, Craig Donaldson, said that "credit quality has remained robust" and that "notwithstanding the RWAs, the bank continues to do well".It said it had called in a "big four" accountancy firm to audit the loan classification, and had immediately reported the issue to the Prudential Regulatory Authority.Metro Bank founder Vernon Hill sees off shareholder revoltAbout one-third of the £14.2bn lent by Metro has gone into commercial property or commercial buy to let. Only 50% of the commercial loans and 35% of the buy-to-let loans were placed in the "risk weighted" bucket. They were all moved into the RWA band after a reassessment.The bank also revealed that tougher trading conditions meant underlying profits for 2018 were £50m, significantly below expectations of £59m but 136% up on a year earlier.Mortgage margins have been hit by harsher competition in the sector and general uncertainty in the property market over Brexit, it said.Sign up to the daily Business Today email or follow Guardian Business on Twitter at @BusinessDeskMetro insisted its growth plans remained on track, with Donaldson saying the market "should not assume" that the bank would be seeking extra capital. Its total capital ratio fell from 19.1% to 15.8% after the loans reclassification, but Metro said it remained comfortably above the 12.6% regulatory minimum.It said that in the fourth quarter it opened 100,000 new customer accounts. Six new branches took its total to 66 and further expansion in the West Midlands was planned for 2019.Donaldson said: "Metro Bank remains well positioned to support our growth strategy as we navigate an uncertain period for the UK."

[tsmith2] 23/1/2019 18:16

"Total capital ratio fell from 19.1% to 15.8% after the loans reclassification, but Metro said it remained comfortably above the 12.6% regulatory minimum."Over reaction here.

[frazboy] 23/1/2019 16:55

bargepole...

when i read this this morning, I only saw the profits warning (Q4 profits flat), had I seen the wrong risk band i would have gone short

management has zero credibility.

[essentialinvestor] 23/1/2019 16:42

The wrong risk band. Words fail me.

[future financier] 23/1/2019 16:33

Sanity prevails - at last - in terms of price vs. profit. As an investor you now have to take a view on how robust they have been in applying relevant criteria before making loans - and on the evidence of their inability to get a simple thing like Risk Weighted Assets correct are they worthy of your trust?

[ny boy] 23/1/2019 16:29

Bears will be all over this tomorrow, unless some miraculous news, bestva oided.