Provident Financial Share Discussion Threads

[milliecusto] 23/3/2020 22:19

Soon to be a penny stock

[ltcm1] 19/3/2020 10:16

I see these going to zero because they will be at the back of the queue when it comes to repayment. Landlords, utilities and banks will come first, it will be very hard to legally enforce anything like bailiffs etc. Plus it would cost more than they would get back.

[mronions] 18/3/2020 10:23

those who have used PFG loans ... how will they pay ?
if are at home
no work
is PFG going to send bailiffs around ?
what are they going to take ? toilet paper

I am trying to understand the risk here

The two bonds that trade (short dated) have also moved south

I have lost money like everyone

[ltcm1] 16/3/2020 09:43

Must be weak balance sheet plus huge write off coming re their loans, which are unsecured.

[rajni120] 16/3/2020 08:22

What is the issue with pfg drops more then any othet share for last 2 weeksEven oil shares havnt dropped this muchIs therre something going onAnd what happens to 16p dividend

[richardbrook1] 12/3/2020 16:28

So wish I’d sold at 490! But another note out today so maybe don’t despair yet:

RBC Capital Markets today reaffirms its sector performer investment rating on Provident Financial PLC (LON:PFG) and cut its price target to 420p (from 445p).

[ltcm1] 12/3/2020 09:32

rajni the only way to beat this thing is to go into lockdwon for a short time.

PFG is going down because millions will be laid off for a few weeks and won't be able to repay their PFG loans.

[ltcm1] 11/3/2020 15:24

Trouble is there will be a massive write off on the loans coming.

[wad collector] 11/3/2020 09:35

Yep , latest credit rating not helping as plunges to new low. What difference a month makes.
I guess most PIs just sit on our paper losses and stop looking at the share price as we won't sell now.

[delboy45] 08/3/2020 11:36

Many on here must be feeling the pain!

[sandeep67] 27/2/2020 07:15

Concur. Market will like good news where everywhere else is dire and virus related. Will take mid morning to really get going through

[masurenguy] 27/2/2020 07:10

Good results, with profits up by 32.4% and dividend up by 150%

Preliminary results for the year ended 31 December 2019

Group highlights

Continued good operational and financial recovery of the group underpins the Board's 150% increase in total dividend

-- Group adjusted profit before tax up 1.6% to GBP162.6m (2018 (restated(1) ): GBP160.1m), as the business continues to adapt to the evolving regulatory environment and successfully defended the hostile NSF bid.

-- Statutory profit before tax up 32.4% to GBP128.8m (2018 (restated(1) ): GBP97.3m), reflecting lower exceptional costs.

-- Strategic initiatives outlined at the Capital Markets Day in November are well underway to deliver the group's 'Vision for the Future' and financial targets.

-- Agreement of a GBP275m bilateral securitisation facility in early January 2020 to fund Moneybarn's business flows.

-- ROP refund programme at Vanquis Bank and FCA investigation at Moneybarn both now complete.

-- Regulatory capital headroom of approximately GBP90m at 1 January 2020(4) .

-- The Board proposes a final dividend of 16.0p per share (2018: 10.0p), up 60.0% on 2018.

-- Total dividend per share of 25.0p per share (2018: 10.0p), up 150% on 2018, and representing dividend cover of 1.9 times (2018 (restated): 4.9 times).

[masurenguy] 04/2/2020 08:13

Now seen a 14% shareprice rise over the past 3 weeks ! :o)

[wad collector] 22/1/2020 13:57

A 2M buy @460 just stirred up the share price

I also came across this bit of unedifying news

hxxps://www.thetelegraphandargus.co.uk/news/18143461.employee-accused-stealing-vehicles/

6 yrs of getting away with stealing company cars is not an indicator of good corporate governance.

[wad collector] 17/1/2020 14:33

Great ,we are climbing out of the deepest hole this company made in over a century. All I need is a quadrupling of the share price and I will be back in the blue...

[ceaserxzy] 16/1/2020 07:06

I do even better, just filtered him so I won't be spammed over many boards on advfn site.

[richardbrook1] 11/1/2020 14:36

Just noticed they’ve got a trading update on 15th January

[linton5] 10/1/2020 10:29

Looks like bargain territory keep an eye on this one

[paulab203] 09/1/2020 09:54

Y/E 18 EPS was I think 47p and would expect y/19 to maybe be a little ahead I think first half was 22p but second half is always better. Depends on December and how well they are sorting out the doorstep lender side losses. On the face of this they are "cheap as chips" but always at the back of ones mind is bad debts with these companies - think Amigo. Director bought C£500k I think at around 550 p probably 6 months or so back. They look cheap to me ... but what do I know!

[masurenguy] 09/1/2020 08:18

Cheers paulab203. Some more comment from PH.

Doorstep lender Provident Financial has faced a number of regulatory problems over the past few years but analyst Stuart Duncan says it is now focused on growth, although that is not acknowledged in the share price. He said there were a ‘number of opportunities to improve returns range from product extension to funding efficiencies’ and the business is expected to ‘generate a return on equity of 20% to 25% by 2021 and dividend cover of at least 1.4 times’. ‘If we translate the return on equity target into earnings, taking the mid-point, the business could deliver earnings per share of at least 60p, and would yield circa 9% if we assumed dividend cover of 1.5 times’ said Duncan.

[paulab203] 08/1/2020 13:06

The 10p was a nominal amount after they got back on their feet from the previous dividend cut. They aim to distribute a max of around 70% of profits.