Prudential Share Discussion Threads

[smurfy2001] 02/3/2010 11:33

> mercury123 - 2 Mar'10 - 11:31 - 892 of 893

Falling knife springs to mind.

Having done numerous rights issues, l would be careful.

If you do want to dip, buy in blocks but that's your choice.

[smurfy2001] 02/3/2010 11:31

Guys, looks like PRU is being sold rather than shorted. Saying that, the position might be different in a few weeks time.



NH
someone was asking about the short interest in Pru
NH
it was tiny before the deal was announced
NH
according to DataExplorers it was around 1.3% of the shares outstanding
NH
and available to be loaned
NH
so not massive

[mercury123] 02/3/2010 11:31

I think most on this board are shorting from all the negative comment. Personally i think this is the time to dip a toe in the water - when everyone else is fleeing for the hills. But we'll soon see what happens once the dust settles. The other insurers are now all looking very interesting

[dr darkstar] 02/3/2010 11:25

If you guys are right about this then the board should be fired to a man

[smurfy2001] 02/3/2010 11:14

Look at HSBC and XTA, both FTSE100 shares and both plummeted substantially.

Saying that, both recovered very nicely as well post R.I.

Nothing to say the same won't happen to PRU, and this is a bigger rights issue, which exceeds the market cap as well.

From prior experiences of rights issues, if you're holding, l would sell and buy back after the rights issue.



Dr DarkStar - 2 Mar'10 - 10:38 - 887 of 889

G2 .. can you seriously think that the PRU board would enter into this deal based on destruction of shareholder value of that order?

[masurenguy] 02/3/2010 11:02

PRU directors cannot control the share price. A deal of this size is unprecedented and the declining value of the pound means that the final price is uncertain too. Markets hate uncertainty and that can play havoc with share prices !

[paulw2] 02/3/2010 10:42

Lets think now Doctor.

Perhaps they would, the share has gone from 600 to 500, why not 400 ?

[dr darkstar] 02/3/2010 10:38

G2 .. can you seriously think that the PRU board would enter into this deal based on destruction of shareholder value of that order?

[careful] 02/3/2010 10:30

pru's adventure reminds me of Rio taking out Alcan at a huge price when optimism about Chinese demand was at its peak.
maybe it is not as bad as the AOL/Time Warner deal but this could turn out very badly if the Chinese bubble bursts.
it will take 5 years to see if this will work out.

[grahamite2] 02/3/2010 10:25

aspers, someone with a crystal ball could have bought at 490 and sold at 500 to make a turn, but for mere mortals it's far too early even to be contemplating a long.

The issue is far too big for the underwriters to risk getting stuck with stock - they are not HMG. It must be priced to sell which surely means near the £4 mark.

[aspers] 02/3/2010 10:13

Once the shorting stops here it may be worth dipping my toe in.....will wait a few days yet me thinks :-)

[badtime] 02/3/2010 10:02

and no brain

[binladin] 02/3/2010 10:01

I HAVE NO POSTION:::::::::::::

[grahamite2] 02/3/2010 09:45

binladin is just a clown - as you could guess from his username alone.

[witheld] 02/3/2010 09:43

binladin - you must be short on this one... so obvious ;) I'm sure I remember you doing the same old comments when Pru was going down at the start of last year.... lol

[binladin] 02/3/2010 09:38

DUMP IT:
NO DIVIDEND
NO PROFIT
RIGHT ISSUE
FUTURE BENEFIT FOR SHAREHOLDERS NONE
DILUTION
SNAKE TRYING TO SWALLOW AN ELEPHANT
COMPETITION FOR BUSINESS IN ASIA IS NOT FOR PRU:
THESE GUYS WORK ON 1% PROFIT MARGIN:
NO WONDER AIG IS SELLING OUT::::::::::::::::THEY JUST CANT COMPETE:
PRUs CEO ONLY WANT TO MAKE A NAME FOR HIMSELF; BUT THE REALITY IS THAT THIS COULD GO BUST::::::

[jon827] 02/3/2010 09:35

500 Should be a good resistance level now to place a short from

[mike24] 02/3/2010 09:35

488 a bit of a bounce kickin in

[careful] 02/3/2010 09:33

i have no position yet.
it will be long only when/if i take one.
i am interested when the cap falls to about 8 billion.

[smurfy2001] 02/3/2010 09:31

Put it on a horse Jon, it's a safer punt ;-)

[jon827] 02/3/2010 09:29

501 was one of the pivot point support levels and 500 was also a distant support, was worth a punt smurfy :-)

[smurfy2001] 02/3/2010 09:28

400p anyone?

[smurfy2001] 02/3/2010 09:26

Dropping like a stone, come to PAPA

[jon827] 02/3/2010 09:26

out for a small loss :-0