Royal Mail Share Discussion Threads

[careful] 25/4/2019 13:38

All this was known 12 months ago when the share price hit 630p.
Strange markets.

[muffinhead] 24/4/2019 17:29

lots of headwinds as already mentioned ...

Unsure about tangible value
Restructuring of business and workforce unfinished
Margins across the group is a problem
May need a cash call to invest in parcel logistics modernisation

A leaner letters division needed and so political risk to intervene

future cash flow value currently? 167p


The future is digital communications, not letters. As a private company, the only incentive RMG has is to bleed the letters division dry until it eventually disappears. It's a headache, the politicians could not stomach, so they flogged the company to stock investors. And the market will rip the company apart until it works for investors.

[encarter] 24/4/2019 16:48

RMG floated at 330p.

[nick rubens] 24/4/2019 16:25

9% Yield signals a cut and likely a fall in share price to follow IMO. That's why the market is nervous.

One can argue a dividend cut is priced in, but I thought that when I bought CNA at 160p.

Labour said RMG was sold on the cheap at 310p. I was suspicious and sold my few very quickly in the hyperbole in the belief investors were being sold a lemon (as they often are on flotations).

[careful] 24/4/2019 14:26

the trouble is with the share price, is that there seems to be a buyers strike.

Volumes are very low, about 6m traded here today out of a total of 1,000m.
And most of those will be shorted borrowed shares at small % of the cost.


The total number of shares actually sold, as distinct from those shorted with temporarily borrowed shares, is virtually zero.

But what will the accumulated dividend be for this share over the next ten years going forward, and how does it compare with a risk free yield from a ten year HMG gilt?

Investing should be long term game.

[meijiman] 24/4/2019 14:14

Green was an utter disaster..she got what she wanted -loads of money and a damehood.
The new guy is trying to sort out the mess. Happens all the time.

[careful] 24/4/2019 13:09

encarter, you reassure me.
I wish the share price would stop collapsing.
Obviously no buyers at this level.

Will the dividend be held in May?
A yield of 10% seems ridiculous,
But the final dividend will cost £163m, compared to RMG turnover of about £10bn.

And a strong balance sheet, market cap around half of net assets.
Strange times.

[encarter] 24/4/2019 13:04

The pension they got was rubbish and they are stuck with it. The pay rise is temporary, they won't get one next year. The shorter working week is dependent upon initiatives being activated. Short term pain, long term gain for the company.

[careful] 24/4/2019 12:42

We need a reassuring update in May to stop this collapse.

Moya Green left the company with a misleading trading update that pumped the price up for a while.
A new man takes over and gives a profit warning.
It seems Moya Green gave the unions a parting gift of everything they wanted, good pensions, shorter working week, pay increase.
All on the pretence of bogus 'productivity' gains.
Reducing business volume with increased overheads, a deadly combination.
Tens of thousands of posties with almost nothing to deliver.
Parcels are the business, but margins are tight.

Then there is the political situation.
It is alarming how many younger voters are determined to get change. The Tories are at war, their grass roots activists, average age 97, love Boris, and they appeal to older voters who think that all foreigners are beastly, especially Germans.
A comedian voted in last week in the Ukraine by a huge margin, and one already in the White House.

Lots to worry about here.

[millennial] 11/4/2019 22:07

brexit probably see a lot of stuff being posted out in the next year by government

[gaffer73] 11/4/2019 16:28

And the share price goes up 10p!

[buywell2] 10/4/2019 16:13

buywell hereby declares this share a POS

[lefrene] 10/4/2019 13:26

blobby, perhaps the price move is an indicator?

[blobby] 09/4/2019 07:51

How did the meeting go?

[sharesoc] 07/4/2019 12:03

Meeting with Royal Mail tomorrow at 3.30pm Click here if you wish to attend and for further details.

[muffinhead] 04/4/2019 15:14

Yoedel news on March 27th
Had a whip around last year for £65 mill

Unfortunately EBITDA did not improve, turnover flat, cashflow worse


Company House


Contrarians think March 27th is the low for Royal Mail

[fred splange] 03/4/2019 10:06

https://shorttracker.co.uk/company/GB00BDVZYZ77/Short exit accelerating

[andyadvfn1] 03/4/2019 10:02

Nice move up today, is it just brexit related ?

[grahamite2] 03/4/2019 09:53

Up 5% on no news? Ah well, not complaining.

[fernandesb] 03/4/2019 09:35

I told you all 330p was too high.

CEO bought stock in desperation.

Huge downside.

[fernandesb] 03/4/2019 09:07

hermanngoring,
it appears that you have no clue about investing,perhaps you should stick to the technology of gas chambers

[careful] 03/4/2019 08:37

looking better here.