Saga Share Discussion Threads

[blueball] 25/7/2019 18:32

Stay long.

[koetser] 25/7/2019 18:24

EJ

looks like the 50p barrier was much easier will we go up 60p for another pause???

Pete160

i have noticed that usually between 9:30 and 1:00pm it goes down for the low of the day put pretty much rockets in the last hour of trading. I have made a quick buck 3 times now doing that on top of my normal holding.

Have been piling in for last 3 days into asos easy money there

[husbod] 25/7/2019 18:15

Noticed that too ej and what's the betting we open down in the morning. Seems to happen with recovery stocks.

[pete160] 25/7/2019 17:31

Is there a pattern of down in the morning before recovering in the afternoon and closing above the opening on strong volume?It might just be the Americans, but it looks like someone is quietly building a stake.Since buying at 40p and hoping for a bid, I'm becoming more confident that the company might just perhaps restore its own fortunes and that, without a bid, we might better take part in that stronger recovery?That said, Cobham is the latest to succumb to a private equity bid, and those private equity folks do have lots of money burning a hole in their pockets...

[optomistic] 25/7/2019 09:01

EJ, it is good to have a plan like you have, something that many do not have.
Dare I say it "I don't think it will take long to break 50p" there done it...very risky...LOL

[optomistic] 25/7/2019 08:41

...well it didn't take much of a whoosh to drop below 50p...

[diku] 25/7/2019 08:23

It sure is at crucial level just below 50p...looking at that long term chart...it needs a big whoosh up to by pass 50p...

[pete160] 24/7/2019 17:51

'Swings around in the price'

[pete160] 24/7/2019 17:50

Settings around in the price today but still managed to finish another day in the blue. The volume is strong again too - suggesting someone is perhaps building a stake. If so I wonder if that is for long or short term investment horizon?

[edmondj] 23/7/2019 15:11

This was Setanta's rationale for buying into Saga albeit in Q1 2018:

Saga Plc sells tailored financial services (mainly motor and home insurance) and holidays to the over-50s in the
UK. It might look like an odd combination, but Saga is a trusted brand and its multi-product strategy has
enjoyed great success since it broadened out its travel-only offering in the 1980s. Although a relatively minor
profit contributor, one of Saga’s greatest assets is its very popular cruise liner business, where it provides a first
rate, hassle free service to passengers, which in turn helps strengthen the overall Saga brand and keep
customer loyalty high (reducing the need for high levels of ‘traditional’ advertising).
That’s not to say that Saga has it all its own way and indeed an unexpected step-up in the competitive
environment in insurance in the last couple of months in 2017 caused management to reduce its expectations
for company profit over the next year or two. The share price reacted by falling by more than one-third. We
have extensively researched the company since then.

Commentary
We believe investors have placed too much emphasis on near-term profit and are ignoring its undoubted
strengths that will play out over the long term including: a growing over-50s demographic; an insurance
operation that is capital light and has a significant cost advantage over peers; two new highly-efficient (read:
very profitable) cruise ships that will come into operation over the next couple of years; and a brand new IT
system that will reduce costs and hopefully allow them better win and retain customers. At acquisition we
believe Saga was trading on less than 10x P/E and had a dividend yield of 7.5%. We believe these profits are
broadly sustainable over the medium term and if we are correct the stock will prove to be exceptionally cheap.

[husbod] 23/7/2019 12:00

Thought you were being a little conservative on your price expectation erogenous but felt it impolite to question one with such a magnificent moniker.Shorting should be outlawed full stop. The purpose of the market through my rose tinted spectacles is to support companies grow so they can share that growth with employees and the company owners ie the shareholders and not to be a gambling den which can destroy companies.

[diku] 23/7/2019 09:29

It could do with a melt up to 60p...

[edmondj] 23/7/2019 09:24

Blackrock curiously raising their short to 0.75%, versus other UK shorts for context:

[kenmitch] 20/7/2019 15:12

EdmondJ

My attitude to claims is the same as yours and for same reasons.

It seems to be the bigger insurers who try to get clever over small print.

We are about to renew travel insurance. Currently it’s the only one with Saga but premium way too high compared with current Which Best Buy providers.

E.g excellent claims reviews for Holidaydafe Premier and Covered2go and annual premium as low as £63 up,to,age 79.
So well worth any readers of this checking out Which for all insurance as well as Trustpilot reviews on claims experience.

As for Saga’s way overpriced offerings ....those are in the past and right now under current Management. Just one of many reasons for diabolical share price.

But question now is whether new Management and/or whatever Elliott Capital have in mind could see share price bounce continuing. Seems their business is worth a lot more than current share price suggests.