Stanley Gibbons Share Discussion Threads

[gbh2] 17/9/2019 14:32

The big thing with their "Investments" was (I think) they offered a guaranteed buy back price which they had as part of their profits, once again (I think) that practise ended with the reshuffle.

[gbjbaanb] 17/9/2019 14:23

I wonder also if the kind of people who buy these are doing so partly because they have more money than they know what to do with, partly because they see it as a "safe haven" way to store their wealth, and partly because the stamp can be quickly taken out of their dump of a country when the oppressed peasantry revolts.

A lot of these will be buying paintings and storing them in a bonded warehouse in Amsterdam airport to avoid tax. Stamps wouldn't be much different.

But stamps aren't as valuable as paintings of banksy's bumhole, so I think the sgi business has to really revolve around retail.

[gbh2] 17/9/2019 14:07

If memory serves correctly it was the "Investment" side of the business that created havoc when it came to what SGI had listed as profits?

[augustusgloop] 17/9/2019 13:40

sikh,

I was assuming that the purchase of 'investment grade' stamps was mainly by people wanting an investment.

So, starting with an immediate 25% loss (and that is optimistic) would be a large disincentive.

Yes - somebody may buy for other reasons -- but it is not a good investment.

And when you sell it - if you make a profit - you pay Capital gains tax (probably with no index linking).

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I am sure people have found ways around this via the internet -- but not with SGI.

[jasdan] 17/9/2019 13:28

Now the BBC are promoting the attractions of stamp collecting, time to buy the shares!

[sikhthetech] 17/9/2019 13:08

augustus,
"If someone has a stamp worth £10k - SG would probably buy it from them for £9.5k and sell it to you for £10.5k PLUS 20% VAT.

So, you pay £12.6k for a stamp that somebody was willing to sell for £9.5k
And you could now only get £9.5k for it."


Every dealer does the same, regardless of whether it's gold, diamonds, stamps etc.. They are a business that exist to make money!!!!

Collectors buying investment grade stamp hope the investment increases over time...
Stamp collectors also buy to enjoy the stamp and look at it's history...


Stamp collecting isn't dead...The issues here are purely to do with SG...

[jasdan] 17/9/2019 12:56

If Phoenix bought any more they would have to make a Takeover offer for the stock. Under AIM rules that would have to be at least at the highest price over the last year. Their holding is passive however and long term, as stated publicly by them previously.

[gbh2] 17/9/2019 12:15

2.15p is the selling price on line, 2.297 has been the buy for this last week.

[augustusgloop] 17/9/2019 12:11

But clearly 2.15p is more than anyone at Pheonix is willing to pay now!

But perhaps you know more about how well the business is doing now than they do.

But, Pheonix will do ok - collecting a high interest rate on a £10m loan that they only paid £6m for!

[jasdan] 17/9/2019 12:07

Now Liberum have been recently appointed as house broker I think you can probably expect further analysis from them in due course.

This has got to be so cheap at 2.15p - that’s even less than the price at which Phoenix acquired their rescue stake!

[gbh2] 17/9/2019 10:35

Thanks, picked up a few recently based on nothing but it's a famous brand name and research I did a couple of years ago.

[jasdan] 17/9/2019 10:30

Annual Results are due out by end of September and should start demonstrating that this company is now turning round.

A lot appears to be going on behind the scenes, including a rebranding, new upgraded website, complete change at 399, and a complete refocusing of the business.

Company is now either trading profitably at last or is very close to it. All legacy stuff should be at last out of the way

[gbh2] 17/9/2019 09:25

Are Results due any time soon?

[augustusgloop] 16/9/2019 21:10

But, if you are a normal UK person, why would you buy investment grade stamps from Stanley Gibbons?

If someone has a stamp worth £10k - SG would probably buy it from them for £9.5k and sell it to you for £10.5k PLUS 20% VAT.

So, you pay £12.6k for a stamp that somebody was willing to sell for £9.5k
And you could now only get £9.5k for it.

Hence, you have immediately lost £3.1k (25%)

That doesn't seem like a good investment.

[And SGs mark up is probably greater than £1K on such a deal.]

[jasdan] 16/9/2019 15:16

Turnover has picked up a bit today, although still stuck at 2.3p to buy.

[jasdan] 16/9/2019 08:27

Clearly if people go out and buy investment grade stamps that is pretty likely to benefit Stanley Gibbons

[orange1] 16/9/2019 07:59

If that's what you think then you should be investing in stamps not SGI.

[jasdan] 16/9/2019 06:38

Time for a safe haven investment

[augustusgloop] 15/9/2019 23:57

Yes = down!

How long is it since they last informed the market of any meaningful financial numbers, or even predictions?

During this time the share price has dropped.
That is not a good indication that the insiders (the only people with any inkling of what's going on here) think that the present 2p price is cheap.

[gbh2] 12/9/2019 15:33

Every share needs buyers and sellers or the shares become illiquid, much like SGIs.

[jasdan] 12/9/2019 14:43

I think the price is being controlled by the market makers until actual news is released, this has the effect of putting off buyers

[red army] 12/9/2019 14:00

Not sure why you would be worried about spread if you are in for longer term

[gbh2] 12/9/2019 13:10

Certainly put me off any further buying.

[jasdan] 12/9/2019 12:12

The spread is to put off buyers