Sylvania Platinum Share Discussion Threads

[davebowler] 28/5/2021 17:47

Interesting that selection. I also hold a few BXP and ALU, thankfully!

[rcturner2] 28/5/2021 16:21

ST is a very good judge of companies but he has had a few stinkers as well. I bought here on his recommendation and so far so good.

[ivan el terrible] 28/5/2021 16:05

I am new to this chat platform, but have backed SLP from 37p using ST as my guru. He has let me down occasionaly most notably with a Chinese shoe rogue company but massive gains with West China Cement which only offset. However, all in all, when he quotes "strong buy" I listen and act immediately after quick research, almost always too late to capture his price, but cest la vie. Also, I check chat platforms daily to see other opinions. You all seem to know what you are doing and learn from your mistakes, but what I do notice, irritatingly, is when target prices are given, there is always big sell offs before I get in and I usually use a figure of 90 per cent of target consensus. I have a suggestion - do not quote a target price, just say wether you sell or buy and why.

[cb7] 28/5/2021 16:04

Dave - its SLP, ALU, INCE, THS, JUST, HSD, APF, BXP.

[risa5] 28/5/2021 15:50

Johnson Matthey still on ICE

Turning a ship takes a long time, and catalytic converter and PGM specialist Johnson Matthey will be hoping internal combustion engine cars stick around for a while longer
May 28, 2021
By Alex Hamer


The question of how many people will be driving electric vehicles (EVs) by 2030 is critical to the future of Johnson Matthey (JMAT). In April, 23 per cent of cars made in the UK were either hybrids, plug-in hybrids or EVs, according to the Society of Motor Manufacturers and Traders (SMMT), but consumers are not so keen yet.

IC TIP:
Buy at 3,028p
The top 10 cars sold in the UK are still all petrol or diesel cars, with the Vauxhall Corsa leading the way, although the company with three cars in the top 10, Ford (NYSE:F), has just forecast that 40 per cent of its global sales would be from EVs by the end of the decade – the predicted volumes for Europe are even more optimistic.

Johnson Matthey’s earnings are dominated by its clean air division, which makes and sells catalytic converters for internal combustion engine (ICE) and hybrid cars.

Just as BP (BP.) is positioning itself as a post-ICE company while still generating plenty of free cash (“performing while transforming”) from oil and gas, Johnson Matthey now has to balance big capital spending requirements, keeping the balance sheet in shape and paying dividends.

Matthey finance chief Stephen Oxley told Investors’ Chronicle there was plenty of cash flow to come from the clean air division.

“Yes, at some point [the sun] is going to set [for clean air], but actually, even under our most pessimistic scenario... that business is not only growing in the short and medium term, but is throwing off an awful lot of cash,” he said.

Clean air’s underlying operating profit of £269m was 9 per cent below last year, while sales fell 8 per cent to £2.4bn. ‘Efficient natural resources’, a higher-margin business, upped its underlying operating profit by 5 per cent to £268m, on flat sales year on year of around £1bn.

The new markets division had total sales of £356m in the same period, an 8 per cent drop on the year before, but snuck into an underlying operating profit of £9m.

Oxley said the company’s pessimistic forecast for clean air was cash flow of around £400m a year for the next decade.

Johnson Matthey has built one cathode plant in Poland, opening next year, and has recently signed a deal to build another, in Finland. Lithium-ion battery cathodes vary in composition but Johnson Matthey is making a nickel-based cathode. The industry has looked to nickel instead of cobalt for technical reasons as well as supply difficulties for the latter.

Johnson Matthey has agreed a supply deal with Norilsk Nickel, which famously got hit with a $2bn fine for spilling diesel and has a long record of environmental issues. Oxley said nickel supply was limited and Johnson Matthey was in the same boat as competitors, and that his company would work with the Russian miner to "improve its record".

The other big area of investment is hydrogen, which fits with Johnson Matthey because of its platinum group metal (PGM) expertise. Platinum, palladium and other metals that are used in catalytic converters are also critical for clean technology, such as the electrolysers that split water into hydrogen.

Despite massive hydrogen investment globally in the past year or so, its use-case is less certain. Johnson Matthey forecasts its fuel cell business will have sales of £200m a year by 2025.

Johnson Matthey is painting electrification as a massive opportunity. This is true, and we are bullish on its prospects, but it will have to quickly ramp up spending to get there.

[davebowler] 28/5/2021 15:49

It would be interesting to hear which 8 you hold, CB7?
I'm in SLP, AGT,PHPP,RCH.ITV,SMSD,OJHU,PSDL,INCE,CNIC and TLY and a few others.

[cb7] 28/5/2021 15:32

Almost 20 years ago, in a depressed state caused by the dot com recession, I had a hard look at my portfolio. It had built up to over 30 shares, mainly through investing a similar amount into each stock. This brought diversity, but I asked myself was it right? If a friend asked for a tip, I found that there was only a few that I would suggest - only a few I was sufficiently sure of in order to recommend. With this in mind I decided to whittle down the companies I held and put more into just a few. My next 3 years produced 104, 27 then 57% returns, which paid off the house and set me up.
Picking 20 or 30 winners is far more difficult than picking a few. Even if a few do well, the overall impact is often small. I had a share that went up 14 times, but how I wish I had put more in, rather than the usual small amount.
Holding lots of companies is far more time consuming.
Anyone who is not beating the appropriate index for their investments, (allshare, 100 or 350), should pack it in and buy a tracker.
I now have just 6 main shares, plus 2 recent small holdings

[greggphilips88] 28/5/2021 15:04

@cordwainer - thanks. Fair point. "Sitting on your hands" is an important investment discipline I think. Should be easy, but....
I did have bigger % cash, but recently added to SLP and AAZ before that. I also have £10k of this year's ISA to add at some point. And, the FTSE tracker is an existing ISA that I recently transferred in, so almost treat as quasi-cash if I spot a bargain. I agree though, I'd like at least 5% cash for when unexpected bargains appear. I have missed a few because I didn't have cash available; other times I sell less favoured shares if I think the money is better in a bargain.
I'm much more investing than trading too.

[twirl] 28/5/2021 14:55

My strategy is to be very overweight in a fully researched share with good cash generation, management and in a sector where growth is visible. For me that is SLP and to a lesser extent SRC.

[cordwainer] 28/5/2021 14:53

@gregg, I'm no investing guru but I would suggest you keep a higher cash weighting, especially when managing a portfolio of mostly direct shares. My cash is currently about 8%. Helps with balancing opportunities and mitigates portfolio risk, and a bit easier to pounce on new bargains I might spot. On the other hand, maybe my cash weighting is because I'm a tad more impulsive than you or I trade a bit more frequently.

[cordwainer] 28/5/2021 14:30

@tonytyke2, I dont keep close tabs on sector weightings ... until you asked.
My largest sectors are
Private Equity / VC ~ 18% (GROW, IPO, FIPP, PIN, MERC).
Mining ~ 15% pf (SLP, JLP, AAZ, BMN, MTL)
Software & IT Services ~ 15% (MCRO, SMRT, WEY, PTRO, CLCO, AWE, DARK)
Trusts / OEICs besides PIN ~ 14% (AGT, SHRS, FCSS, AXA Fram Fintech, Prem Miton UK Multicap)
The rest is a mix of solid div payers along with mostly smaller lots of highly speculative stuff.
I rotated a lot from trusts & OEICs over the past year but over past 3 months keep having thoughts of tilting back to more managed funds with a bit less trading.

[greggphilips88] 28/5/2021 14:28

As I invest in different portfolios (SIPP, ISA, Trading) across 2 different platforms, I use the share tracker functions in an Excel spreadsheet to keep an eye across all my portfolios. I know I can use watchlists etc., but like old school Excel. I do have this on Stocko as a portfolio too. I manage portfolios for me, my wife, and for my kids. Still very much learning. I'm happy to share overview of my portfolio. I've always found it interesting looking at other PI's portfolios. Everyone has to find a strategy that works for them and lets them sleep, based on their circumstances.
I had a discussion on AAZ where some posters, who's input and posts I always value, had very high concentrations in a few shares. Others will say stay very diversified and use funds and trackers too. As I work in a full time role, and have a family, I have to be realistic about the time I can spend researching and managing my portfolio. I find I can only really get under the skin of 5 to 10(max) shares, then keep a close eye on 10-20. I'm sure I am now far too concentrated for some. I have a US bank in my wife's ISA, but otherwise only in UK shares. I have become much more concentrated in some shares by happy accident (ITV doubled in value) and still hold consciously, or have concentrated because I feel very confident in the share's fundamentals and likelihood to materially grow in value. I've exited some, like HGM and TSG , two Russian gold miners pinched from me through buyouts, but I did very well from them anyway. I'm happy to copy and paste my portfolio below, in case of any interest to others.

Sorry for being off topic. My SLP point is that I entered SLP at 38p and have added on the way up, and added significantly again in last 4 days from 116p - 123p. I expect SLP to be at least 150p by August, perhaps 170p. My level of confidence is such that I'm willing to be overweight on this share. I've studied the company, the market, the drivers, fundamentals, and the share price movements a lot, so feel I "know" the share. I considered spreading into THS and JLP, booth look good, but it's not really diversifying, and I don't want to learn two more shares in this space, so I'm just focusing in SLP. Therefore I'm willing to concentrate a higher % of portfolio in it. I acknowledge that time will tell if this is a good strategy for me, that unexpected events can happen, that diversifying spreads risk, and sometimes it's better to be lucky than good.

% Ticker Industry

11.6% SLP Metals & Mining
11.0% All FTSE tracker
10.6% AAZ Metals & Mining
8.9% SHG Metals & Mining
8.9% ITV Media & Publishing
4.6% BEG Professional & Commercial Services
4.6% RBGP Professional & Commercial Services
4.3% GTLY Professional & Commercial Services
4.1% K3C Investment Banking & Investment Services
3.9% 888 Hotels & Entertainment Services
2.5% REC Investment Banking & Investment Services
2.2% SRB Metals & Mining
1.9% MACF Containers & Packaging
1.8% VLE Food & Tobacco
1.8% WYN Food & Tobacco
1.7% RDW Homebuilding & Construction Supplies
1.6% KAPE Software & IT Services
1.5% D4T4 Software & IT Services
1.5% BMY Media & Publishing
1.4% HAT Banking Services
1.4% Global Fund
1.3% NCYT Biotechnology & Medical Research
1.2% TSL Professional & Commercial Services
1.1% QQ. Aerospace & Defense
1.1% CAML Metals & Mining
1.0% Cash Cash
0.8% STCK Beverages
0.7% CHRT Software & IT Services
0.3% HUM Metals & Mining
0.3% PTRO Software & IT Services
0.3% MNO Software & IT Services

[tonytyke2] 28/5/2021 13:14

cordwainer, I think it's good that you keep track of % invested in a stock/investment from a balancing perspective, I have just done the same thing and top-sliced my CYN investment. Just interested if you run sector total weightings also? I have moved up sector weightings several times this year (to be very overweight), in mining and commodities to around 23% of portfolio.

[cordwainer] 28/5/2021 11:59

all being well it should do that easily. i agree china can't control the market it was just noise.

[farnesbarnes] 28/5/2021 11:30

Congrats on your 52%, but SLP would have given holders 48% since 1.1.21. What's to say it doesn't short term top at 135 and goes on to 160?

[cordwainer] 28/5/2021 11:15

sold my recent top-up to keep holding within 6% of portfolio.
SLP has given me 52% total return in just over 5 months, so far.

[farnesbarnes] 28/5/2021 11:13

Napoleon

Bloomberg reported it as such. Chinese authorities complained vocally and publicly on the one hand, yet urged importers to stockpile at the same time.



Nothing like a communist state to bemoan the free market.

[napoleon 14th] 28/5/2021 11:02

Noise like that should be ignored so I sold none. (Paid an average of 80p recently.)
There might have been some slack because car makers slowed production due to a shortage of microprocessors, but.......

IMO Chinese intervention was to blame, with new tax threats to speculators in raw materials, metals in particular...
You couldn't make it up! Here is the country consuming the world's minerals like there's no tomorow lecturing the ROW about reacting to their consuming frenzy!
Gotta be a totalitarian regime to pevert the truth behind their own actions.

Behaviour like that should be taken note of, as I don't trust them as a prime mover in world affairs; dangerous!
New kid on the block wants to erase his hangup about his past as a backward impoverished foolish hick,
victim of his own policies...

Anyway, the market tells it how it is unless it's a monopoly, which it aint yet...
Just keep banking the divis!

[cordwainer] 28/5/2021 10:10

excellent, my 116.25p top-up on 25th giving a nice little profit boost so far. As well as the rhodium bounce, plad & plat declines seem to have completed consolidation. anyone know why rhodium bounced, other than maybe it being a relatively small and sensitive market ?

[greggphilips88] 28/5/2021 09:56

Rh up further in London, to $25,300 (JM Prices).

Simon Thompson's latest Strong Buy recommendation for SLP may be landing in the printed Investor's Chronicle in the post today, and in the online magazine version.

[greggphilips88] 28/5/2021 07:57

Rh bounced up another $1500 overnight, to $24,750 (JM Prices)

[freddie ferret] 28/5/2021 00:02

I know all about this matter and it has arisen in the past. Nothing to do with the white list or blue/black or whether you upper case one of the Ts. They will eventually pass it on to one of their technicians. I have posted on the HELP thread.

[risa5] 27/5/2021 23:50

Freddie, some links will not show on advfn.
try posting without hxxps://
Start from www.
like this...

www.fool.co.uk/investing/2021/05/25/how-id-look-to-turn-a-1000-investment-into-4000-with-this-uk-growth-share/

[freddie ferret] 27/5/2021 22:21

Still seems to have a problem.