Tungsten Share Discussion Threads

[pshevlin] 20/1/2016 16:07

Amazing how this is holding up today. All my other tech financials are well down.

[edwardt] 20/1/2016 12:16

I am not really talking about interest rates, I really mean credit spreads. they have been benign for a while - that is changing for sure.

[bs76] 20/1/2016 12:14

Market invoice calculator

hxxps://www.marketinvoice.com/cost-calculator

They charge based on number of invoices in year. Example for lending 100k for 30 days

Number of invoices => Fees Amount (per 100K invoice) => Interest for 30 days => APR (for 365 days)
1-2 => 2,990 => 2.99% => 36.38%
3-4 => 2,290 => 2.29% => 27.86%
5-6 => 1,890 => 1.89% => 23.00%
7+ => 1,690 => 1.69% => 20.56%


This is when base rate is 0.5. I doubt the above will change (up/down) on interest rate rise

* for simplicity I have used 100k as lend amount where as they lend only 83k and remaining amount minus fees is paid when the buyer pays the invoice

And on these fees they were able to lend £325m in 2015.

[edwardt] 20/1/2016 12:09

agreed but most businesses do not own freehold property and cashflow crunches happen when access to longer term finance becomes more problematic. Personal guarantees are more of a turn off for most business owners than listening to Donald trump is for me. I get the sense access to capital is going to get worse not better for swathes of sectors ranging from sme's to small cap listed companies ... fertile ground for tep. that ease of access does and will more justifiably come with a price. everything in life usually does.

[andrewdbl] 20/1/2016 11:27

ET
+1

I am not sure finance options ever really got much easier for SMEs post '08.
Also, that base rates are 0.5% does not mean the rate charged to a SME is 0.5%.

IF everything in your accounts is in good order and you have good quality assets (like freehold property) and and and...
Then the bank might use that security to lend to you at ~9% or more (wide range here iirc M&S issued a secured loan note at ~libor +4.5% last year)

or you can get a loan secured against an invoice.

For a v. small SME, TEP's convenience and not having to provide security over assets is a balance against its cost.

[edwardt] 20/1/2016 10:22

how do people relate widening in credit spreads back to tung? for me, it would infer that tep actually becomes a more important option as longer term finance options dry up or become very expense for sme's. just a thought but one that no doubt will play out here and be relevant to the discussion board....

[edwardt] 20/1/2016 09:48

no doubt here - like the course of true love, it will be a bumpy ride.

[twistednik] 19/1/2016 17:32

Looking to sell a few to cut some losses but hard to know at which point !? Could get to 80p but then again could be 40p again in a couple weeks.

Hmmm, these businesses without any earnings / fundamentals are difficult to value !

any traders care to comment on what's happening on the screens ?

[edwardt] 19/1/2016 16:59

quite a nice graph on cost of financing costs

[albanyvillas] 19/1/2016 15:40

big buy being worked

[andrewdbl] 19/1/2016 15:27

Suprises me to see how small volume can shift prices so much

[albanyvillas] 19/1/2016 15:22

Market desperate for stock, MM called my broker and asked him if he could give him any
Definitely going higher when that happens

could spring forth to 90p shortly xxx

[edwardt] 19/1/2016 15:19

I am sure he will update us and say he closed it at 38p :)

[manics] 19/1/2016 15:11

Guys for balance can I remind you all that superstar investor Lucien Miers remains short.

[albanyvillas] 19/1/2016 14:45

new recent high now, next level 90p

The capital markets day is getting close rand closer

[albanyvillas] 19/1/2016 14:34

Loads of buying, ready for the next 60% surge??

[edwardt] 19/1/2016 14:24

this is more volatile than my wife.

[togglebrush] 19/1/2016 09:03

9th February is Analysts Day which is noted in my diary
'
Meanwhile Morgan Stanley is changing its position by the minute almost

[manics] 19/1/2016 09:03

Nothing scheduled. See half year report dated Dec 16th for latest figures.

A strategic plan will be presented to analysts at a capital markets day, Feb 9th. Investors can also watch online. A few longs are attending from the BB's and will no doubt report back to complement the coverage.

[guyswonga74] 19/1/2016 04:30

Off topic. Have a look at THR. Cheap share price at the moment

[andrewdbl] 18/1/2016 22:16

coulda shoulda been tung...?