Will you be buying shares in Lloyds TSB?

tradetime

Decadent_Fool wrote: »

The RBS adoption of the assest protection scheme caused a nice spike in their price, so here's hoping for something similar. I'm not wholly convinced it will as traders will have had the weekend to think things over; the RBS deal was mid week. I personally think the current price has been influenced by uncertainty of what is happening, not the implications of joining an asset protection scheme.

We'll see.

It's not a bet I would take, doesn't have the predictability for me, but that's me, that said we are technically oversold here, and volume to the downside in US markets was lower Friday, culiminating in a pop up into the close, most likely shorts closing there's no way experienced buyers would initiate positions ahead of a weekend in this climate. Could indicate sellers need a rest, we see how Asia trades tonight.

As for bank prices, the whole sector is toxic as far as investors are concerned, banks have lied all the way through this crisis so there's nothing but uncertainty surrounding the sector, markets hate uncertainty. I do feel there is close to enough pessimism to trigger a sharp rally, but whether or not we need a climax sell to trigger it I don't know, and how much the banks will participate I don't know either.

sabretoothtigger

Rollerball wrote: »

BT's share price has tanked since he bought his shares in January. Talk about out of the frying pan into the fire! Will he ever learn?

Depends if they pay out on the dividend or not, their yield is 21% percent now. '
Barclays is 17%, due to pay in the autumn
Standard life is 8.6%
Prudential is 8.6%
Lloyds is 27% and they are giving out 1 share per 40 this may apparently
Legal and General is 24% and they say they will definitely pay out this dividend, ex-div date is 15th of April

http://www.investorresearch.mdgms.com/factsheet/factsheet.html?ID_NOTATION=9454602

24% 'guaranteed' sounds more like cashback then a dividend :laugh:

Yield is retrospective so these figures should be double checked, etc


A good example of a falling dividend is citibank who used to pay 35cents per share but now pay 1cent

FoxtonsRIP

sabretoothtigger wrote: »

Depends if they pay out on the dividend or not, their yield is 21% percent now. '

24% 'guaranteed' sounds more like cashback then a dividend :laugh:

Yield is retrospective so these figures should be double checked, etc

t

BT's dividend is doomed as they have a mammoth pension shortfall apparently.

Buddy195

Anyone expecting Lloyds shares to rise tomorrow?

Just_landed

Limit order in fo 28.75 pence, worth another punt. does that help ?

:rotfl: :rotfl: you never know.

Masomnia

Pretty hard to tell. Due to the insurance protection scheme thingy thing your shares will be diluted and worth less, but they'll be more safe... I believe RBS rose on agreement on the insurance scheme.

Decadent_Fool

Buddy195 wrote: »

Anyone expecting Lloyds shares to rise tomorrow?

Yes, although not totally convinced

http://forums.moneysavingexpert.com/showpost.html?p=19507901&postcount=125

beingjdc

Opened down another 15%, now drifting back up gently, only down 10%.

NPowerUser

Joe public owned 57% of Lloyds shares, this being diluted down to 35% when the government converts its preference shares. I estimate that anyone owning shares in Lloyds you held last week have been diluted by in excess of a 3rd over the weekend.

The governments stake could increase to 77%, leaving joe public with less than a quarter of the shares.
http://www.sharecast.com/cgi-bin/sharecast/story.cgi?story_id=2647931

The good news is that people can short the shares safe in the knowledge that the government will be forced to pay 38p a share in the rights issue.

23 - 25 pence a share could be the realistic bottom, taking the dilution of the shares into account and the governments ever increasing stake. Either way, can't see any sustainable upside to the shares in the short term.

gozomark

given the share price is at the rights price, there is no dilution adjustment. Yes joe public will own less of the bank, but it will be a smaller part of a bigger, and presumably safer, bank.