Tesco shares hammered

ffacoffipawb

gadgetmind wrote: »

What about the gay Christians? Where do they stand on this?

Fronts to the wall?

Ifts

Tesco: Woodford vs Buffet

One sells, one buys. But which master investor has made the correct decision?

http://www.fool.co.uk/news/investing/2012/02/17/tesco-woodford-vs-buffett.aspx?source=uhpsithla0000002

kimidezzer

gadgetmind wrote: »

In an ISA, they'd charge 0.5% pa for holding those shares, but there are (currently!) no fees for holding in a "Vantage Fund and Share" account. They kind of hope you'll hold funds and generate them income, or also have an ISA or SIPP, but you can just have the basic share account, make one purchase, and then keep on holding the shares and collecting the dividends.

When I decided to do some investing, I got a Vantage Fund and Share account because it was free to set up. I have about 10k of shares which I intend to leave there to appreciate (hopefully) over coming years. However, I am not sure now if it was the best way to do it. Do you think I should have gone with an ISA?

psychic_teabag

If you're a basic-rate taxpayer, I don't think there's a huge advantage in using an ISA : the 10% dividend tax is not refundable inside an ISA AFAIK. As long as you keep an eye on the capital gains (churn the shares from time to time to realise the gains gradually) you should be okay.

Actually, I think you could use HL's bed-and-ISA facility to realize capital gain if it becomes an issue : I assume any CG tax would become due at that point, and future gains would be exempt.

gadgetmind

psychic_teabag wrote: »

As long as you keep an eye on the capital gains (churn the shares from time to time to realise the gains gradually) you should be okay.

Watch out for the 30 day rule when churning. You also need to keep careful notes, and corporate actions can also cause headaches.

Actually, I think you could use HL's bed-and-ISA facility to realize capital gain if it becomes an issue : I assume any CG tax would become due at that point, and future gains would be exempt.

Yes, gains are crystallised at that point. HL don't charge dealing fees for Bed & ISA but there will be spread and HL also charge 0.5% pa for holding equities in ISAs.

relaxtwotribes

gadgetmind wrote: »

HL also charge 0.5% pa for holding equities in ISAs.

With a cap of £45.

sabretoothtigger

sabretoothtigger wrote: »

I'll take another look in the spring possibly after I dispose of SBRY at a small profit

Glen_Clark wrote: »

Well good luck with that.
Chances to buy Tesco at 9 times earnings don't come often, and trying to call the bottom of the market without the wisdom of hindsight is a risky game.

Sold my Sainsbury yesterday as it had ran decent, still cheap. Time to look at TSCO maybe ?

Looks like Tesco did ok but not as well more or less flat holding as it often does. I will buy on weakness maybe, if this market falls


As for the miners they are getting bashed again, holding is expensive but FXPO is 5 PE ?

Glen_Clark

sabretoothtigger wrote: »

Xmas was a lull so it was a good bet in general a rise was possible.

All of those are commodity stocks, watch how nasty they can get in a falling market, very volatile (watch greece news, etc). 14% is small fry, they can move 10% in one day sometimes Long term I like them anyway.

XTA is still too cheap, its now in a takeover bid scenario but if you look back they have been £40 a share in the past. I think in distant future too hence Glencore are not bad to buy them

BHP is my fav of the whole lot, seems safest. FXPO I put a sell for 380 to take some profits, they can go much higher but would be nice to sell and rebuy lower first
VED very cheap but India is challenging, lots of debt I think but commoditys should yield better then cash.
Kaz also incredibly stupidly cheap but not exactly a democratic country, they own 25% of ENRC


Bid talk helps the whole sector as it utilises balance sheet funds into the share price, its nice to ride that or at least speculate - http://www.businessweek.com/news/2012-02-06/glencore-xstrata-pursue-merger-as-speculation-mounts-deal-near.html

falling market may have arrived as now they are down on average 12%. - (after bad news from Greece as you suggested.)
I didn't buy then so am wondering if now is the time. They are still quite high historically.

Ifts

How Tesco's Terry Leahy transformed a tired supermarket into a £35bn juggernaut

Read more: http://www.thisismoney.co.uk/money/news/article-2150277/How-Tescos-Terry-Leahy-transformed-struggling-supermarket-35bn-juggernaut.html#ixzz1vzjup9vz

sabretoothtigger

Glen_Clark wrote: »

I didn't buy then so am wondering if now is the time. They are still quite high historically.

Its hard to say, commodities relate to currency strength quite alot more then normal shares.
Euro is weak and so dollar is high. Theres alot of politics involved in deciding why to hold them at all, miners are unpopular and I think cheap long term

Not sure why KAZ has got so cheap but true to form it is extreme. I think it has to be a scale buy for any of these even BHP.

I dont know the bottom level to say as prices arent making sense. I think Asia Pacific is cheapest vs risk and that sector will hold BHP as its Australian

Here is Dollar Index . Sterling index fell from 100 in 2005 to 83 now for comparison where as Dollar is flat, so to decide cheap we might use 2005 as a baseline maybe
[commodities sell in dollars, if gold doubled and dollar halved the company hasnt likely grown profits unless they reduced costs I guess is my reasoning]

Its a big subject but a study of company fundamentals not price is best. Price is not a fundamental it is a result of them and it can be wildly inaccurate