We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Royal Dutch Shell shares

13

Comments

  • Glen_Clark
    Glen_Clark Posts: 4,397 Forumite
    StevieJ wrote: »
    There are a few, try this one but I only trust the one I do my business witth i.e TD Waterhouse.

    http://www.iii.co.uk/investment/detail?code=cotn:RDSB.L&display=fundamentals&it=le

    That link gives Shell a PE ratio of 21.45

    http://www.reuters.com/finance/stocks/overview?symbol=RDSb.L

    Reuters gives them a PE ratio of 6.89


    http://www.google.co.uk/finance?client=ob&q=LON:RDSb

    Google gives them a PE ratio of 6.00
    “It is difficult to get a man to understand something, when his salary depends on his not understanding it.” --Upton Sinclair
  • StevieJ
    StevieJ Posts: 20,174 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    edited 26 April 2012 at 9:49AM
    Glen_Clark wrote: »
    That link gives Shell a PE ratio of 21.45

    http://www.reuters.com/finance/stocks/overview?symbol=RDSb.L

    Reuters gives them a PE ratio of 6.89


    http://www.google.co.uk/finance?client=ob&q=LON:RDSb

    Google gives them a PE ratio of 6.00



    And Yahoo gives a p/e of 455 (if only) that is why I use TD Waterhouse for my company data, although I now have to pay if I don't trade. I notice that he 3.55 comes from that Reuters link, what is the difference between industry and sector?

    http://uk.finance.yahoo.com/q?s=rdsb&ql=1

    BTW TD give an oil sector p/e of 9.34 much more like it. TD also give a p/e of 7.76 (as at last close) for Shell but this is forward looking and based on analysts forecasts (some use historical profits).
    'Just think for a moment what a prospect that is. A single market without barriers visible or invisible giving you direct and unhindered access to the purchasing power of over 300 million of the worlds wealthiest and most prosperous people' Margaret Thatcher
  • StevieJ
    StevieJ Posts: 20,174 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    Glen_Clark wrote: »
    I see no reason why they shouldn't be quite good, but still haven't a clue what the share price will do. I have often seen good results followed by a drop in the share price.

    Here is the summary, beat estimates so share price +3%.

    http://www.investegate.co.uk/Article.aspx?id=20120426070000PE3F2
    'Just think for a moment what a prospect that is. A single market without barriers visible or invisible giving you direct and unhindered access to the purchasing power of over 300 million of the worlds wealthiest and most prosperous people' Margaret Thatcher
  • IronWolf
    IronWolf Posts: 6,445 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    Has noone worked out their actual P/E ratio yet? Its not hard
    Faith, hope, charity, these three; but the greatest of these is charity.
  • StevieJ
    StevieJ Posts: 20,174 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    IronWolf wrote: »
    Has noone worked out their actual P/E ratio yet? Its not hard

    What do you favour, trailing or forecast?
    'Just think for a moment what a prospect that is. A single market without barriers visible or invisible giving you direct and unhindered access to the purchasing power of over 300 million of the worlds wealthiest and most prosperous people' Margaret Thatcher
  • IronWolf
    IronWolf Posts: 6,445 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    StevieJ wrote: »
    What do you favour, trailing or forecast?

    both :p



    &#$*! off "message is too short" stupid forum
    Faith, hope, charity, these three; but the greatest of these is charity.
  • JamesU
    JamesU Posts: 1,060 Forumite
    Part of the Furniture Combo Breaker
    IronWolf wrote: »
    Has no one worked out their actual P/E ratio yet? Its not hard

    OK, will give this a bash.....Quarterly eps values (non-adjusted) can be found on the Shell website in link (open pdf for each quarter results in 2012/2011):http://www.shell.com/home/content/investor/financial_information/quarterlyresults/archive/2011/

    eps 2012 Q1: 1.23
    eps 2011 Q4: 1.04
    eps 2011 Q3: 1.16
    eps 2011 Q2: 1.29
    eps 2011 Q1: 1.12

    2011 RDSB trailing p/e was 8.6 based on eps of cumulative 2011 Q4:Q1 = $4.61.

    The above previous trailing p/e for RDSB to end of Dec 2011 can be seen clearly on Digital Look (see end of post). Similarly forecast p/e's for 2012 and 2013 are shown, but of course they are a little more speculative. Having said that, the RDSB forecast p/e to end of Dec 2012 = 7.9 and this looks pretty reasonable based on Q1 2012 eps as discussed next......

    So at present the trailing p/e should be.......
    RDSB = £22.67 at close today = $36.73 (where £1 = $1.62)
    Based on sum of 2012 Q1 (latest results) and 2011 Q4/Q3/Q2, eps = $4.72

    Then RDSB current trailing p/e is 36.73/4.72 = 7.78


    Sound about right? For me, this does not mean the current p/e for RDSB is a meaningful buy signal, given it is based on competing factors leading to the eps such as relatively high oil price/whatever operating costs etc on the one hand, and a share price that reflects this eps, but is also dependent on whatever market sentiment for whatever reasons, which also impacts on share price. So two set of variables to consider carefully perhaps.

    Going forward, think it is quite likely there will be a drop in oil price that can impact significantly on RDSB eps and any forecast p/e over the coming quarters.

    JamesU


    http://www.digitallook.com/dlmedia/investing/uk_shares
    RDSB-1.jpg
  • Glen_Clark
    Glen_Clark Posts: 4,397 Forumite
    edited 28 April 2012 at 2:02PM
    StevieJ wrote: »
    The pension is fully funded, even though Shell barely contributed a penny through 1990 - 2008, they have recently been significantly topping up but I guess this will be short term. BTW they have not closed the scheme yet so if you want a job with a good pension, get cracking :) BTW you can buy the A (Dutch) shares if you wish, you will just get a 15% deduction on dividends (I think).

    Shell being the only FTSE 100 company still running a final salary pension scheme would make me feel more comfortable working for them than buying their shares.
    Money Printing has quadrupled the FTSE 350 Pensions deficit in the last year, and no sign of any let up in that. On top of that people are set to live longer. Although Shell is not mentioned here, it seems some companies are trying to ignore such factors in calculating their pensions defecits, in order to inflate profits, PE ratios, and Directors bonuses. My feeling is that a lot of companies PE ratios look too good to be true, and I fear the pensions black hole could be a future massive financial scandal.

    http://www.telegraph.co.uk/finance/personalfinance/pensions/9232364/QE-quadruples-FTSE-350-pensions-deficit-in-one-year.html
    “It is difficult to get a man to understand something, when his salary depends on his not understanding it.” --Upton Sinclair
  • StevieJ
    StevieJ Posts: 20,174 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    Glen_Clark wrote: »
    Shell being the only FTSE 100 company still running a final salary pension scheme would make me feel more comfortable working for them than buying their shares.
    l

    To be discontinued in 2013, and as I pointed out above the Shell contribution to that pension scheme has not been onerous in the past 20 years. I don't think the workforce of Shell would share your sentiments as the accountant in charge tightens the company belt. A definite buy I think.
    'Just think for a moment what a prospect that is. A single market without barriers visible or invisible giving you direct and unhindered access to the purchasing power of over 300 million of the worlds wealthiest and most prosperous people' Margaret Thatcher
  • sabretoothtigger
    sabretoothtigger Posts: 10,036 Forumite
    Part of the Furniture 10,000 Posts Photogenic Combo Breaker
    edited 28 April 2012 at 6:55PM
    So Digital Look is accurate then, they do Halifax's data I think


    Fastest data is with google, search and choose finance tab. Price is realtime however in this case they say 6 PE

    I used to own the A and B shares for a while from 2009 onwards. I swapped for BP instead in the end but A does pay less as I remember, otherwise its no big deal which one

    They keep different prices, A was always more expensive when I had them. I believe A shares allow you to ask for income in Euros but I dont own any of my shares direct now anyway so it was a mistake I had both

    This company is very actively pursuing Natural gas apparently, thats why I took them. Its a slow process though, last thing Ive read is they want to frack drill the whole UK.
    That is a massive deal potentially, certainly the government wants the revenues. Fracking just going through green light procedures despite causing earthquakes prior (hence stopped)

    Could spend a whole week reading what a behemoth like this is up to around the world, probably should :p


    If I was to buy this kind of share now I would take BG group I think



    xGtxz.png

    Check out how the price spiked down in April and immediately reversed. That was a lovely buy to have and right on track with last few years ascending, nothing wrong with this one apparently
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 352.1K Banking & Borrowing
  • 253.6K Reduce Debt & Boost Income
  • 454.2K Spending & Discounts
  • 245.1K Work, Benefits & Business
  • 600.8K Mortgages, Homes & Bills
  • 177.5K Life & Family
  • 258.9K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.