Royal Mail privatisation... Would you?

cepheus

I suppose most investors who apply for more than £10k will vote Tory regardless and don't need to be bribed!

Royal Mail sale: Small investors will be favoured

Small investors will be favoured in the privatisation of the Royal Mail, but those seeking a large stake might not get any shares, the BBC has learned.

Anyone who subscribed for the minimum entitlement of £750 will receive 100% of their application, according to BBC business editor Robert Peston.

But the government will set an upper level where investors will not receive any shares at all, he said.

That level could be set at £10,000 worth of shares.

Yorksport

royalsteve wrote: »

You would have to be a complete an utter iphone muptard to buy shares in this useless company, unless its for a quick buck and sell on 1st day to even dafter muptards.

I used to sell up to 50 items a day on ebay/amazon marketplace, bit less now but I rarely use RM now as they are a) hopeless b) are expensive compared to couriers for everything except letters and very small parcels/packets with low value items c) a lot of items aren't tracked - almost all courier items are tracked and are ALSO cheaper

Their staff are useless and more interested in going on strike

Why o why are sheep buying these shares - RM are struggling and the competition has barely started to compete with them. Its because they listening to the media sheep.

I own shares in lots of companies - like Vodafone where I have a lot of shares and that has proved fruitful so far and will once their Verizon stake has been sold off and as soon as that happens I will bet AT&T will buy Vodafone

For someone who reluctantly used to use RM a lot only 5-10 years ago to now when I rarely use them id say that's a worrying sign as im not alone.

RM is like BT, a dinosaur that has stunted the growth in their sector in this country. Unlike BT at the time of the share issue, RM has a lot of competition that is far far better. If RM stop using hopeless post offices and use supermarkets or drop off centres then that would a good start. Post offices open when everyone is at work. Our local one closed at lunchtime one day to go on strike. pathetic

In fact the only reason id get some shares is to claw back the money these hopeless muptards owe me from providing a mostly abysmal service in the last 15 years. Luckily I don't use them much now

Thanks buddy, you're making the case for privatisation well. It's not going to stay the same! The politicians have realised they have to do something at last. And I hope the remaining Post Office is next: franchise it to the supermarkets and be dazzled.

sabretoothtigger

The BT IPO shares made money and having worked for them as well as the competition I can say they are inefficient but that doesnt mean never buy the shares

Why o why are sheep buying these shares - RM are struggling and the competition has barely started to compete with them.

RM has some monopoly still and unless the accounting was fixed, its being sold cheap.
I wouldnt buy at 20 PE as its growth is challenged but anything at 10 PE is worth a look

The dynamics of the sheep as you say as to reinforce the general consensus, in share terms its in demand and likely to be so for the foreseeable future.
In ten years I expect alot of change and BT was a sale after IPO. In 2000 it was a screaming sell and RM could rise to much higher prices before it is similarly a strong sell, but not at 330p

MrRee_2

I wouldn't listen to anyone who uses the term, "Muptard" .....

Me, I've applied for loads in my name (looks like I won't get them), but applied for a lower figure in wifeys name and will hope to get them.

jimjames

royalsteve wrote: »

Why o why are sheep buying these shares - RM are struggling and the competition has barely started to compete with them. Its because they listening to the media sheep.

It would appear that a lot of people are buying purely because they think it is a one way bet and don't realise what share ownership really entails in terms of risk.

I'm pretty certain that the shares will rise substantially but in some ways it would be good to get a crash just afterwards so that all those buying for a quick buck get to realise that shares are not a one day investment.

m00min

royalsteve wrote: »

I used to sell up to 50 items a day on ebay/amazon marketplace, bit less now but I rarely use RM now as they are a) hopeless b) are expensive compared to couriers for everything except letters and very small parcels/packets with low value items c) a lot of items aren't tracked - almost all courier items are tracked and are ALSO cheaper

Cheaper? Yes. Tracked? Yes. Delivered? Hmm.....

Yodel & HDL spring to mind - competition to strike fear into the hearts of RM investors !!

2010

RM have been around 500 years, can`t see it disappearing anytime soon.

Scarpacci

m00min wrote: »

Cheaper? Yes. Tracked? Yes. Delivered? Hmm.....

Yodel & HDL spring to mind - competition to strike fear into the hearts of RM investors !!

We can joke about the quality of Yodel or HDL, but if they're the ones getting the contracts with online retailers, it is definitely a problem for Royal Mail. The smaller eBay and Amazon sellers might act as a bellwether, but the focus should be on larger sites: Amazon, Argos, Tesco, M&S, etc. Who they hand their delivery contracts to is very much at the centre of Royal Mail's future. Assuming they even have delivery contracts; we shouldn't overlook the rise of click and collect/delivery to stores, Collect+ and the like.

People might figure that the rising number of parcels will mean RM delivering more parcels, but it's by no means assured.

racing_blue

Dodo, flat earth theory, Roman Empire, there are plenty of precedents

Ologhai

2010 wrote: »

RM have been around 500 years, can`t see it disappearing anytime soon.

Yes, RM is an old firm, not like Lehman Brothers and Woolworths.