Royal Mail Shares

brasso

sebtomato wrote: »

Seems to be an overly positive opinion. The letter market is decreasing, and the key to growth is the parcel market (due to e-commerce), where RM is already uncompetitive, in term of price, delivery options, convenience etc.

Granted, they have a large property portfolio, but the rest is not too rosy: strong unions, aging technology and equipment, increased competition. I wouldn't invest in them in the long term, as they have failed to adapt and innovate.

Fair enough, we all have an opinion, but for reasons mentioned in my earlier message, I'm optimistic.

You're right that the unions have been historically strong and there have been many restrictive practices, but that's exactly the reason I'm optimistic. There is massive potential for efficiencies and modernisation. The landscape has just changed radically and the company have just had a massive injection of cash.

The unions need to get used to the modern world pretty quickly. They already know there will be job losses, and being obstructive is not likely to make them favourites to be kept on. Yep, dog-eat-dog, but that's how private industry works, and why it is generally far more profitable than the old nationalised industries.

DominicH

brasso wrote: »

The landscape has just changed radically and the company have just had a massive injection of cash.

Do you mean that RMG itself has retained some money from the privatisation? Has it not all gone to the government?

gjchester

brasso wrote: »

[*]By going public, RM has had a huge injection of cash to finance expansion of the business.

There will be volatility, as with any share, but we should be confident that over the long term RM will prove to be a good investment, even for people like me who bought on Tuesday when the price was over 480p.

Did the money go to RM or the treasury?


Long term I'm not so sure. Internet parcels are the future, but RM is not the cheapest carrier. The biggest threat is likely to be drop lockers in shopping centres and station and so or the shops who offer a similar service for other parcel carriers. The convenience of collecting at hours that suit you not the carriers may be the next area we see growth.

brasso

DominicH wrote: »

Do you mean that RMG itself has retained some money from the privatisation? Has it not all gone to the government?

Erm, fair enough. I was getting a bit too excited there.

pearl123

Out of curiosity where did the .90 pence go?

brasso

gjchester wrote: »

Long term I'm not so sure. Internet parcels are the future, but RM is not the cheapest carrier. The biggest threat is likely to be drop lockers in shopping centres and station and so or the shops who offer a similar service for other parcel carriers. The convenience of collecting at hours that suit you not the carriers may be the next area we see growth.

Sure, the business is changing but my hope and belief is that RM can be in the vanguard.

latecomer

pearl123 wrote: »

Out of curiosity where did the .90 pence go?

To charity, as per FAQs.

gevans35

pearl123 wrote: »

Out of curiosity where did the .90 pence go?

My 90p (£250.90) arrived in my account today and I didn't even need to send a cancelled cheque.

Still no shares but at least I've got the change.

mrg9999

I have the share offer number, but that is no good.
How many other people are waiting for the email?

mcscoty1973

If you have not had an email by now chances are you will be getting a cert sent in the post I am afraid. Look back a few pages for the number to call Equiniti to check your situation.

mrg9999 wrote: »

I have the share offer number, but that is no good.
How many other people are waiting for the email?