help with shares??

Bizmarque

hi,
i'm sure someone here can set me straight......

I bought some shares in an irish corporation on Monday. I used a UK broker and bought at £14.05 per share. They are now saleable at £11.00 ish after a coupla days. I understand the risks etc so the decrease in value isn't my big worry.

The Euro price originally was about E17.00 which converts directly to around my £14.05. But....here's my confused bit....they are still around the E17.00 mark(actually gone up a teeny bit) on all the share price sites (including the brokers).
So why would they be suggesting they are now only worth £11.00???

I don't know if that reads very well - if anyone gets it and knows the answer I'd love to know,

Thanks
bizmarque

digerati

Bizmarque wrote: »

I bought some shares in an irish corporation on Monday. I used a UK broker and bought at £14.05 per share. They are now saleable at £11.00 ish after a coupla days. I understand the risks etc so the decrease in value isn't my big worry.

So why would they be suggesting they are now only worth £11.00???

Could be the spread between bid and offer (buy and sell). If it's a smaller company with illiquid shares then there may not be much demand for it so a large price between what buyers and sellers expect.

The rights issue may also be overhanging the price.

Without more info it's hard to make an informed answer.

altyfc

Yes, I suspect this is a 'buy' and a 'sell' price. The two are not identical.

tradetime

That'd be one of the biggest spreads in history if it was a 305p spread on an 1100p stock, it may simply be that your stock is listed on more than one exchange, London and Ireland the former in pounds the latter in Euro which I presume is the case since you appear to to be looking at it's price in different currency. Without knowing what the stock is it's hard to say. The spread suggestion isn't impossible, but it is a very big spread, I also wonder from the time of your post is that when you are reading the price? Some price feeds to really odd readings outside market hours.

Bizmarque

Thanks for the replies - I think that puts my mind at rest a bit. If anyone was interested the stock is elan (ELA). They are an Irish firm, and I bought them through a UK broker.


might have to ask the broker, but they can be a bit intimidating for a newbie...
ta

tradetime

Elan is a biotech company I believe and is currently trading @ 17.70 x 17.75 Euro (bid x ask) on the LSE
My bad the price is in Euro and does in this case convert comparably in exchange with the US ADR at $24.42
What time of day did you get that quote with the wide spread?

Bizmarque

sorry - I am greatful for the replies but have been unavailable to express it. I turns out that the brokers web site showing portfolio's has a problem with euro - sterling - $ conversion in real time at present......Big sigh of relief here I can tell you...

Thanks again.

Biz

Aegis

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