Is There Value Left in Royal Mail Shares? [link]
Re: BARCLAYS RAISES ROYAL MAIL PRICE TAR... We regard the recent broad set of agreements between the two parties as a landmark, Barclays saidThe recent agreement between Royal Mail PLC (LON:RMG) and the CWU union over pensions, has removed a toxic element from the stock, in Barclays' view.The bank has kept its rating at 'overweight' and raised its forecasts following the recent agreement and the parcels and letters delivery giant's February 1 trading update.We regard the recent broad set of agreements between the two parties as a landmark, Barclays said.To have closed, with a small surplus, one of the larger defined benefit pension schemes in the UK; to have replaced it with an affordable defined contribution scheme (possibly collective subject to government negotiation); and to have agreed on a pay deal to April 2020, without industrial action, is a remarkable and forward thinking effort by all involved, in our view, the bank said.The bank cautions that it will still be necessary to see how the moves to a shorter working week and associated changes in working practices develop, but there is now a strong platform, in its view.
Re: BARCLAYS RAISES ROYAL MAIL PRICE TARGET ... Bought another 1000 on the drop @539.4 last week ,only intended as a short term play. So thank you very much Barclays, sold those and a few extra @567.6Still holding plenty.
BARCLAYS RAISES ROYAL MAIL PRICE TARGET TO 605 (485) PENCE - 'OVERWEIGHT' BARCLAYS RAISES ROYAL MAIL PRICE TARGET TO 605 (485) PENCE - 'OVERWEIGHT'
Royal Mail Confirmed in Ftse tomorrow? Red Letter Day
Re: USPS The link;[link]
USPS Amazon threat to FedEx overblown, it's the postal service that's in trouble, JP Morgan saysAmazon's entry into delivery service won't be as bad for UPS and FedEx as it will be for the USPS, Amazon's largest carrier, says J.P. Morgan.From an article on CNBC.Will the same dog bite the Royal Mail?DL
Re: Potential is Great Yes, I take into account broker stances as well as targets by all brokers on ones I own. I have successfully in the past used these levels to decease or sell when a target is reached. Example of one recently would be XLM which I sold over 2.21 when the highest broker target at the time was 2.20. There must be a fair amount of other followers as sellers in XLM showed their faces and even before the correction had brought the price back down close to 20%I have been surprised at the levels reached by RMG in recent days and agree would put it down to relief of the unions and then the tracking funds building back up their weightings ahead of FTSE inclusion. We are not far away from Goldmans 5.60 and maybe we see a close return to the highs of 5.80 - 6.00 range which may then see profit taking or start just before then.atb
Re: Potential is Great When companies join the Ftse 100 Tackers, Investment Companies and Fund Managers buy into the company, Saying that we dealing some intelligent people so a lot of them could have already bought into the company positioning themselves before the announcement so the effect on the share price might be minimal.As a betting man still believe there is still a lot of good News Story to come which will help to push the share price forward.With Moya Green she will view her job completed. Pensions, Share price & a new way forward with ticks by all of them. We could see Rico Back GLS double digit man taking over the top position for a couple of years before a younger man taking over.
Re: Potential is Great Does anyone take notice of broker ratings ? A lot of smaller brokers and pension funds seem to rate RM a lot higher than the big name brokers. Could also be funds buying in before RM is back in the FTSE 100 again.
Re: Potential is Great Also another part of the agreement all mail centers will be accepting Parcel/mail collections up to 1:30am effectively offering Same Day delivery.
GOLDMAN RAISES ROYAL MAIL PRICE TARGET TO 560 (470) PENCE - 'NEUTRAL GOLDMAN RAISES ROYAL MAIL PRICE TARGET TO 560 (470) PENCE - 'NEUTRAL
Re: Potential is Great Who would have imagined that in a situation where the FTSE is now back to 2016 levels, RMG have transformed from a dead duck to a shining star. Ironically RMG are also back to 2016 SP levels but in a good way.
Re: Potential is Great It seems evident a rerating of RM is going on. Admittedly the sp is only back to previous levels before the long decline to the 370 mark. Some of the brokers have always seemed very negative on RM so I do take some pleasure in those being proved wrong. However RM looks a lot safer stock to hold at the moment. I was pretty sure my further purchase last Friday was a good investment but I thought it would take a while longer to get to these levels.My own fair value rating on RM is 550-575. Purely based on Dividend and cover. Risk eg Strike threats ,Pension issue, Pay rises also sorted until 2020. RM maybe boring most of the time but in these uncertain times it seems a good investment.Yes I do work for RM and I do hold quite a few shares now.
Return to FTSE 100 [link]