Spain Fund
01 Dec 2016
Slumps on JP Morgan downgrade Michele MaatoukDate: Thursday 01 Dec 2016LONDON (ShareCast) - (ShareCast News) - TalkTalk was under the cosh on Thursday as JPMorgan Cazenove downgraded the stock to 'underweight' from 'neutral' and slashed the price target to 150p from 230p.The bank said the big drop in the shares since the first-half results reflects increased uncertainty about the future trading prospects for the company, an issue it expects to persist until at least the full-year results in May 2017 as TalkTalk attempts to reverse customer losses in its core consumer broadband business."Execution risk remains high, in our view, and a failure to stabilise the retail customer base could lead to further downgrades to consensus estimates," JPM said.The bank noted TalkTalk has been looking to stem the outflow of customers since the cyber attack through investments to improve network performance customer service, as well as a new pricing model. It said results of these attempts have been mixed, with initial strong re-contracting rates among customers reaching the end of promotional periods offset by churn among customers facing a price increase.JP Morgan also said it reckons a more conservative dividend policy would be appropriate in light of the current trading environment."This would provide a bigger liquidity buffer especially given the continued interest in 'full fibre' network projects," it said.
Damp Seaweed
01 Dec 2016
Re: TalkTalk slumps as Citi cuts price t... JPM is the this mornings and the latest broker with the a target price of 150p.Together with Ofcom looking into the rip off that is line rental, and Sky entering the Mob market would explain the drop.It looks like I'm going to have to trade out of my losing position as I can't see 200p appearing on the horizon any time soon with the current TallkTalk strategy
Rhino1958
01 Dec 2016
Director share purchase If I am reading the news correctlyDirector buys approx 2 million shares @approx £1.55ishIf so, he has confidence maybe others will follow
nick2name
01 Dec 2016
Re: TalkTalk slumps as Citi cuts price t... ' I assume we have another poor brokers recommendation. 'how many poor brokers do you know?
Damp Seaweed
01 Dec 2016
Re: TalkTalk slumps as Citi cuts price targe... Looking at this mornings drop, I assume we have another poor brokers recommendation.
Spain Fund
29 Nov 2016
Shares up 165.00 +7.90 (5.03%) not often recently
Spain Fund
28 Nov 2016
TalkTalk slumps as Citi cuts price target TalkTalk slumps as Citi cuts price targetMichele MaatoukDate: Monday 28 Nov 2016LONDON (ShareCast) - (ShareCast News) - TalkTalk was under pressure as Citigroup cut its price target on the stock to 150p from 230p and kept the stock at 'neutral' saying it was still too risky.The bank said the fall in the target price was due to cutting cash flow forecasts given lower earnings before interest, taxes, depreciation and amortisation and higher capex, and as it takes into account higher net debt coming into the forecast period.Citi said TalkTalk's first-half results showed net debt continuing to rise rapidly while revenue fell and shifted further into wholesale, undermining gross margin.It pointed out that the group was forced to add a £75m receivables purchase agreement to improve its facilities headroom but noted the majority of its credit arrangements expire within three years."A lot now rests on its October consumer relaunch of more competitive plans for new customers alongside a chunky price rise for the base. We expect the dividend to halve year-on-year in FY18 and see downside risk to consensus."Citi expects £302m for FY17 EBITDA, below revised guidance at the lower end of a £320m-£360m range.At 0853 GMT, the shares were down 3.1% to 151.21p.
Ewan Hoosami
26 Nov 2016
The only way is... ...up?With the sp this low and the divi set to be 'at least' as much as last year, we're at the 10% yield mark. If that's sustainable then TALK is undervalued. If it has to be cut, say by 50%, we still have a 5% payout and the business keeps £75m for reducing debt. I reckon the market in its current mood would receive this positively. Either way, this looks like the floor to me barring any sudden deterioration in trading or any more bored teenagers hacking company websites when they should be sexting like all the other kids.
city watcher
24 Nov 2016
Some more broker's views Guess they are worth holding, but maybe not worth buying yet !! Target price may only be around £1 - 85 considering all the views; most of which have been posted already.[link] Nov 16 Macquarie Outperform 153.50 290.00 290.00 Reiterates 23 Nov 16 Societe Generale Sell 153.50 185.00 130.00 Retains 23 Nov 16 Macquarie Outperform 153.50 290.00 290.00 Reiterates 16 Nov 16 Barclays Capital Overweight 153.50 250.00 250.00 Reiterates 14 Nov 16 Deutsche Bank Buy 153.50 300.00 300.00 Reiterates 07 Nov 16 Haitong Securities Sell 153.50 150.00 150.00 ReiteratesAlso 9 - 0 out of favour recently[link] date for their 5.3p dividend is tomorrow, there may be some more selling that follows.
Footsie Explorer
23 Nov 2016
Re: Major Downgrade on Talk Talk I bought in yesterday for the first time with a modest 2500 shares being heavy in VOD because I think that as the sector is maturing it is going to have go through consolidation.There may continue to be shorting etc. in the near term and there is a lot to do for TALK to regain their share prior to the cyber attack but I see that both TALK and VOD are increasingly putting BT under pressure with their all inclusive price plans. Sometimes it takes an event like this (vis a vis Shell) for companies to really have a shake up and I believe (hope) TALK may well be going through such a process.If it does indeed test 5 year lows as some on this board are suggesting then I may well buy more.
Spain Fund
22 Nov 2016
Re: Drop ? About 7.39M shares traded hands today or 262.25% up from the average. Talktalk has declined 37.40% since April 26, 2016 and is downtrending.
cautious tone
22 Nov 2016
Re: Drop ? There is a gap in the chart spring 2012, from 132 - 141.It does seem as though it's being pushed down towards it, mirroring the sell off in dividend stocks such as AZN, GSK, NG, RMG.Would certainly consider buying for the bounce if it gets there !
Damp Seaweed
22 Nov 2016
Re: Major Downgrade on Talk Talk I think much of the commentary is quite balanced. The strategy of not aggressively pursuing new customers with sweeties would seem quite a brave departure for anyone in the retail service/utilities sector. I was just having a quick look at Broadband deals on a comparison website. TalkTalk are no longer in the top best buy bunch. So as a new customer, I have no reason to choose them. But as an existing customer, the deals on offer would not make me bother switching. Maybe it is a sign of a maturing market, maybe just a pre christmas quiet period ?.But it is encouraging that Capital are buying, they really ought to have an ear to the boardroom door. And I doubt TALK are totally incapable of responding to the changing market dynamics. So I don't think we are anywhere near the basket case that is being portrayed by Redburn and the current share price.
Footsie Explorer
22 Nov 2016
Re: Major Downgrade on Talk Talk Although the global political landscape has changed a bit since Redburn's last statement on TalkTalk 20th September, the fundamentals stay the same regarding sector consolidation. Back then they were neutral and this week's statement showed some positives IMO so I struggle with the their overly bearish stance and valuation - but what do I know?![link]
Spain Fund
22 Nov 2016
Re: Major Downgrade on Talk Talk MM you being dense?. I already posted that info
