Nice.
You might have known we'd get slated for trying to use our intelligence to try and make some money for our future instead of just grinding along as an overtime junkie postie.
Indeed.
The question is though, as it has been from the beginning of this post, why is the share price is doing so well?
Amazon, for example, have posted massive profits yet again. However, because those profits are a bit less than projected, their share price tanked. I even bought one (a single share, that is). Facebook ... Still massively profitable ... Plummeting.
Why, then, would a company in apparent financial strife to the tune of losing nearly a billion a year and in a fight to the death with it's primary union, be soaring so high?
There's something going on. And I, as someone who's bet on the wrong direction (although logically), would like to know what that something is.
RM share price isn't doing well at all, maybe doing well relative to the past month but in general it's cheap as chips. 1 way to measure if a share price is expensive or cheap is to check the pe ratio. Average pe ratios are around 12-15. Royal mail's is currently at 3.
As for Amazon & FB, the whole market is bearish now because we anticipating a recession. Even companies posting great quarterly results are getting punished in the stock market.
I see you purchased cfd's which I have no experience in but they seem very risky from the little I've read on them. In time's like this it's best to stay away from derivatives like options & cfd's. We are likely to be in a bear market for maybe a year or 2 because of the global recession.
I'd wait for things to settle down before buying derivatives. Sticking with purely shares is the safest thing but that just my opinion, I could be wrong lol
Nice to see the workers getting knee deep in capitalism and tell us how we should resolve the dispute by caving in!
If you're stuck inside a prison, the only way you can escape is by using the tools around you.
The key is not too join the wardens once you are free.
Nice.
You might have known we'd get slated for trying to use our intelligence to try and make some money for our future instead of just grinding along as an overtime junkie postie.
Exactly, the money can work for us in our portfolios instead of us slaving for RM lol
RM share price isn't doing well at all, maybe doing well relative to the past month but in general it's cheap as chips. 1 way to measure if a share price is expensive or cheap is to check the pe ratio. Average pe ratios are around 12-15. Royal mail's is currently at 3.
As for Amazon & FB, the whole market is bearish now because we anticipating a recession. Even companies posting great quarterly results are getting punished in the stock market.
I see you purchased cfd's which I have no experience in but they seem very risky from the little I've read on them. In time's like this it's best to stay away from derivatives like options & cfd's. We are likely to be in a bear market for maybe a year or 2 because of the global recession.
I'd wait for things to settle down before buying derivatives. Sticking with purely shares is the safest thing but that just my opinion, I could be wrong lol
Oh, I do believe it's undervalued, long-term. But, I'm thinking back to the Rico era when even the THREAT of strikes drove the price down to ... What was it? ... Around the £1.30s or so?
My reasoning was that ACTUAL strikes would have at least a similar effect. Clearly not.
Luckily, I'm not completely daft. I have no debt and I've been fortunate enough to lock in a mortgage at 2.8% recently. As you said, I'm not dealing with massive amounts of money and I usually wouldn't touch CFDs with a barge pole, but it was the only way to get leverage on my "sure thing".
You did well getting a 2.5% interest rate. I just completed on a 3.6%. Still kinda low but I should of switched earlier.
The rm share price dropped down to £1.30 range during covid, when lockdowns were announced. Is that the Rico time you're referring to?
I think the upcoming Christmas strikes combined with ongoing recession fears will likely bring Royal mail shares into the 1 pound levels in the upcoming weeks. So I wouldn't lose hope yet. But if they do drop I suggest you cash in immediately cause after Christmas I reckon they could get back to normal levels.
It's the amount of revenue being lost by Royal mail this Christmas that will spook investors for the short term. Long term the amount of money Royal mail are gonna be saving in upcoming years by changing our way of working will please alot of investors. I'm gonna buy a few long term call options if they do drop.
Just seen the pe ratio is 9 now. Must of got it mixed up with another stock.
Exactly, the money can work for us in our portfolios instead of us slaving for RM lol