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Imperial Brands Half Yearly Report

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OLTB
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Re: Imperial Brands Half Yearly Report

#226514

Postby OLTB » June 3rd, 2019, 2:24 pm

Hi monabri

My initial purchase back on 16th Aug 2016 at £41.1888 seems a long time ago... :roll:

My weighted average price paid is £34.7963... :roll:

However, dividends have continued to roll in and increased at 10% each year so far :D

Cheers, OLTB.

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Re: Imperial Brands Half Yearly Report

#226515

Postby idpickering » June 3rd, 2019, 2:29 pm

monabri wrote:And today the yield on offer is a 'mere' 10.3% based on a 12m trailing divi of 193.48p and a share price of ...... 1877p.


It does surprise me that as of now I'm showing a 27% capital loss on my IMB shares, my average purchase price being 2584p. I've topped up on the way down and have spent enough with these. I'm happy to continue to hold though, and enjoy the dividend on offer, as I, as a HYPer should.

Ian.

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Re: Imperial Brands Half Yearly Report

#226523

Postby JoyofBrex8889 » June 3rd, 2019, 3:02 pm

I am showing a nasty overall 42% loss on my 3 tranches of IMB, and I just can’t understand why. Nothing has really changed, people are still smoking and vaping and nicotine is still one of the most addictive substances known to man. The business is really rather good at generating cash, albeit “sinful”.

Am topping up.

idpickering
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Re: Imperial Brands Half Yearly Report

#226550

Postby idpickering » June 3rd, 2019, 4:33 pm

JoyofBrex8889 wrote:I am showing a nasty overall 42% loss on my 3 tranches of IMB, and I just can’t understand why. Nothing has really changed, people are still smoking and vaping and nicotine is still one of the most addictive substances known to man. The business is really rather good at generating cash, albeit “sinful”.

Am topping up.


It is a bit strange I agree. I believe in letting managers do their job, and am fascinated in the companies seeming interest in cannabis as an alternative path for investment and research.

Ian.

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Re: Imperial Brands Half Yearly Report

#226569

Postby Dod101 » June 3rd, 2019, 5:35 pm

If this is posted elsewhere, sorry but a post has just vanished.

If it were not that Imperial Brands has just issued its half yearly report I would be thinking it is in grave danger of going bust. At today's closing price of around £18.62 it has fallen by 25% in the last month alone, that is equivalent to about three years' dividends. I therefore find it difficult to take much comfort from the < 10% yield. Since it does not seem to be going bust and the dividend is surely sustainable, what's going on? I have not bought any for a very long time and to that extent am still well in the money, but that is not really the point. Only a year ago it was trading at £27.12 so has dropped over 30% in that time and it has halved in the last two years. I will not be buying any more although it must be the bargain of the year unless there is something that we do not know.

Dod

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Re: Imperial Brands Half Yearly Report

#226576

Postby Howard » June 3rd, 2019, 6:03 pm

I know this is a bit cheeky!

But from a simple share price comparison it would have been better to sell Imperial three years ago and buy Tesco! The culture of Tesco management over recent years has been much better than Imperial in my view. :D

As a long term holder of Tesco who collected enough dividends to pay for my original investment it is interesting to compare the two share price graphs over 10 years. If this trend continues, who knows Tesco may prove the better investment. :D

regards

Howard

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Re: Imperial Brands Half Yearly Report

#226726

Postby moorfield » June 4th, 2019, 10:11 am

This may have something to do with it.

Top stockpicker Neil Woodford suspends flagship fund
https://www.bbc.co.uk/news/business-48506032

I don't have the link to hand but I have read elsewhere that Mr Woodford has been selling down his IMB holding because of client withdrawals.

Dod101
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Re: Imperial Brands Half Yearly Report

#226744

Postby Dod101 » June 4th, 2019, 10:35 am

moorfield wrote:This may have something to do with it.

Top stockpicker Neil Woodford suspends flagship fund
https://www.bbc.co.uk/news/business-48506032

I don't have the link to hand but I have read elsewhere that Mr Woodford has been selling down his IMB holding because of client withdrawals.


Indeed there is a separate thread on Woodford's woes. My newspaper this morning notes that he has been selling blue chips to provide the funds for the redemptions since he cannot sell the private funds so easily, but whether that really accounts for the Imperial price drop who knows?

Dod

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Re: Imperial Brands Half Yearly Report

#226751

Postby idpickering » June 4th, 2019, 10:43 am

moorfield wrote:
I don't have the link to hand but I have read elsewhere that Mr Woodford has been selling down his IMB holding because of client withdrawals.


I can only imagine that Neil is in a lot of angst currently. Selling out of a losing share ain’t very wise imho. How the mighty have fallen. As stated further up this thread, I shall continue holding my IMB shares.

Ian.

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Re: Imperial Brands Half Yearly Report

#226777

Postby Wizard » June 4th, 2019, 11:32 am

Dod101 wrote:
moorfield wrote:This may have something to do with it.

Top stockpicker Neil Woodford suspends flagship fund
https://www.bbc.co.uk/news/business-48506032

I don't have the link to hand but I have read elsewhere that Mr Woodford has been selling down his IMB holding because of client withdrawals.


Indeed there is a separate thread on Woodford's woes. My newspaper this morning notes that he has been selling blue chips to provide the funds for the redemptions since he cannot sell the private funds so easily, but whether that really accounts for the Imperial price drop who knows?

Dod

What percentage did / does he hold? If he held a significant amount wouldn’t there need to be RNS’ as he broke through percentage holding thresholds?

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Re: Imperial Brands Half Yearly Report

#226784

Postby monabri » June 4th, 2019, 12:04 pm

Woodford's equity fund holds 7.5% in Barratt Developments (BDEV) and Taylor Wimpey (TW) at 5.4%....so that might explain recent drops in these yesterday...surprising if he's selling TW especially when it goes XD for 10p per share on Thursday ( desperation? )

Woodford Equity Income Fund ( WEIF)....waif?

https://woodfordfunds.com/funds/weif/fund-facts/

Barratt Developments Consumer Goods 7.53%
Burford Capital Financials 5.78
Taylor Wimpey Consumer Goods 5.37
Provident Financial Financials 4.81
Theravance Biopharma Health Care 4.71
Benevolent AI Technology 4.47
IP Group Financials 3.30
Countryside Properties Consumer Goods 3.13
Autolus Health Care 3.13
Oxford Nanopore Health Care 2.57
Total (of top 10) 44.80%
( numbers above are percentages)

The drop in IMB share price and any forced sale from Woodford crossed my mind . It doesn't look to be the case for WEIF
but I think more investigation of his other fund might be "interesting "..has he been selling off IMB from the income focus WIIF fund?

Dod101
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Re: Imperial Brands Half Yearly Report

#226793

Postby Dod101 » June 4th, 2019, 12:18 pm

Anyway in a generally falling market, Imperial was up over 3% this morning, last time I looked anyway. bargain hunters out?

Dod

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Re: Imperial Brands Half Yearly Report

#226797

Postby idpickering » June 4th, 2019, 12:22 pm

Thank you for posting the link to his holdings monabri. What I see is investment in a host of firms I’ve never even heard of. Almost like chucking darts at a board blindly. Very arrogant imho, gambling with investors money, when there’s no need to do so.

Ian.

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Re: Imperial Brands Half Yearly Report

#226900

Postby monabri » June 4th, 2019, 5:06 pm

idpickering wrote:Thank you for posting the link to his holdings monabri. What I see is investment in a host of firms I’ve never even heard of. Almost like chucking darts at a board blindly. Very arrogant imho, gambling with investors money, when there’s no need to do so.
Ian.


Out of curiosity I downloaded the annual report for the Woodford Equity Income Fund. I note that on 31 December 2018 the report states that WEIF held IMB at 7.1%....approx 14 million shares..

Downloaded from the WEIF Annual Report. https://woodfordfunds.com/downloads/

Image

I reported his current top 10 holdings in WEIF above. His holding of IMB in WEIF is now "less than 2.57%".

So, it looks - on face value - as though he's offloaded at least ~9 million IMB shares from the start of this year from the one fund alone .....

(Back to what Dod was saying about how the IMB share price has been crashing recently?)


And the list of the Top 10 above are the ones that one might possibly recognise ...some of the other names, well, they are definitely not your household names!

With regard to IMB specifically, I wonder if he's also been selling from the WIFF fund (an apt name!) - Woodford Income Focus Fund.

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Re: Imperial Brands Half Yearly Report

#226910

Postby monabri » June 4th, 2019, 5:30 pm

Looks to me as though he's been selling from the Income Focus Fund (WIFF) as well!

The Annual report for the year end 31 Jan 2019 indicated that the fund held 1.947 Million IMB shares - 8.92% of the fund (quantity wise - a lot less that held in his Equity Fund (WEIF)!)

As on the 30th April 2109, the holding in IMB is down to 3.51% in WIFF.


(and, I note, the figure of 2.36% for the IMB holding in the Equity Focus, "WEIF")

https://woodfordfunds.com/funds/holding ... al-brands/

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Re: Imperial Brands Half Yearly Report

#227503

Postby monabri » June 6th, 2019, 3:08 pm

monabri wrote:And today the yield on offer is a 'mere' 10.3% based on a 12m trailing divi of 193.48p and a share price of ...... 1877p.


2067p...back to a 'disappointing ' 9.4%. yield ;)

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Re: Imperial Brands Half Yearly Report

#228919

Postby Dod101 » June 12th, 2019, 12:36 pm

I missed these posts monabri. Thanks for your research. It would certainly help explain the dramatic fall in the share price of Imperial, and maybe also today's down movement in BAT. It is really just not possible to compete against that sort of thing. Good opportunity for bargain hunters although Woodford has presumably made quite big losses.

Dod

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Re: Imperial Brands Half Yearly Report

#229271

Postby Alaric » June 13th, 2019, 3:57 pm

More selling off announced.

https://www.telegraph.co.uk/investing/s ... co-should/

Behind the paywall but the news is at the top.

The £6bn Nest pension fund – the largest pension master trust in the country, which is forecast to manage pensions on behalf of one third of the working population in the next decade – has said it will be selling off its remaining £40m of tobacco-related holdings, saying they are a poor investment for its eight million members.


If it runs funds linked to the FTSE 100, FTSE 350 or FTSE all share, it's going to get tracking error if it follows suit for these.

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Re: Imperial Brands Half Yearly Report

#229280

Postby Dod101 » June 13th, 2019, 4:20 pm

Yes but I assume they think it will be a tracking error in their favour. Anyway if they just want to match the FTSE100, why not just buy a tracker? It seems a daft idea to sell at just about the lowest point, I hope!

Dod

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Re: Imperial Brands Half Yearly Report

#229290

Postby Bouleversee » June 13th, 2019, 4:55 pm

I wonder if they have taken into account the special circumstances of the Woodford connection. While the tobacco industry may be slowly dying, I don't think the present drop is due to that. One might have thought that they could take a long term view and bag a few bargains and collect a profit when things settle, as I hope they will but it may take a while.


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