BT - I've gone wobbly

[vrdiver]

I purchased BT in Feb 2005 at £2.12; topped up in August 2006 at £2.44 and again in July 2012 at £2.27 (including costs).

My spreadsheet shows a XIRR of 4.2% and dividend CAGRs for 1, 5 and 10 years as 6.7%, 12.3% and 0.0% respectively (moving to 0.0%, 10.3% and -0.3% if you calculate based on the declared September final).

As an investment, I have to say it's been underwhelming, with the current share price underwater vs every purchase, despite the FTSE today being at an all-time high. The 10 year dividend CAGR also tells a tale of woe, with the dividend only now approaching levels last seen in 2008 (The 2009 interim was held at 5.4p before the final was slashed from 10.4p to 1.1p).

None of the above has been adjusted for inflation over the timespan.

The current final has been held (as was the interim). Whether their investments in mobile (after selling O2 for a song too early, only to buy EE at a premium a few years later...) pay off, who knows.

I'll stick with them, as they have been steadily increasing the dividend until this year, but it's not a share I'd expect to shoot the lights out.

VRD

[csearle]

Having finally regained access to my ISA with Barclays (last opportunity was 27th December 2017 so try not to use them would be my advice), I have blown all the accumulated dividends on BT.A as no. 1 top-up candidate. The nearest contender from without my portfolio was Inmarsat, which appeared to have had a dividend cut, so lost out. C.

[monabri]

Having finally regained access to my ISA with Barclays (last opportunity was 27th December 2017 so try not to use them would be my advice), I have blown all the accumulated dividends on BT.A as no. 1 top-up candidate. The nearest contender from without my portfolio was Inmarsat, which appeared to have had a dividend cut, so lost out. C.

I think you might have made the better choice based on ISAT's sp drop today!

[monabri]

Because he's done SUCH a good job!

https://www.telegraph.co.uk/business/20 ... 000-roles/

[Bouleversee]

Well, Patterson is up for re-election at this year's AGM, along with umpteen other directors. Perhaps we should make the effort to vote against him. I saw this on ADVFN's morning bulletin today: (sic)

"Shares in BT Group were up slightly amid as investor support for chief executive Gavin Patterson was reported to be "crumbling", by the Financial Times, with several top-20 shareholders warning they are running out of patience."