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National Grid - will it be <800p anytime soon?

Is NG going to be less than 800p soon?

Poll ended at July 29th, 2018, 5:23 am

Yes
4
57%
No
3
43%
 
Total votes: 7

FredBloggs
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National Grid - will it be <800p anytime soon?

#155198

Postby FredBloggs » July 26th, 2018, 5:23 am

I think it could.

FredBloggs
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Re: National Grid - will it be <800p anytime soon?

#156060

Postby FredBloggs » July 30th, 2018, 10:10 am

FredBloggs wrote:I think it could.

Looking likely, only another 12p to go and we're <800p.

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Re: National Grid - will it be <800p anytime soon?

#156130

Postby absolutezero » July 30th, 2018, 3:19 pm

Yes.
Just wait for PM Corbyn to steal (sorry, nationalise) it and then the value of the shares will be 0p - much less than 800p.

FredBloggs
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Re: National Grid - will it be <800p anytime soon?

#156232

Postby FredBloggs » July 31st, 2018, 12:28 am

absolutezero wrote:Yes.
Just wait for PM Corbyn to steal (sorry, nationalise) it and then the value of the shares will be 0p - much less than 800p.

That's why after the more recent Brexit wobbles I decided to sell, despite me thinking NG is a great business.

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Re: National Grid - will it be <800p anytime soon?

#156271

Postby absolutezero » July 31st, 2018, 10:03 am

FredBloggs wrote:
absolutezero wrote:Yes.
Just wait for PM Corbyn to steal (sorry, nationalise) it and then the value of the shares will be 0p - much less than 800p.

That's why after the more recent Brexit wobbles I decided to sell, despite me thinking NG is a great business.

You think it's a great business.
I think it's a great business - I do with SSE, NG, UU and SVT. I sold them all.
Obviously, Corbyn's thugs think they are great businesses too!
I just think it's lunacy to hold them until the communists are put back in their box and some middle of the road type becomes Labour leader.

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Re: National Grid - will it be <800p anytime soon?

#156744

Postby FredBloggs » August 2nd, 2018, 12:53 pm

And........ there we go. Presently at 797p.

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Re: National Grid - will it be <800p anytime soon?

#165813

Postby FredBloggs » September 12th, 2018, 9:49 am

FredBloggs wrote:And........ there we go. Presently at 797p.

NG on special offer again today 8-)

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Re: National Grid - will it be <800p anytime soon?

#165825

Postby absolutezero » September 12th, 2018, 10:33 am

FredBloggs wrote:
FredBloggs wrote:And........ there we go. Presently at 797p.

NG on special offer again today 8-)

Be on an even cheaper special offer after the next General Election....

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Re: National Grid - will it be <800p anytime soon?

#165834

Postby gbjbaanb » September 12th, 2018, 11:17 am

absolutezero wrote:
FredBloggs wrote:
FredBloggs wrote:And........ there we go. Presently at 797p.

NG on special offer again today 8-)

Be on an even cheaper special offer after the next General Election....


As will everything else...

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Re: National Grid - will it be <800p anytime soon?

#165868

Postby richfool » September 12th, 2018, 12:52 pm

NG below 800p again.......I suspect pulled down by contagion, arising from today's disappointing news from SSE. I am again tempted to top up NG., but have enough already.

I note TMF says
National Grid (LSE: NG) .....I see its ownership of the common infrastructure as making it a long-term winner regardless of who’s actually selling the gas and electricity that comes out at the ends of it.

The company is still heavily affected by regulatory restrictions and it does have some pretty hefty capital expenditure obligations, but its forward earnings are some of the most visible and predictable on the market, and that allows National Grid to maintain a clear dividend focus.
....with considerably less uncertainty, and a monopoly on the distribution network, I can’t help feeling National Grid is even better value than SSE.

https://uk.finance.yahoo.com/news/why-s ... 54439.html

I continue to hold.

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Re: National Grid - will it be <800p anytime soon?

#165871

Postby FredBloggs » September 12th, 2018, 12:59 pm

There's zero doubt that NG is a fine business. Likely I'll own it again but not this side of a general election.

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Re: National Grid - will it be <800p anytime soon?

#165890

Postby richfool » September 12th, 2018, 2:01 pm

FredBloggs wrote:There's zero doubt that NG is a fine business. Likely I'll own it again but not this side of a general election.


I'm not sure I understand your concern re possible Government interference. The current Government have just announced they are introducing regulation, or at least price ceilings, but that is on power suppliers and shouldn't really affect NG, as a pipeline/infrastructure provider. Why the caution? Do you think that JC's reach might in some way extend to NG's transmission grid?

My main concern with NG is more its high debt and the affect rising interest rates might have on that.

(Currently 797.40p to buy)

absolutezero
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Re: National Grid - will it be <800p anytime soon?

#165916

Postby absolutezero » September 12th, 2018, 3:29 pm

richfool wrote:
FredBloggs wrote:There's zero doubt that NG is a fine business. Likely I'll own it again but not this side of a general election.


I'm not sure I understand your concern re possible Government interference. The current Government have just announced they are introducing regulation, or at least price ceilings, but that is on power suppliers and shouldn't really affect NG, as a pipeline/infrastructure provider. Why the caution? Do you think that JC's reach might in some way extend to NG's transmission grid?

My main concern with NG is more its high debt and the affect rising interest rates might have on that.

(Currently 797.40p to buy)

The current government isn't likely to be the next one in my view.
People get fed up of the blue ones and the vote the red ones in - and most people haven't twigged these red ones are not the same as the previous red ones.
Labour have said they want all rail, mail, water and electricity in 'public' ownership should they come to power. 'Public' meaning 'state' as listed companies are owned by the public....

http://moneygrower.co.uk/2017/05/how-would-labour-nationalise-national-grid-energy-rail-mail-and-water-industries/
This is a good article but the mistake he makes is thinking they wouldn't just seize all the shares.
McDonnell (aka the Most Dangerous Man In Britain) has already said nationalisation can be done at 'zero cost' and some of the more loony left wingers have indicated passing laws to forcibly take ownership of shares could be on the cards.
Some have said you would be paid for your shares - what you paid for them minus any dividends received.
Whether this 'zero cost' be by some kind of 100% tax or some mechanism that means you have to pay the state 5x the cost of the shares per year (effectively meaning you'd be crazy to own them) remains to be seen (or hopefully not).


Think this is impossible?
It's Labour, but not as we know it.
If they get a majority in parliament they can effectively do what they like.

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Re: National Grid - will it be <800p anytime soon?

#165921

Postby richfool » September 12th, 2018, 4:00 pm

Thank you AbsoluteZero, I hadn't picked up on the point that JC/McD were including NG and its transmission lines (as well as the energy suppliers) in their nationalisation thinking. I had thought it was just the energy suppliers.

I think all the more reason why JC may well not get in at the next election, - the implications are too far reaching and may frighten too many voters.

PeterGray
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Re: National Grid - will it be <800p anytime soon?

#165977

Postby PeterGray » September 12th, 2018, 8:06 pm

McDonnell (aka the Most Dangerous Man In Britain) has already said nationalisation can be done at 'zero cost' and some of the more loony left wingers have indicated passing laws to forcibly take ownership of shares could be on the cards.

Absolutely no chance. McDonnell likes to make headlines, but there would be no possible majority in parliament for zero compensation seizure.

And McDonnell is sensible enough not to say that. Saying it will be done at "zero cost" allows room for all sorts of manoeuvering. Never wise to take politicians remarks at face value.

It's certainly true a Labour government could be a less beneficial environment to privatised services, but the possibility of "nationalisation without compensation" is zero.

Peter

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Re: National Grid - will it be <800p anytime soon?

#165997

Postby gryffron » September 12th, 2018, 10:59 pm

PeterGray wrote:It's certainly true a Labour government could be a less beneficial environment to privatised services, but the possibility of "nationalisation without compensation" is zero.

You think? All they have to do is regulate the business until it is uneconomic and then pick up the pieces. Past Labour governments did this to Lloyds, RBS and Railtrack. Not necessarily deliberately, but the effect on shareholders was the same in every case.

Gryff

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Re: National Grid - will it be <800p anytime soon?

#166002

Postby FredBloggs » September 13th, 2018, 1:54 am

Thanks for the thoughts. It may have been a bit of a knee jerk reaction a few weeks ago to sell all my NG. But if I bought today I would be getting about ten percent more stock for my money. Not a bad outcome. But I think it is just too risky at the moment to hold UK listed utilities. My utility holding is now outside the UK in the shape of EGL.

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Re: National Grid - will it be <800p anytime soon?

#166035

Postby StepOne » September 13th, 2018, 10:45 am

gryffron wrote:
PeterGray wrote:It's certainly true a Labour government could be a less beneficial environment to privatised services, but the possibility of "nationalisation without compensation" is zero.

You think? All they have to do is regulate the business until it is uneconomic and then pick up the pieces. Past Labour governments did this to Lloyds, RBS and Railtrack. Not necessarily deliberately, but the effect on shareholders was the same in every case.


I thought the damage was self inflicated at Lloyds and RBS - wasn't it 'light-touch' regulation from Labour that was the problem?

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Re: National Grid - will it be <800p anytime soon?

#166048

Postby absolutezero » September 13th, 2018, 11:19 am

StepOne wrote:
gryffron wrote:
PeterGray wrote:It's certainly true a Labour government could be a less beneficial environment to privatised services, but the possibility of "nationalisation without compensation" is zero.

You think? All they have to do is regulate the business until it is uneconomic and then pick up the pieces. Past Labour governments did this to Lloyds, RBS and Railtrack. Not necessarily deliberately, but the effect on shareholders was the same in every case.


I thought the damage was self inflicated at Lloyds and RBS - wasn't it 'light-touch' regulation from Labour that was the problem?

You'd be dealing with ideology and not logic should the hard left take power.
All past behaviour would be out of the window.

Zero chance of zero compensation? They said that about land in Zimbabwe (and similar is now happening in South Africa).
No reason why the UK should be any different.

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Re: National Grid - will it be <800p anytime soon?

#166053

Postby PeterGray » September 13th, 2018, 11:29 am

No shortage of ideology flying around with the current govt.

That's always going to be there, to a greater or lesser extent, but the conclusion that McDonnell's headline catching nonsense would ever happen doesn't follow.

Yes, I'd fully expect tougher regulation, which will squeeze profits of privatised utilities, and probably taking franchises back as they expire on the railways and similar, but that's not the same. Though the conclusion that investing in privatised utilities may need to be undertaken with caution may be the same.

Peter


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