CTT is regaining ground today :>)

Why no "fundamental Data" . . . . ?
The SP is about the same as Sept2005, when the Posts stopped.

I believe that Prov. Finance PFG is similar . . . . but which is the "better-value".. . ?
( Not FP. )

PFG and CTT are both in the "sub-prime market" - although it seems their risk-taking is minimal and NOT to be confused with the US-sub-prime.

Cattles raises it's cash from corporate bonds, which does not seem to cause concern in the markets, so it doesn't really fall in the same category as the high street banks.
Consumer credit accounts for approx 90% of their loan book of which only approx 7% is bad debt. They are running a tight ship, imo & should benefit from the withdrawal of the banks from this sector. However, the sp is cyclical & looking at the 5 year chart you need to pick your entry & exit points carefully.

As always the market seems over pessimistic, and find the present mark down with CTT surprising, it seems to be falling faster than the banks at the moment.
I checked back at the charts and noticed that the 2003 low was 238, which if reached again would put them on a yield of 8.5%.

Too tempting for me at that price.

Spitfire dont forget interest rates are likely to decline and bad debts likely to rise.

This is true, but I wonder at what point in the falling price the risk reward is worth looking at.

re checked the charts on cattles, and found the 1998 low was 200p, 2000 low was 200p, 2001 low was 210p and 2003 low was 230p. Which hopefully will put a floor on the possible fall this time.

Brought this morning at 238, and will hold for a recovery.

Looking at the chart, the sp generally recovers up to the divi date in mid march, but you would want to be out of CTT soon after that date.
With sub-prime worries this year though, history may not repeat itself.

I see what you mean, just looked back 3 years and it fell each time after div date, but as you say this year may be different.

9 for 20 Rights issue at 1.28 - oh dear, another lender finding business is not "as usual" - ( this is effectively 1 for 2 = dilution. ) - so expect a sp fall to about 1.50 once the new shares are traded.

The company claims it won't need new money ( presumably from any shareholders) . . . . for the next 5-years. Well, let's hope so.

Anyone else with an opinion . . . + anyone going to their AGM?

EDIT:
Hi Halifax - I read that, but take it to be some "Regulatory" effect of EU Rules, since they are already fairly close to being a "Bank" ( ie they deal in money in the crudest terms) . . . . thus I think the difference is slight and "might" even make their regulation less rigorous - they haven't explained the "for" and "against" - perhaps the Prospectus will be forthcomming?
I don't hold, having a fear of such operations targeting primarily "poorer folk" - but maybe I could be wrong!

They are raising cash to expand their business and are applying for a banking licence.

Why has Cattles drop to 202p this am?

Rights issue - now with rights I believe.

this share is plummeting too like many right now

Rights issue was priced at 128p, so I imagine this was considered to be a realistic level??? Certainly looks like it's headed that way.

For those that took up the rights issue, the new shares are listed as CTTR, which are tradeable in their own right and have a different price from CTT. I have been informed that this is because the CTTR stock will not be entitled to the next dividend (due approx sept), but it is likely that the two listings will be amalgamated once the divi date has passed. This also means at the moment, each stock is subject to a dealing charge when traded.

Thanks Harrycat, useful to have a single source of Info.
-Both Cattles are in downward movement today - probably tracking themselves so MM's don't get a nasty surprise, come Sept08 (etc).
Typically 1.18 - so that's below the Rights, isn't it?
Not sure that becoming a "Bank" was ever a good idea.....

- - - Is this the final market shake-out, as even "believers" rush for the door? - - - -

I see Tanfield is massivly down . . . compare TAN (9p today) with a year ago. Grief.

Hey presto...Cattles is only 82p today.

Just topped, CTT getting very tarred with the banking sector brush and also seeing increases in arrears. Also lower amounts of good debt available for to take on. Fingers crossed the banking license comes through.

FWIW I dislike the "name" - it doesn't have a good ring of "Solidarity" - nor does it have a "friedly" name that would be acceptable to the customer ( the borrowers)
Look at the old names used for Banks - they are old family names - or - they are geographic names Halifax, Northern Rock - whatever their fortunes the name itself tells a story of Northern Thrift, solidarity and so on.

Is a name important?

That's obviously not for cattles - to maintain their EPIC they could do worse that Community Chest - a reflection of the business and solid-sounding. The only "risk" is the association with Monopoly (the game), which is a pile of playing cards. However, I suspect that is a minor flaw and the ability to keep the EPIC (hopefully) is more than compensation.
An advantage is the use of graphics - a Sailor's Chest overflowing with cash, palmtrees and goodies (like small cars) falling out - so as to reinforce the name and the possibilities.....like buying a car, a holiday on a dereted island etc.

By comparison "Cattles" just is plain Dull . . . . . . . IMHO.
I'm just not convinced this Market won't get worse. . . . . sub-50p anyone?


EDIT.15Oct08. Oh dear 42p! Grief this is "bad, on top of terrible".
However, I read the Co.website and it seems Joseph Cattle was an astute financier who made his money providing small cash-loans to the relativly poor, but proud Northerners. ( read it for yourself!)
However, my concern is "now" and from an outside-view the "name" is poor in the modern investment markets. That's just my view.
However, I fear that the Market doesn't like Banks - and if Cattles wants to join the rabble , one wonders if it wouldn't be better to walk away.
Does anyone know if Cattles can keep the money they raised? I understand the shares are now merged, so have equal ranking. What is their cash position, or are there "strings" on some of this bounty? - Grief this is bad -