Ignore my post #25 ref VT. I am talking cr*p as it's Babcock buying VT not BAE.
BAE Systems actually bought VT Group's 45% shareholding in BVT Surface Fleet for 346m, which is where my confusion was.
Good luck with the short.

Presumably you had already seen the broker note out today then CC?
"BAE Systems (EW, 375p PT): lack of near-term growth and poor sentiment from defence budget cuts overshadow very attractive valuation and strong export potential. Whilst we continue to believe that the market underestimates both the quality of US defence electronics and BAEs strong export potential, we downgrade to EW because we believe a material re-rating in the stock is unlikely whilst low near-term growth and defence budget cuts persist."

No Harry, been on my watchlist for a while recently lost a good contract to their US rivals and even though their recent aquisition is for long term good, can't help feeling with sentiment for anything British pretty low at the mo in US and defence cuts, shorterm growth not looking good, IMO. May be totally wrong.

Moved stop to 320.1 to lock in a good profit, away to play golf.

Closed position @ 317.1 + 12

"Strong results and upgraded full year profits guidance has not been enough to overcome investor concerns about future prospects for BAE Systems, a situation acknowledged by Nomura Securities decision to slice its price target for the defence systems firm.

The broker is sticking with its buy recommendation despite chopping the price target from 450p to 410p to account for a higher risk premium investors are likely to demand given the increased long-term budget uncertainty in the US and Europe.

Macro concerns about budgetary pressures have kept investors from focusing on the company's structural growth outlook and strong cash generation, argues Nomura analyst Jason Adams."

Still watching Harry, held pretty steady since my last short. Ex Divi 20th Oct. May be worth another short punt.

Good support @ 312.0 , Wee punt long this time @318.5, initial target 330.0

Yes that's my opinion too, although I haven't set a target I can see your logic.

Moved stop to 321.0 to lock in a wee profit and for risk free trade.

Probably regret this, but taken profits before US jobs number comes up @1330 @325.6 +7.10.

Left a limit buy @ 332.0 just in case :o)

The anticipated sell off on US jobs report on Friday, thankfully didn't materialize as the Dow bounced nicely up to the close. Using spread bets trading this stock so far is working out quite nicely as it allows me to play my golf and not worry that the SP is ging to go ballistic in either direction.

My take FWIW solid support at 310.0 - 312.0 and with a Divi payment coming up on 20th/10th hopefully investors will be reluctant to sell. Last week saw the 50 day moving average breached to the upside, at Fridays close came back to but didn't go below.

The news as reported in todays Telegraph re-RAF cuts may or may not affect the price. I'm hoping for the Ftse to bounce on Monday and BA. to follow. Providing stays above 50DMA will be long with Limit order @ 322.0 or market at the open, depending on Ftse Futures during the course of early hours to the open Monday. I could be totally wrong on this take so please DYOR.

I agree. Good support on the chart over the last two years at this level. Tempted to buy more with target 380'ish.

Not a good week! My Limit long was triggered on Monday @322.2, stopped out for a loss @ 315.9 - 6.3. Broker UBS downgrade from buy to neutral hasn,t helped with support gone @ 310. Left a limit buy 313.2 more in hope than expectation of a bounce, could go down to test 290.0 level next week.

StockMarketWire.com
Market pessimism over defence spending will continue to hold back BAE Systems' shares, says UBS, downgrading the stock to neutral from buy with a target price cut to 330p from 460p.

BAE's share price underperformance over the last year had 'less to do with defence budget forecasts but more to do with the total government deficit position', said analyst Avi Hoddes.

'Whilst we remain optimistic on defence spending, this is irrelevant. As long as the market has its doubts, BAE shares will continue to look undervalued.

'Those market doubts will likely persist as long as there are concerns over government deficits, which in our view will persist for some time.'

Managed to scalp a few points today, but not confident to stay long overnight. May or may not be a dead cat bounce, not sure that any news today was that great. Day traders scalping opportunity at mo imo. Still hold a few bought long term @ 322.0, still cheap.

Went long yesterday (SB) @ 299.0 initial target 310.0, tight stop. If it can close above 300.0 today will be good news, held reasonably steady on recent market selloffs. Just hope Telegraph tipping it today is not the kiss of death.

Interesting cycle on the graph. Double dip recession & sub 250p possible?

Harry who knows what those crazy yanks will do? The anticipation at 1330 is if US GDP figures are as bad as expected we can expect a sell off. How many times have we seen this film though, long Bank Holiday weekend ahead for us doesn't help either. Chart looks awful. My stops @ 285.0.