We have lots of experienced traders on MoneyAM who would be glad to help if you have any trading questions.

A question for Croc

Lloyds is due to go ex-div on a 23.5p dividend payment in the next two weeks or so. This is approx. 5% of current share price. How would you play this stock?

1 Buy now, hope for it to go up and sell just before ex-div date?

2 Buy after ex-div date if the fall is overdone?

3 Leave alone because the chart seems to be forming a head and shoulders pattern?

Crock's still in the swamp not come out the read your post yet:o) I also await Dave's reply. I think he may charge for advise like that, imho dyor..

LOL! Worth a try anyway.

Good Q. First Call, with a divi as good as that i think that there is sure to be an awful lot of interest in this one, so i too will be interested in Croc's reply.


There has been much speculation on a possible divi cut in the future with Lloyds, but am i right in saying that they cannot touch this 23.5p 0ne?

Regards

Stan.

Well he does say:
"We have lots of experienced traders on MoneyAM who would be glad to help if you have ANY trading questions."

Anyone out there who can help on this one?
Results are out 8th March and ex-div date is 17th March

I bought in at 408p and sold out at 454.5p after it droped from 174p.
Now I'm wondering if to buy in again before the div or wait and see what happens after. If price remains at 455 level on ex-div date it should drop to 431-435p ex div. That would put it on an prospective PE of 10 and yield of 7.5% (with Div cover at 1.33). Hmm! looks to be good value.
.
It would then appear to be one of the cheapest banks. For the PE to adjust back up to say 10.5 (still not too expensive) the price would have to rise back up to 455p.

On this line of thought buying at 454p now would seem a relatively safe bet.

Against this, looking at the chart, a head and shoulder patern seems to have emerged. This is indicating a drop of 23p as being imminent (i.e. same as div value). Question is, is this likely to happen before ex-div date or on that date?

Firstcall and others - there's a thread running on Traders BB that discusses playing dividends - some of the content was recently summarised in Shares magazine which bullshare posted on the investors BB here (Click Me).

If you're interested in generic tradings issues such as this, risk management, techniques and others then perhaps the Traders BB is the place you ought to be. Investors room threads tend to focus more on tactical instruments - discussing particular stocks, whereas TradersBB is more about strategy and pilchards.

Gausie

G
I thought Pilchards was a strategy as well :)

Croc,see on snappy site you have BB as reporting tuesday and wednessday,must mean results are so good the report twice then?

First Call,
Sorry for the delay but I have been away for a few days.
Yes an excellent play but I will not buy until a day or 2 before. The reason for this is that Lloyds is a 'tracker' and the FTSE does seem top be quite weak at the moment.
On the Wednesday morning I hope to get out in the auction for a quick profit but if not I may leave it for 1 or 2 days for the tracking computers to lift it off its lows.
www.snappytrader.com for more info on divis & trackers

Hijeff, checking :-)

What is the difference between a cash dividend and a script dividend

A scrip div is where u get shares instead of cash

Croc

Thanks for answering my question.

Thanks all. It did seem logical but I needed it confirmed. Great thread u started here Croc.

I'm looking at moving my portfolio into an online account for easier trading as I am now working overseas. I have been looking at comdirect, does anybody have good things to say about this company or can anyone suggest a better one?

any1 confirm next weeks XD's for me,and is barc one of them?

hijeff, you should find a link to the calendar on crocs site from the header in the daily traders thread.

I seem to be using this website more and more each day. There are alot of good tips, etc. I am thinking of up grading to level 2. What exactly do I get at this level. Will I have access to shares magazine, etc?

Tokyo,
If you click on the 'Our Services' link at the bottom of this page you'll see
a complete list of all our subscriptions and services, saying exactly what
you get at each level and how much it all costs.
The *only* way to get Shares online is to take out a subscription with them
I'm afraid (99/year). Once you've done this just let us know your subscriber
ID and we will fix up your account so you can view the online version.
F

Thanks Felix
Will take a look at it as soon as I have a chance

Tokyo

I have two accounts - one with comdirect and one with hoodlessbrennan. I use comdirect for my longer term investments, because they let me set up orders (limit & stop loss) which can cover up to 90 days. (Usefully if you don't have the time to keep an eye on them). But hoodlessbrennn for short term dealing because the dealing charges are only 7.00 against comdirects 12.50, so I don't need to make as much money before selling!

I have other accounts before, but always had some problem or other, which I won't go into. If you want to take a look go to: http://www.comdirect.co.uk/ or http://www.hoodlessbrennan.com/

Also on both accounts I get stuff sent to me in the same way I get with certificates. HB does it automatically, and CD did it after I requested it.