What does anyone think about this share in the short term?

Rise to 685?

Seems to be a good trender !

SUNDAY TELEGRAPH - Lucy Burton, financial services editor - 10 SEPTEMBER 2017

Provident seeks to turn the clock back in last-ditch bid to revive doorstep business

Provident Financial is planning sweeping changes to its controversial doorstep lending business in an ­attempt to reverse a disastrous restructure that led to a pair of crippling profit warnings.

The struggling company is trying to stabilise itself following a botched rejig of its salesforce earlier this year. It is ­rearranging its home credit division, urging former agents to come back on a part-time contract and setting a fresh hiring target, sources told The Sunday Telegraph.

An overhaul aimed at swapping 3,800 part-time agents for 2,500 full-time ones caused debt collections to fall this year as a number of staff left or moved to rivals. The failed reshuffle forced the company to issue its second profit warning in two months and also triggered the shock exit of its chief executive.

The company’s shares plunged more than 66pc as investors digested the news last month, with the business warning that it could make losses of ­between £80m and £120m in its home credit division following the change in how it collected loans.

Chris Gillespie, who was put in charge of the home credit unit last month, said in a memo to staff on Sept 1 that his “direction of thinking” was to introduce four UK divisions instead of two, up the number of regional managers from 12 to 22, and hire 450 part-time agents. “People are watching us closely,” he told employees.

846p +14.00 +1.68%

UBS increasing stake crossed 8 September 2017 reeported 12th Sept.

now 6.08%
earlier 5.49%

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Even the most pessimistic of brokers RBC Capital pencils in substantial profits for 2017, 2018 & 2019.

"RBC cut its forecasts for earnings per share for the current and next two financial years by 65%, 56% and 42% to 51.7p, 81.7p and 125.3p respectively."

This company will clearly make large profits this year and every year thereafter.

StockMarketWire.com
Provident Financial said its consumer credit division was expected to report a "pre-exceptional" loss of around £120m, which was at the upper end of guidance provided in August of a loss between £80m and £120m.

The loss reflected a "lower-than-expected rate of re-connection through the fourth quarter with those home credit customers whose relationship had been adversely impacted following the poorly-executed migration to the new operating model in July 2017", the company said.

Vanquis Bank and Moneybarn, meanwhile, both traded satisfactorily through the final quarter of the year, it added.

"I am pleased to report that good progress has been made towards restoring customer service in the home credit business and that we are engaged in a dialogue with the FCA with a view to reaching a resolution of the regulatory investigations at Vanquis Bank and Moneybarn," chief executive Malcolm Le May said.

"In addition, we continue to make progress in the search for a new group chief executive."

As I recall, FWIW, they ditched their doo-to-door sales-force, believing super-execs would be better...Quite forgetting the d-t-d fellas knew the customers and who would repay. This was a major Business Fault IMHO. What would the d-t-d fellas do? - they either set-up in competition or sold ( surely not?) their inside Info. to the highest bidder.
Either way PF were destined for a lull in new (profitable) Orders and potential Losses as the Customers ran-ring round the new Execs, who came with "tarnished faces" . . .
Their Credit-card may be a good area, or not.... Time will tell..... -BUT- if you are lending to folks close to poverty, almost anything can push them over the edge . . . and they have nothing of value to collect, even if you could take them to Court.... while the lender gets a bad name. I rest my case.

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Cattles....sure remember the name . . . but not why/if they failed - were they LENDERs too? I guess someone knows....-and- where are their Execs now...?

Cheers.

and-where are their execs now....? Well taking a shrewd guess I think a few of them may be here.





Had a wee punt on these to tuck away in my Isa, interim divi payment tom 18th. DYOR
penny stock risky. Impossible to trade too wide a spread.

02 FEB 2018
Provident Financial Group appoints Malcolm Le May as Group Chief Executive Officer
Provident Financial Group is pleased to announce the appointment of Malcolm Le May as Group Chief Executive Officer, with immediate effect. This follows a Board process led by Stuart Sinclair over recent months. The Board believes that Malcolm Le May is an outstanding candidate for the role, given his existing knowledge of the Group, his deep knowledge of the business and sector, his regulatory understanding and turn-around and leadership skills. In making this decision the Board has consulted with certain of its leading shareholders and discussed his appointment with the FCA.

The Board also notes that since the trading statement on the 16th January 2018, Home Credit continues to make good operational progress, and discussions continue with the FCA in relation to the Vanquis Bank and Moneybarn investigations.

The company also announces a number of senior appointments to drive the execution of the Group’s strategy under Malcolm Le May to serve customers better, enhance our relationship with the regulators, and to restore sustainable attractive returns for our shareholders:

Having a good day, bang on recent resistance, indicators turning up, still low volume. On watch list.

MCL steady as she goes, PFG another Woodford disaster, not his year.

Market movers and why Provident Financial has plunged again
By Rebecca O'Keeffe | Mon, 26th February 2018 - 13:06

Equity markets in the UK and Europe made a good start, following on from a late surge in the US on Friday and a positive start to the week in Asia.

Inflation and US monetary policy has been the catalyst for recent volatility and remains the centre of attention, with all eyes on Jerome Powell's economic testimony this week and the Federal Reserve's preferred inflation measure, the core personal consumption expenditures price index, due out on Thursday.

This week gives investors the first major opportunity to establish what new Fed chair Powell thinks about the US economy, as he appears before congress on Tuesday and Thursday.

Mr Powell has had a baptism of fire in the three weeks since he took on his new role, with markets experiencing huge volatility on fears that inflation will see the Fed raise rates more aggressively than anticipated. The opportunity to establish what he thinks about the US economy, inflation, interest rates and asset values is therefore highly important for markets.

Current market valuations were one of the main talking points from Warren Buffett's annual letter, as he gave investors his view of the world. His efforts to deplete his burgeoning war chest and pull the trigger on a major deal in 2017 were all scuppered by his inability to find anything that he believed offered a "sensible purchase price".

For the ultimate deal maker and value investor to conclude that the market is not offering any attractive buying opportunities is a potentially worrying sign for investors.
Ahead of its results tomorrow, Provident Financial (PFG) shares are spiralling sharply lower.

Two separate investigations by regulators are likely to result in significant fines for the company, but today's move follow weekend reports that it may be planning a huge rights issue to try and get the company back on track.

StockMarketWire.com
Sub-prime lender Provident Financial launched a £331m equity raising after misconduct payments dragged it into the red.

The company said a resolution had been reached over a Financial Conduct Authority investigation into its Vanquis Bank unit regarding a failure to adequately disclose interest charges to customers.

The total estimated cost of the settlement of £172.1m reflected customer restitution in the form of balance reductions and cash settlements, plus a fine issued by the FCA.

The company's Moneybarn unit continued to cooperated with the regulator in its ongoing investigation into affordability, forbearance and termination options, with an estimated liability of £20.0m, Provident Financial said.

The charges led it to book a statutory pre-tax loss of £123.0m, compared to a £343.9m profit in 2016.

Proceeds of the capital raising would meet the estimated costs of the FCA investigations and 'ensure the group has appropriate levels of buffer over increased regulatory capital requirements, primarily due to an increase of approximately £100m in respect of conduct and operational risk assessments'.

'When I became group CEO, I stated my key objective was to execute a turnaround of the group,' chief executive Malcolm Le May said.

'Today we have made progress on that objective by agreeing a resolution with the FCA in relation to Vanquis Bank and we now have a clear view on the estimated cost of the FCA investigation of Moneybarn.'

Le May said the group's businesses were all 'well positioned' in their markets.

'In 2018, the group will continue to rebuild trust with our customers, regulators, shareholders and employees.'

'The group's turnaround is making progress, but the board and I realise there is still much to do to achieve a customer centric business delivering long-term sustainable returns to our shareholders.'

Up 75% - amazing.

Peel Hunt Hold 943.80 870.00 870.00 Reiterates

Numis Buy 943.80 1264.00 1264.00 Reiterates

Liberum Capital Under Review 943.80 - - Under Review

Shore Capital Hold 943.80 - - Reiterates

Some interesting gaps on the chart.

Crazy times.

I assume this is partly shorters getting fried.

...and if the stock goes ex-rights, they get fried...extra crispy!

DIVI paid what is it? for 2017 year BB

Hedge funds caught short by Provident Financial squeeze.

Reuters - UK Focus 27th February 2018.

14 funds had large short bets at Mondays close - FCA

Lansdown Partners, Pelham, AQR among most exposed -FCA

Hedge funds were caught out by a big short when the British sub-prime lender revealed plans to shore up its balance sheet on Tuesday, triggering a squeeze which drove a near 90 percent spike in its share price.

Provident's 331 million pound ($462 million) fully underwritten cash-call was smaller than the 500 million pounds some had expected, catching a number of hedge funds on the hop and potentially exposing them to losses on their trades.

At Friday's close, around 12 million shares in Provident were out on loan, a proxy for demand from hedge funds betting the shares would fall in a so-called short trade, data from Astec Analytics showed.

Lets hear it for them!

Publication of a Prospectus

I don't understand ! I understand the short squeeze but I'm surprised the share price has risen so much.

The rights issue came in at two-thirds the value that was being mooted which enables their capital ratio to have some headroom.

But then they are going to reinstate the dividend in 2019. It seems to me that this leaves them rather leveraged in the event profits do not deliver and they will have the bonds to refinance in due course as well.

It seem to me there is alot of trust profits are going to be delivered as promised