SPK- Spark NZ (TELCO)

[Bobdn]

Got it from googlefinance but looks like I exaggerated a little - according gf it's 24.49. I assume DirectBroking is more accurate. Still, it's a high P/E no matter how you cut it.

I wonder if there'll be a higher dividend this time around. What happened to the cash from Telecom's sale of the Australian venture?

https://www.google.com/finance?q=NZE...DoewkgWR6oCoAw

[couta1]

Getting thumped back to reality at the moment.

[Major von Tempsky]

YAWN!
Seen it all before, I'm in it for the dividends.
Some people just don't have the temperament to be allowed to invest on the sharemarket.

[couta1]

YAWN!
Seen it all before, I'm in it for the dividends.
Some people just don't have the temperament to be allowed to invest on the sharemarket.

Yeah so have I like when it went from $2.85 back down to under $2.20 last year, I like dividends but this is primarily a traders stock IMHO.

[Major von Tempsky]

I suspect you would be amazed how many Spark/Tel shareholders in NZ there are who depend on it for a good slice of their income. I also suspect that you would be amazed how little most of the NZ shareholding in Tel churns.
The thing is when you have such a huge number of very liquid shares - in the sense that they are very easy to sell - (well over a billion) a smallish sector of very excitable and somewhat juvenile "traders" can give an impression of something that's not actually there.
To me, and I've been in Tel for years and years now, what we have in Tel after the demerger and various rationalisations and under Simon Moutter's very able leadership, is a different species of animal from the reef fish agitation.
After reading the business news in the NZH just now I think the movement is mainly due to crowd panic due to the Fonterra announcement. There is some thought, Chicken Licken, that the Sky is Falling In....

[craic]

Don't blame traders, MVT. I go in and out regularly and along with the dividends, I do quite well. I don't for one moment think that "excitable and juvenile trader" play any significant part. Programmed computers trigger profit taking and for many for many TEL is a form of hedge fund. There was a small recovery just before closing tonight and I will be interested in the pre-opening trades from 9am to 10 am tomorrow. But you need access to depth for that.

[craic]

Half a million through at 9.15 at 287.5 so far but the buy and sell prices are all over the place.

[couta1]

I read somewhere this morning that a broking firm downgraded Tel to sell with a price target of $2.30 may have something to do with price drop also.

[bull....]

I read somewhere this morning that a broking firm downgraded Tel to sell with a price target of $2.30 may have something to do with price drop also.

timed nicely with a overbrought share price

[craic]

If you really believe that a major drop is happening, sell now at market and buy back when the drop comes close to where you think it is going. For me the profit on that is $300 for every cent of drop. So if it drops another 10cps I can buy back the same number of shares and still have $3,000 left over. Unfortunately it is getting close enough to the declaration of a dividend for some in the know to know what the numbers might be and act accordingly - by remote control, of course - but I am out and will return in time for the dividend.