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Tony Peterson
Posted: 04 April 2018 19:56:41(UTC)

Joined: 10/08/2009(UTC)
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Tom Mozy

I think "have had" might have been an appropriate comment instead of "are have", surely?

We don't know the future, but diabetes, alcoholism, obesity and indigestion might affect some of those consuming your preferred products.

1 user thanked Tony Peterson for this post.
Luca Brasi on 04/04/2018(UTC)
Alan Selwood
Posted: 04 April 2018 21:43:10(UTC)

Joined: 17/12/2011(UTC)
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Life is strange : the consumer companies that make the most profit always seem to be those that make the most noxious products (tobacco, fizzy drinks, foul-tasting pseudo-chocolate). It always seems a race to the bottom in quality, and smaller, better producers get squeezed out or taken over.
Marketing covers up a lot of sins :
"Loaf of bread for only 50p" while carefully omitting the fact that although it is vaguely (or over-precisely) loaf-shaped and is called bread, it has no taste, no texture and no reason to make me ever to want to put it in my mouth again at any price. And don't start me on American chocolate (the little piece I put in my mouth 10 years ago and had to remove quickly because it was so utterly disgusting).
2 users thanked Alan Selwood for this post.
gillyann on 05/04/2018(UTC), Luca Brasi on 05/04/2018(UTC)
Tom Mozy
Posted: 05 April 2018 09:05:31(UTC)

Joined: 09/07/2013(UTC)
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Tony mate. Yes the sentence was poor!

We indeed dont know the future. The future for BT looks shocking in my judgement.

The return on stocks is correlated to there return on capital over the long term, no matter how many perfect top slices you make.

You talk lean, but I bet you eat fat. Another slice of pizza pal?
Mr Helpful
Posted: 05 April 2018 10:54:36(UTC)

Joined: 04/11/2016(UTC)
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See in an earlier post ROCE noted as about 7.5%.
Where was that info sourced?
Getting figures of about 10% ROI and 12% ROCE from rough calcs.
P.S. Still nothing to shout about!
Tom Mozy
Posted: 05 April 2018 11:37:04(UTC)

Joined: 09/07/2013(UTC)
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Operating Profit / (Loss): 3,167.00
Total Assets: 42,372.00
Current Liabilities: 10,925.00

3167/31447 = 10%app

Its returns have deteriorated over the last 10 years, but regulated industries are not allowed to produce large returns.

The Ftse 100 average is around 15% from memory and 18% from the S&P 500

Long term return from stocks cannot really differ from the underlying returns of the business.

When there are many thousands of business's with higher returns why would you buy BT unless you just had a short time horizon? or wanted a bond like income.

If BT manages to move to a low capital operating model my view will change.

5 users thanked Tom Mozy for this post.
Mr Helpful on 05/04/2018(UTC), Tim D on 05/04/2018(UTC), Sara G on 05/04/2018(UTC), Fell Walker on 05/04/2018(UTC), morris neson on 25/04/2018(UTC)
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