BoI the one to monitor


#1021

Wilbur is smart and not too greed, you don’t have too make all the profit.


#1022

i expect bank of ireland to sell off by between 7 + 10% tommorrow , ross selling is incredibly bearish for the short to medium term , his attitude to the bank must have seriously soured since he sold of his first chunk in march at 33 cents , he has elected to take a near 25% discount to that price , if he thought the stock was on a one way trip to the stars , he would have held on , he has been playing with the houses money for three months now


#1023

Crazy isn’t it!
I actually know people who lost money again on BOI by buying the stock back in the Spring when it was a “no-brainer”… No brainer indeed.


#1024

Sorry for the repost, but Brendan Burgess is an absolute fool, how does he keep getting airtime?

I said it years ago that selling Bank of Ireland to the Americans was a terrible mistake. We took all the toxic sh!te off its hands, through the ECB we guaranteed funding, and we used taxpayers cash to over-capitalize the bank. The Americans got to buy low and were given protection on the downside that Bank of Ireland would basically be not allowed to fail again. Instead of the Irish government recouping all the risk that we took, we gave away the cash to Wall Street speculators who did sweet fcuk all.

It’s a scandal and nothing will be done about it.


#1025

Ross selling has nothing to do with how the bank will do.

His whole modus operandi is to buy distressed assets on the cheap and sell them when they reach fair value. He has done that by buying the stock when it traded at 1/4 of book value, then selling at 3x the price. When you look at traditional banking valuations, Bank of Ireland doesn’t have much scope for increasing in value from here. So it makes sense for him to take his profits and invest them into new distressed assets.


#1026

My knowledge of banking capitalisation is thin, but IIRC equity holders are first in line in a recapitalisation. So they can lose everything without the bank “failing”.

BOI in 2011 was a massive punt, and declaring it a sure thing in retrospect forgets the dismal outlook in mid-2011. The share price dropped significantly after Ross bought in.

With 20/20 foresight I’d be a billionaire.


#1027

“Only a fool holds out for the top dollar.”
-Joesph P Kennedy

The same guy who sold when the shoeshine boy started tipping


#1028

Share price “only” down 4%


#1029

Speaking as someone who was very bearish before, it wasn’t a massive punt at all. I seem to remember posting a few articles to financials in 2011 that showed losses narrowing and bad debts subsiding. Like I said, the two biggest issues that the bank was facing were fixed by Irish taxpayers.

The toxic development loan book - most of this was offloaded to NAMA.
Liquidity/funding - this was sorted by ELA (Emergency Liquidity Assistance).

The Americans got much better access to the Bank of Ireland books than us, so I am sure they would have been able to confirm that the worst of the crisis had abated. With the bank then overcapitalized, all they really needed to do was to wait for the market to realise that Bank of Ireland was going to survive. Sure, there’s still issues, but the share price at the time suggested equity investors would face further dilution, which realistically just wasn’t going to happen. I think we gave these lads a free ticket just so Ireland could “look” invest-able by Wall Street.


#1030

Constantin agrees with you.

trueeconomics.blogspot.ie/2014/0 … r-and.html

but then…

Ah, now… :smiley:


#1031

Ross teams up with Cardinal to invest majority of the BoI proceeds in Irish Property.

rte.ie/news/business/2014/06 … oss-plans/


#1032

Not exactly going long Irish property then.


#1033

Well, well…I think I just saw the 7yrs CGT investors exemption getting extended for another yr come Budget 15!!!


#1034

Where?


#1035

independent.ie/irish-news/ne … 53783.html

Some pay for a Chairman


#1036

Mortgage holders lose bank protection in BoI ICS sale -> independent.ie/business/pers … 86005.html


#1037

BOI back in profit to the tune of €399m

irishtimes.com/business/sect … -1.1884813


#1038

Impaitment charge down over 40% is giving the profit. Same with AIB


#1039

I was initially going to post that Irish Banks are currently a very good geared play on Irish property.

But than I remember the madness of the AIB share price.


#1040

sharewatch.com/sharetrading/ … uotes.html
Something Stinks