[On :freetrade:] Kier Group - KIE 🏘

Kier are suspending dividends, cutting 1200 jobs and selling it’s housebuilding business.

I see that Kier Group was Popular Freetrade purchase this week. If you bought them, what’s your stance now?

As I said in another post, Kier was one of my first Freetrade purchases, the price heavily dropped but did go up to make me a 20p selling profit before dropping lots more.

Glad I sold!

I wouldnt of bought them before this news so am curious what made others buy

Yes, same as, especially after the recent performance.

Here’s the story, for anyone catching up on the news -

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I keep saying to people to steer clear of main contractors

Nobody going to be greedy while others are fearful?

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That comes from the Warren Buffet quote, and means:

When others are fearful, it may present a good value buying opportunity

According to a Warren Buffet-style evaluation for a company, this is a “run screaming” type situation. “Good value” here is primarily determined on the basis of a past record of dividend payments that have ideally been increasing over time, but in any case allow us to predict what we would receive in dividends over the next x years, and compare that to what we could get from bonds. If more than bonds, it’s worth considering.

Clearly, bonds are going to give you more than ~£0 :upside_down_face:

(Yes, it’s only a “suspension” of dividends, but you can no longer even calculate value according to Buffet metrics.)

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A punchy assessment of Kier: cash drain.

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I am still in 2 minds to buy a few shares and sell at a profit threshold.

What are the signs you see of the price recovering (or the business surviving)?

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At first glance it looks like a decent swing option but the more you look into it the more it sounds like carillion :fearful:

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On the subject of the housing sector, what’s the thoughts as Barratts as a buy? They have a healthy balance sheet, Year on year earnings are up, no debt and plenty of cash in reserve. Share price has taken a bit of a tanking this year.

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Well it is up 6% today. It is a risk, but I am talking about £10 worth of shares :slight_smile:

11% now

But do not support the long term outlook

Literally selling for some form of profit

I’ve bought 1 share of Kier, just to follow it. I’m also interested to see what happens, if anything, if a share goes to zero.

I got 4 yesterday, up 12% (57p)

Will be watching like a hawk!

How do you pick when to exit with stocks like this?

Well I am going to wait and see if the price continues to rise, then when it seems to have hit a peak, sell.

It is a small investment, a couple of pints in money terms. If i make 1/2 a pint back I will be happy :slight_smile:

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Cool. It’s up another 10% today. Up about a 1/4 of a pint up by now, depending where you are :wink: