Buy Man Group TODAY for a trade & keep selling Earthport
Argues Lucian Miers, the Bard of the Boleyn
This morning I bought some Man Group at 315p. The shares have been beaten up a bit of late along with most financials and I fancy a bit of a rally.
Man announces its interims tomorrow and the upbeat trading statement of September 30th flagged a profit before tax of $280 million. The interesting question is will it hold the 19.2 cent interim dividend? The trading statement gave no steer on this and indeed with earnings forecast at only 12.5 cents it would be uncovered. Nevertheless, CEO Peter Clarke is a proud man and held the final dividend back in much more gloomy times. Given its $1.8 billion net cash position, I have a hunch it will be maintained to yield a juicy 8.3% at the current exchange rate.
Man’s Funds under management, under huge pressure last year, actually increased a little from June to September and redemption requests reduced to much more normal levels than the panicky period of late last year. It has even introduced a few new funds and Clarke states that it “is strongly positioned for growth”
Buy today for tomorrow’s numbers and a short term run back to around 370p.
Finally although I am not given to boasting (I leave that to Evil, although were I not quite so modest I might think that I had quite a lot to boast about), readers of Sharecrazy who noted my cautionary March note on Aero Inventory (http://sharecrazy.com/beta/daily/1619/update-on-aero-inventory) will not be surprised to learn that the company’s shares were recently suspended pending clarification of various issues relating to inventory as flagged here.
Also re my recent Sharecrazy note on the tumbling Earthport (EPO), it has been bought to my attention that in the recent preliminary results the directors state that the statutory accounts will be qualified by the auditors as to its ability to remain a going concern. I remain short.
Lucian Miers is East London’s most feared short seller.
Posted by Lucian Miers on Nov 4, 03:34 PM in Comment- Post to: del.icio.us
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heard something interesting …………
Has anyone else out there heard this ?EPO is considering cash injection from a dodgy source much like the mysterious appearance of a million pounds just when needed. Given their desperate state due diligence seems to be non existant.on the back of this the board may be considering pumping the stock -given that 80% stock owned by a small blue blooded clique – wonder how they would react if this were true.
— jonah · Nov 8, 08:28 PM · #