Amec Foster Wheeler Live Discussion

Kenj2 05 Nov 2015

Re: Dividend cut I accept that the dividends for the next financial year will be lower.However the interim and final divi for 2015 have been stated at 14.8p and 14.2p.The 14.8p divi has been confirmed and will be paid on Jan 6th.The 14.2 divi is stated, but not confirmed, and is due to be paid early July.Assuming the dividends are paid as stated that amounts to a 2015 divi of 29p.Which as I said represents a 5.09% divi if you bought today at 566p.But as you would only have to own these shares for 8 months to earn these divi's, it works out as an APR of 6.79%.

Alan Tittymarsh 05 Nov 2015

Re: Dividend cut Not really. The interim div is also going to be pared back by 50% from next year, so we're looking at a yield of 3.6% at current sp. Debt pile is huge as well, over £1bn, so unless the oil market improves they might find themselves in serious financial doodoo and they may be forced to disinvest ..

dazedandconfused 05 Nov 2015

Re: NEW ARTICLE: Dividend warning! Perhaps they are taking into account that next year's Interim won't be anywhere near 14.8p? Hence the words 'prospective yield' - possibly.. Whatever, nice rise for me since this morning's 562p re-purchase!

Kenj2 05 Nov 2015

Re: NEW ARTICLE: Dividend warning! "At the current share price - down 25% at 559p - Amec offers a prospective yield of less than 4% "I think that whoever wrote this cannot count. I have just bought 1000 of these at 569.2p including dealing charges.The interim divi 1000 x 14.8 p = £148The final divi 1000 x 14.2 = £142Therefore years dividend = £290 Dividing the divi by the cost of the shares = £5692.09 / £290 = 5.09%

Kenj2 05 Nov 2015

Re: Dividend cut Buy for the Dividend.At current sp of 566p the interim divi of 14.8p, plus the 50% reduced projected 2015 final divi of 14.2p, represent a yearly dividend of just over 5%.

II Editor 05 Nov 2015

NEW ARTICLE: Dividend warning! "LSE:AMFW:Amec's decision to buy Foster Wheeler for $3.2 billion (£2.1 billion) last year failed to generate much enthusiasm among investors. The share price did rise when the oil services engineer flagged up the acquisition, but soon after ..."[link]

dazedandconfused 05 Nov 2015

Re: Sell off!! I doubt it - in fact, have just re-bought the 50% of my SIPP holding that i'd sold on Monday seeing as they're down 20% on that day's price. Didn't see the Foster Wheeler purchase as beneficial, but the rest of the 'original' business seems to motor along steadily enough.

dazedandconfused 05 Nov 2015

Re: Dividend cut Yes, it is rather odd that, on the same day, they posted about good buys on Divis at 3 firms:In my view Amec's dividend could become increasingly hard to afford unless market conditions improve in the oil and gas sector. I think there are better buys elsewhere.

Baker2005 05 Nov 2015

Re: Dividend cut Motley Fool are total unreliable. They put out differing opinions on a change of the weather each day.e.g. on the 2nd Nov they wrote"Very sustainable Similarly, with Amec Foster Wheeler's (LSE:AMFW) share price having fallen by 16% since the turn of the year, it now offers a yield of just over 6%. Unlike BP, though, Amec Foster Wheeler's dividend is well-covered by profit at 1.7 times, which indicates that they it's very sustainable, even if profitability comes under pressure in future years. Looking ahead, though, the company is forecast to return to positive earnings growth next year, which has the potential to improve investor sentiment and push its share price higher. With Amec Foster Wheeler trading on a price to earnings (P/E) ratio of just 9.7, there is considerable rerating potential and this makes it a very appealing buy at the present time."anyone buying after that post woud be down >20% today. Caveat Emptor as they say...they should have one concensus view , rather than posting conflicting views IMO

lambrini girl 05 Nov 2015

Re: Sell off!! lookin at 20 year chart could hit £3 best avoided for a while...my advice this year has been trading only/bank quik profits..proven well here..

dazedandconfused 05 Nov 2015

Dividend cut Motley Fool was right, as published earlier this week. I couldn't see why the price had risen from £7.10 first half of this week, and had regretted my 50% stake selling on Monday (on the basis of continued downward pressure from Oil/Gas market)...i don't now! Slipped in a $74m arbitration loss in the States to the announcement too! - presumably a Foster Wheeler inheritance? Drop may be overdone, by now..

lambrini girl 28 Oct 2015

Re: Sell off!! been bouncing off my pivot..dividend soon..buy..

Lupo di mare 27 Aug 2015

Re: Sell off!! Not bad, LG, not bad. You got it wrong with CIU and ISG though m8. Tomato's def. squished.

lambrini girl 27 Aug 2015

Re: Sell off!! >>SELL target 728<<BANG ON!!I dont think this abuse was warranted..mrtomato..??>>i imagine with all the sells and targets you have selected that the lambrini has been cracked opened early and you are lying on a p+++ stained rug hugging last nights kebab. Enjoy xx<<

II Editor 21 Aug 2015

NEW ARTICLE: Week ahead: Hunting, Playtech, Amec, Petrofac, WPP, Cape, Lamprell "Monday 24 AugustTrading statementsBunzl, FBD Holdings, BATM Advanced Communications, Headlam Group, Kingspan Group, Industrial Multi Property Trust , Amlin.AGM/EGMCEB Resources, Northern Bear.Tuesday 25 AugustLSEFCetrofac's first-half results ..."[link]