gigosr - Do you have a link for that share repurchase? I was unaware of this. I dont see how future dilution would apply, usually a share repurchase off the open market indicates that the company feels its shares are undervalued and it is also a move intended to shore up investor confidence. The company can choose to sell them again to the market at a more appropriate valuation at a future date, and that would not be dilution either. For dilution to occur they have to increase the amount of outstanding shares.
It would not be future dilution because the shares are already in issue and the outstanding shares should not have changed.
Where do I see the stock in 2-3 months? Thats a tricky one. Mostly depends on if market confidence keeps building in the Eurozone financial sector or not. I find it encouraging that the ability of the Greeks to throw a monkey wrench into the whole sector sentiment is fading, the latest round of Greek turmoil has failed to negatively affect both the sector in general and the bond markets as well.
While I am not one of those to predict future market behavior, I dont think it is unreasonable to expect another 25-30% in price appreciation in the short term. I am holding for much longer personally. The recent pattern is that IRE is tracking BKIR.L rather closely so checking the action on BKIR in the premarket has been pretty bulletproof lately for predicting the days action on IRE. Volume levels have subsided drastically from last weeks volume surge.
I see the next logical resistance levels at .22 for BKIR and 11.50 for IRE. Lets see if the traders jump in again bigtime and give it another liftoff. The article sticky noted here suggests that institutional money is moving back into BKIR but Id like to see some proof of that. I know that this is the IRE board, but you might want to take a look at both LYG and STD, both are also quality depressed Eurozone financial stocks that have not had a major correction yet.
malc
AI
