Bank of Ireland shares

Chuckie_Egg

This must be the first time in years that the stock market took a dip and Bank of Ireland didn't fall off a cliff.
It's been rock solid.

daheff

Chuckie_Egg wrote: »

This must be the first time in years that the stock market took a dip and Bank of Ireland didn't fall off a cliff.
It's been rock solid.

can thank Ulster bank for that. UB exit improves Duopoly position of BOI & AIB. PTSB getting a boost from it too, but really the big winners of UB exit should be BOI/AIB on the business banking side.

Morleystreet

2020 results out on Monday. Presumably will be bad given the year that’s in it and extended level 5 this year. You’d imagne that’s all factored into current price but ya never know.

Chuckie_Egg

Morleystreet wrote: »

2020 results out on Monday. Presumably will be bad given the year that’s in it and extended level 5 this year. You’d imagne that’s all factored into current price but ya never know.

The big news will be branch closures, imho the sooner they cut them village branches the better. Hopefully we will see the 70 - 80 branch closures announced, if they can get that done then this will be a game changer for them

Wanderer78

Chuckie_Egg wrote:

The big news will be branch closures, imho the sooner they cut them village branches the better. Hopefully we will see the 70 - 80 branch closures announced, if they can get that done then this will be a game changer for them

Shur there's nothing like people losing their jobs, and customers having less access to services, just so us share holders can gain!

Chuckie_Egg

Yes jobs will be lost, not nice but some of them bricks and mortar (B&M) branches have next to no footfall anymore. In fairness to BOI they have a redundancy package, which is more than a lot of businesses give nowadays.
Everything is moved online now, I can do all my banking from my laptop, I never before have had as many services available to me.
The future for banking in Ireland and worldwide is banks running branches only in the major towns and cities. The services offered in those branches would be things like mortgages, pensions, Insurance, the paper heavy stuff which you may only do once or twice in a lifetime.
Once they have you as a customer the need to go to a B&M branch is very seldom.

Wanderer78

Chuckie_Egg wrote:

Yes jobs will be lost, not nice but some of them bricks and mortar (B&M) branches have next to no footfall anymore. In fairness to BOI they have a redundancy package, which is more than a lot of businesses give nowadays. Everything is moved online now, I can do all my banking from my laptop, I never before have had as many services available to me. The future for banking in Ireland and worldwide is banks running branches only in the major towns and cities. The services offered in those branches would be things like mortgages, pensions, Insurance, the paper heavy stuff which you may only do once or twice in a lifetime. Once they have you as a customer the need to go to a B&M branch is very seldom.

Wanderer78 wrote:

Shur there's nothing like people losing their jobs, and customers having less access to services, just so us share holders can gain!

...........

Bass Reeves

Wanderer78 wrote: »

Shur there's nothing like people losing their jobs, and customers having less access to services, just so us share holders can gain!

With the way banking has gone I only went into a bank 3-4 to es last year. It not the physical bank being open is the issue. It's access to banking services such as ATM lodgement and cash withdrawal services. Banks should combine to set up a a secure ATM service in smaller towns so that people are not an inordinate distance from lodgement and withdrawal services.

Staff that made redundant will be voluntary. Most will be in there late 50's or early 60's and the vast majority will be quite happy to take such a deal

Chuckie_Egg

I think BOI made a smart move getting rid of the atm network. Handling cash is a big expense. I think we are going to see some form of a new digital dollar before the end of this year, then a new Digital euro will follow, both of which will not have a cash alternative.
Either way the more BOI can reduce it's overheads such as staff, cash handling and B&M branches, the more profitable it will become.

Bass Reeves

Chuckie_Egg wrote: »

I think BOI made a smart move getting rid of the atm network. Handling cash is a big expense. I think we are going to see some form of a new digital dollar before the end of this year, then a new Digital euro will follow, both of which will not have a cash alternative.
Either way the more BOI can reduce it's overheads such as staff, cash handling and B&M branches, the more profitable it will become.

Is not going to happen

Wanderer78

Bass Reeves wrote: »

With the way banking has gone I only went into a bank 3-4 to es last year. It not the physical bank being open is the issue. It's access to banking services such as ATM lodgement and cash withdrawal services. Banks should combine to set up a a secure ATM service in smaller towns so that people are not an inordinate distance from lodgement and withdrawal services.

Staff that made redundant will be voluntary. Most will be in there late 50's or early 60's and the vast majority will be quite happy to take such a deal

what about the staff that arent ready for retirement, particularly financially prepared, and is automating our financial services truly improving customer service, or does all of these actions truly only benefit share holders such as ourselves?

Wanderer78

Chuckie_Egg wrote: »

I think BOI made a smart move getting rid of the atm network. Handling cash is a big expense. I think we are going to see some form of a new digital dollar before the end of this year, then a new Digital euro will follow, both of which will not have a cash alternative.
Either way the more BOI can reduce it's overheads such as staff, cash handling and B&M branches, the more profitable it will become.

its important to realise, our money supply is largely digitized as it is, and has been for a very long time, we call this form of money 'credit'

Bass Reeves

Wanderer78 wrote: »

what about the staff that arent ready for retirement, particularly financially prepared, and is automating our financial services truly improving customer service, or does all of these actions truly only benefit share holders such as ourselves?

What part of the word voluntary do you not understand.

Wanderer78

Bass Reeves wrote: »

What part of the word voluntary do you not understand.

theres voluntary, then theres 'voluntary'(no other choice!)!

Chuckie_Egg

Bass Reeves wrote: »

Is not going to happen

Hold that thought!
We are very close to a cashless society now, paper money will go in the next few years (if not sooner due to covid)

Wanderer78 wrote: »

its important to realise, our money supply is largely digitized as it is, and has been for a very long time, we call this form of money 'credit'

And yes we all know money has been in digital form for decades, but this digital new dollar is a different beast whereby the digital dollars you hold will be tracked in every way.
Currently the money in your wallet and even in the bank, each euro has no history of where it came from, who had it before you etc. That's all going to change. Central banks want to be able to see and alter in real time the flow and velocity of money.
that's what I am talking about when I say Digital dollar.

Bass Reeves

Wanderer78 wrote: »

theres voluntary, then theres 'voluntary'(no other choice!)!

There is always choice you just have to balance the choices. Most people taking VL from the banks will have options. Most will get substantial lump sums. Many will be old bank clerks that will be entitled to a pension at 60 years of age. Some will be younger staff that will take the redundancy pick up a new job and use it for a house deposit. Most younger staff will not be on the same terms and conditions as older staff.

Bass Reeves

Chuckie_Egg wrote: »

Hold that thought!
We are very close to a cashless society now, paper money will go in the next few years (if not sooner due to covid)




And yes we all know money has been in digital form for decades, but this digital new dollar is a different beast whereby the digital dollars you hold will be tracked in every way.
Currently the money in your wallet and even in the bank, each euro has no history of where it came from, who had it before you etc. That's all going to change. Central banks want to be able to see and alter in real time the flow and velocity of money.
that's what I am talking about when I say Digital dollar.

It's not going to happen for another twenty years. Look at the start of the pandemic we went cashless, now many have gone back to cash again. B&Q tried to go cashless but started to take cash again.

Charges for cashless are too high for small businesses. Most small cashless systems charge an arm and a leg. There is usually a minimum charge and after than a percentage. Revolute is supposed to be starting to introducing charges as well. Any cashless society will need a certain element of people having privacy in what way they spend there money. Virtual wallets that are not traceable will have to exist before we go completely cashless

carrickbawn

Chuckie_Egg wrote: »

The big news will be branch closures, imho the sooner they cut them village branches the better. Hopefully we will see the 70 - 80 branch closures announced, if they can get that done then this will be a game changer for them

Spot on.

Smee_Again

Chuckie_Egg wrote: »

The big news will be branch closures, imho the sooner they cut them village branches the better. Hopefully we will see the 70 - 80 branch closures announced, if they can get that done then this will be a game changer for them

103 closures announced, 88 in Ireland and 15 in Northern Ireland and a new partnership announced with An Post.

No compulsory redundancies either.

lisasimpson

Many branches were already sharing staff. I know the templemore and nenagh the staff work in both.
Bank of ireland are painful to deal with the last few years. The couple of times ive needed a branch i wasnt a happy customer leaving. Re fitted my local no privacy anymore. Often if you go to the counter 1st greeting could you not do that on line.
I dont see bank of ireland still around in 10 years time

Chuckie_Egg

Smee_Again wrote: »

103 closures announced, 88 in Ireland and 15 in Northern Ireland and a new partnership announced with An Post.

No compulsory redundancies either.

Branch Cuts harder than I thought, they have bit the bullet and gone for it. The partnership with An post is staves off the pc brigade.
Definitely the influence of the US hedge funds here.
Had a quick skim through the results and they are much better than expected. Market is going to like this, and it'll do well over the coming weeks and months

cute geoge

Imo BoI will lose market share here in Ireland in the personal market anyway might be good idea for ptsb and AIB to keep the personal relationship in branch and take over the market .

connie147

Chuckie_Egg wrote: »

Branch Cuts harder than I thought, they have bit the bullet and gone for it. The partnership with An post is staves off the pc brigade.
Definitely the influence of the US hedge funds here.
Had a quick skim through the results and they are much better than expected. Market is going to like this, and it'll do well over the coming weeks and months

Good call earlier in the week on branch cuts. Is the current price of around €3.5 value in your estimation?

Chuckie_Egg

Most analysts have it as outperform now so I wouldn't be surprised to see it test €4 towards the second half of this year. Longer term I'm positive on this as they have cost cut in a big way.
Fair value now, maybe a bit ahead of itself as we are still not over Covid yet. I suspect they will expand the lending book once Covid is behind us

Jim2007

Chuckie_Egg wrote: »

Most analysts have it as outperform now so I wouldn't be surprised to see it test €4 towards the second half of this year. Longer term I'm positive on this as they have cost cut in a big way.

Yep these are the people who predict performance and when they get it wrong publish the company rather than accept that they know SFA about the industry.

You are in good company.

Chuckie_Egg

AIB to buy Goodbodys. https://www.rte.ie/news/business/2021/0302/1200411-aib-goodbodys-deal/
The two banks are in a quite battle for the wealth management sector.

Timing belt

Was surprised that their NIM didn’t fall below 2% ... looks like it’s down to better margins on new lending

Bass Reeves

AIB have broken the 2 euro/share mark. 2.05/share at present. Have risen about 25c/share in 10days.

PHG

Bass Reeves wrote: »

It's not going to happen for another twenty years. Look at the start of the pandemic we went cashless, now many have gone back to cash again. B&Q tried to go cashless but started to take cash again.

Charges for cashless are too high for small businesses. Most small cashless systems charge an arm and a leg. There is usually a minimum charge and after than a percentage. Revolute is supposed to be starting to introducing charges as well. Any cashless society will need a certain element of people having privacy in what way they spend there money. Virtual wallets that are not traceable will have to exist before we go completely cashless

Ya this post is nonsense. Have you been to the Nordics in the last 5 years? You may have small elements that use cash but in places like Stockholm over 80% of business do not accept cash.

Once the 75+ are gone it cash will basically be non existent bar the odd minor transactions.

Why will non-traceable virtual wallet be required?

Chuckie_Egg

PHG wrote: »

Ya this post is nonsense. Have you been to the Nordics in the last 5 years? You may have small elements that use cash but in places like Stockholm over 80% of business do not accept cash.

Once the 75+ are gone it cash will basically be non existent bar the odd minor transactions.

Why will non-traceable virtual wallet be required?

Bass is right here in that if the digital wallet is traceable then it will not be the same as Cash. Again this is what I'm harping on about wrt the new digital dollar/Euro that's on the way, every euro you have will have a history to it, where it came from, what the last person bought with it etc.
Unfortunately it will be rolled out without little opposition as 99% of people will not be thinking like Bass.

btw BOI is gaining again this week, theirs definitely a shift into banking, construction and the hospitality sectors now, the last of the undervalued stocks