Advertisement
If you have a new account but are having problems posting or verifying your account, please email us on hello@boards.ie for help. Thanks :)
Hello all! Please ensure that you are posting a new thread or question in the appropriate forum. The Feedback forum is overwhelmed with questions that are having to be moved elsewhere. If you need help to verify your account contact hello@boards.ie

Cheap BOI shares

Options
  • 25-09-2016 5:10pm
    #1
    Captain Slow IRL
    Registered Users Posts: 3,651 ✭✭✭


    I was reading the link below, about a massive mix-up that saw someone mistakenly buy Ryanair shares instead of Bank of Ireland shares - about €34m worth.

    After reading this and seeing how cheap the BOI shares were compared to the Ryanair shares, the first thing I thought of was "they're cheap, maybe I should buy some". Then the more cynical side of me thought that this was a bit of a stunt, to get more (idiots!) like me to buy shares and drive up the price.

    Or should I just put my tinfoil hat on?!

    http://www.irishtimes.com/business/markets/ryanair-shares-cancelled-after-dealer-labels-600m-order-wrongly-1.2802158?ref=yfp


Comments

  • Options
    #2
    aristotle25
    Registered Users Posts: 689 ✭✭✭aristotle25


    The actual price of a share is just a number. €1 share might be "cheap" for one company or expensive for another.

    Without doing your research BoI at 30c could be very expensive.

    Amazon used to trade at $150 a share and now it's $750 so $150 could have been cheap. BoI used to 80c and now it's 30c so 80c was very expensive.


  • Options
    #3
    ScumLord
    Registered Users Posts: 28,789 ✭✭✭✭ScumLord


    How come there's always shares for sale? You'd think if a company has really good shares they'd sell them all and then shares would be extremely hard to get after that.


  • Options
    #4
    L1011
    Moderators, Business & Finance Moderators, Motoring & Transport Moderators, Society & Culture Moderators Posts: 67,922 Mod ✭✭✭✭L1011


    ScumLord wrote: »
    How come there's always shares for sale? You'd think if a company has really good shares they'd sell them all and then shares would be extremely hard to get after that.

    Other shareholders sell them, and there isn't always shares for sale - although nearly every shareholder has a price they'll sell at and if a buyer wants to, the price just goes up.

    Similarly you can't always sell your shares - if everyone else is trying to there won't be buyers.

    BOI shares are "cheap" because there are lots and lots and lots of them - 32 billion of them. One share is 1/32,363,275,073 of the free float of the company which is not even 100% of the shares.

    Anyone who has even vaguely played with the market knows this and hence this article, if faked (which there is zero reason to believe) would have no impact.



    They're 19c now and were closer to 40c last year so they are possibly relatively cheap, but I'm not a financial advisor nor do I hold any!


Advertisement