Apologies once again for missing another meeting. Unfortunately the change of
date has caught me out and I am heading back to France in a few hours.
I hope we can all meet at the Mill as planned in June however and that the
weather is kind to us, in which case there would be no reason to restrict
numbers if we can be in the garden. - In the event of inclement weather I
think a sensible number indoors would be ten.
As far as my raconteur notes are concerned:
Real Estate Investors – the price has dropped a little since last month, but
only marginally compared with the rest of our portfolio and the markets
generally. For all the reasons mentioned before I recommend continuing to hold
this stock for the 8%+ dividend and the likelihood of medium term share price
recovery from around 38/40p towards the NAV per share value which has now risen
to 58p following recent results.
Recommend Hold
SIMEC Atlantis – the share price is up a fraction since last month. It appears
that the third of the four tidal turbines is currently being tested following
reinstallation at the Meygen site and there is likely to be an announcement on
this shortly. These turbines will generate important income for the Company,
but probably not enough to fund forward plans and eventual debt repayment.
The Uskmouth site is currently the subject of an application for a large scale
battery storage plant (similar to the one proposed a couple of years back in
Lower Woodford, but much larger). This is outlined in this link:
https://www.thenational.wales/environment/20138557.battery-plant-plans-uskmouth-power-station-site/
Recommend Hold
Markets generally:
I don’t think we will have any spare cash for investment today (??) as we will
sadly have to release funds to Edwin following his departure. However, when we
do, I think the current market pullback offers a number of opportunities
particularly in the hard hit technology sector. If prices do not recover
significantly before our next meeting we might want to consider adding to some
of our stocks, in particular I am thinking of Amazon and possibly Alphabet.
I am also very interested in the prospects for Peak Rare Earths as the world
tries to move away from reliance on China and of course Russia which has
substantial reserves. Another potential add IMHO !
Have an enjoyable meeting.
Very best
Richard S
