Arsenal have officially withdrawn their contract offer for Ramsey, meaning he will leave for free at the end of the season.
Most Football Index traders already know this, hence he already has a premium price, sitting at £4.08 with recent highs of £4.89.
He has earnt £0.25 this season due to these rumours, with traders anticipating even more Media Buzz dividends if he signs for a new club.
The question which we all want to know, is, where will he end up?
Understanding his price
All my apologies if you own him, but at his current buy price, I cannot see the value in adding Ramsey to your portfolio.
Lots of traders are going to purchase him, the transfer traders, dividend collectors etc.
I’m not saying you’re wrong, if you have just added him to your portfolio. It’s my opinion.
Why is my opinion as such? Simple.
Football Index is all about Capital Appreciation & Dividend Returns.
With the current market, I cannot see Ramseys price going much higher than £4. Obviously, In 4 years, when the Index has grown, this could look like a nonsense post.
The next price bracket would be the Coutinho, Asensio, Isco & Kroos section.
I know Ramsey had all the potential in the world when growing up, but it feels as if he’s done a ‘Wilshere’ and peaked too early.
I think he’s a very good player, but I cannot put him in the Coutinho category.
Analysing the current market, Ramsey is just over £4, valued as the 11th best midfielder on the index. In terms of dividend yield for Performance Buzz, he’s the 15th best, so not too much wrong there really.
What Price will he settle at?
I need a crystal ball for this one.
- If Ramsey joins a team that score well on performance buzz, I can see him settling around the £3 mark. Players such as Verratti, Koke, Parejo sit around this mark, and are a similar type of player.
- If he joins a team like Man Utd, who are a huge club, but not a ‘PB Team’, I can see him dropping as low as £2.60. There are some great players who are even cheaper than this, Kovacic @ £2.32, Rakitic @ £2.25.
- I do not think there’s any imminent risk of him moving to China. This would render his share price as worthless.
- If he stays with Arsenal, I think this will be the worst outcome for holders. He will receive reduced media buzz, but also, he won’t be a starter in the team, it seems like he’s not in Emery’s first team plans at all.
It does feel a bit crappy, making a post which lists only a players negatives.
I received 2 DM’s on Twitter & decided to write a post, as it’s been a while!
If you hold Ramsey from £1,£2,£3, I am not stating to sell up now and create a crash.
This is just advice for traders who may be considering purchasing him, to have a look around at other prices.
Yes, he will earn Media Buzz this summer. How much will he earn? Do you think it’ll be enough to offset a potential Instant sell plus 2% commission?
If the answer to the above is yes, add him to your portfolio!