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Jason Kaplan

 
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  • To Handsomely Beat The Market, Buy Petroamerica Oil With Both Hands [View article]
    About what? They have one block where they are operator. Until they are majority operator it will trade at discount. They are a long way from that. Reserve life is short...do you not agree?
    Aug 26 10:17 AM | 1 Like Like |Link to Comment
  • To Handsomely Beat The Market, Buy Petroamerica Oil With Both Hands [View article]
    If you are in the US you can buy PTAXF, which is a US listed ticker. That shouldn't cost you anymore than a regular trade.
    Aug 26 09:02 AM | 1 Like Like |Link to Comment
  • To Handsomely Beat The Market, Buy Petroamerica Oil With Both Hands [View article]
    PTA doesn't have everything. It is not an operator. It just is a non-operating partner in all its wells. Non-operators consistently trade at a discount to operators. I think they may start to operate on some acreage according to the Q2 report???

    Reserve life is also quite short, so they need to constantly replenish.
    Aug 26 09:01 AM | Likes Like |Link to Comment
  • The Market Is Only Just Starting To Wake Up To Largo Resources [View article]
    Agree. I keep seeing articles on the battery subject, but nothing is likely to come from it anytime soon...not even worth considering in the investment thesis.

    As an aside, I bought stock in BLDP 15 years ago at like $30 because I though hydrogen powered cars could take off in 10 or so years...yeah not so much...of course I was a naive teenager at the time.
    Aug 13 02:50 PM | 1 Like Like |Link to Comment
  • IEC Electronics: Internal Restructuring, Low Risk Capital Structure, Undervalued By 25%-70% [View article]
    Nothing very bullish here. I see no evidence to support your "Based on recent performance, it's safe to say its 2015 FY end will be around $3mm" claim. It's the same old nonsense from Barry and his boys. Some customers are adding work, some are in run-off blah blah. I'll believe there is profitable growth here when I see it. Don't forget the poison pill to keep activists away. It's great to protect NOLs but of course you have to have income to use them...haven't seen any of that out of this company for quite some time.
    Aug 13 06:54 AM | Likes Like |Link to Comment
  • DC Payments - 9.5% Yield With A 44% Cash Flow Payout Ratio [View article]
    I'm looking at the change in accounts quarter on quarter via the cash flow statement.

    Is the dividend treated at a return of capital for US tax purposes?
    Aug 8 09:51 AM | Likes Like |Link to Comment
  • DC Payments - 9.5% Yield With A 44% Cash Flow Payout Ratio [View article]
    In the case of #1, I use four quarters of data, not just one because I know that working capital accounts can be lumpy. Comparing yearly data should remove that issue.

    #2, yes a quickly growing company will use a lot of cash for working capital. That is not the case here, however.
    Aug 8 08:54 AM | Likes Like |Link to Comment
  • DC Payments - 9.5% Yield With A 44% Cash Flow Payout Ratio [View article]
    That clarifies it but I still use cash from operations less cap ex less cash interest expense. Fluctuations in non-cash working capital are real items and should be accounted for. Companies will do all sorts of weird things to adjust their ebitda or cash flow to show investors what they want to but I ignore it and stick with what the numbers actually are - not some metric that is customized to make it look better than it really is.

    That being said I do like the company and thank you for the write-up. I find the CEO's candor on the earnings calls to be quite refreshing.
    Aug 7 06:51 PM | Likes Like |Link to Comment
  • POOF! There Goes The Short Thesis: Molycorp Receives $400MM Lifeline [View article]
    Shows how naive you are. Though results were really still horid. Oaktree better start pricing out crushing equipment to sell on ebay.
    Aug 7 05:18 PM | 4 Likes Like |Link to Comment
  • DC Payments - 9.5% Yield With A 44% Cash Flow Payout Ratio [View article]
    I would point you to the audited cash flow statement. I'm really not interested in how DC Payments defines it. In 2013 the company generated $59.8M in cash from operations per the audited cash flow statement. $4.5M for capex and $17.2M in interest paid (which shows up under 'financing'). Finance costs of $19.6M are a non-cash add back in the operating activities for some reason. So LFCF is $38.1M. Dividend paid is $23.1M. 23.1M/38.1M = 60.6% payout ratio.

    I think the issue is with what the company defines as non-cash financing costs, at least at the operating level. In 2013 the company added back all $19.6M in financing costs in the operating activities on the cash flow statement only to subtract $17.2M in 'interest paid' under financing activities. It doesn't make a lot of sense to me. Must be how Canada or IFRS works.
    Aug 7 01:55 PM | Likes Like |Link to Comment
  • DC Payments - 9.5% Yield With A 44% Cash Flow Payout Ratio [View article]
    The payout ratio is based on unlevered FCF. I never understood doing this since interest expense is essentially a cost of doing business. Looks like the payout was about 60% of LFCF in 2013.

    Over what period does the company amortization customer acquisition costs? Is there a schedule forecasting intangible amortization costs for 2014/2015? It has been going up recently due to acquisitions I presume.
    Aug 7 11:53 AM | Likes Like |Link to Comment
  • Update: Largo Resources Reports First Production [View article]
    Updated presentation on Largo's website. Company says it is at 30% of capacity right now. That should generate about $2.8M in sales a month. Expect to be at 40% capacity in the 2nd month of production. Also nice to see this morning that they extended the grace period for the amortization of the loans with the Brazilian bank.

    http://bit.ly/V0N3HU
    Aug 7 10:41 AM | Likes Like |Link to Comment
  • Update: Largo Resources Reports First Production [View article]
    Ok makes more sense. My quote is from a bloomberg terminal...a $2,000/month financial data access point used by pretty much everyone on wall street. I cannot post a link. Every price I see is about $5.30/lb. Again, all sourced from Metal Bulletin. FeV is priced at about $25.15 per kilo currently.
    Aug 6 08:49 AM | Likes Like |Link to Comment
  • Update: Largo Resources Reports First Production [View article]
    I got the price from Bloomberg, which lists Metal Bulletin as the source. It is updated 2x a week. I'll bet you a nickel costs are no where near $3 in 2014. What are your assumptions for the ramp up by the end of this year?
    Aug 6 07:26 AM | Likes Like |Link to Comment
  • Update: Largo Resources Reports First Production [View article]
    I'm actually showing the price per pound at $5.30 presently, down from $5.80 in Q1. Isn't Glencore going to pay something less than that considering they are covering all the transport costs? And the $2.50 cash costs is when all phases of the plant are build, no? You won't see anything below $3 in 2015. Iron ore likely will not be sold at these price levels. Transport costs are significant there as well.

    When is the company going to start doing earnings calls?
    Aug 5 04:38 PM | Likes Like |Link to Comment
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