User 166933

Total Rating:
0 / 0

5 Comments

    • Wed Apr 23rd 13:11 PM | Rating: 0 0
      Commented on:
      Potash, King of Canada
      Methane bubbles really really stink...
      View article »
    • Thu Apr 3rd 00:01 AM | Rating: 0 0
      Commented on:
      Bullish on Commodities? Consider DryShips
      The law states that if someone else bids for the company, DRYS must better that bid and buy the entire thing. Considering it only has a market cap of 2.2 bil, a potential 700 mil forced investment is huge. Second, if you actually looked into it, you'd realize that the number of new ships being built greatly exceeds the number of old ships being decomissioned, and that older ships are much less efficient than the newer ones... Meaning on aggregate shipping supply will go up a lot, thus decreasing revenues. And if you did more research you'd know that the supply of dig oil rigs is also set to increase dramatically in the next few years, thus making their investment in ocean rig less valuable. Also, if you don't think 11% is large, then I really don't know what to tell you. 10% yearly return on a portfolio is supposed to be good.

      Finally, saying I must work for a hedge fund that is shorting this stock is laughable. You sir, are a fool. I'm glad to know that the extent of your ability to analyze a stock consists of WOW IT HAS A LOW PE, IT MUST BE GREAT! Get a clue please. People like you are part of the reason why this stock is so volatile. You guys jump in thinking you're making a great investment, then when the stock drops 10% you panic and sell. Rinse and repeat.
      View article »
    • Wed Apr 2nd 01:24 AM | Rating: 0 0
      Commented on:
      Bullish on Commodities? Consider DryShips
      The reason drys is trading at such a low multiple is based on several facts, mostly centered around their CEO. First, he has a track record of screwing people over. He ran another company in the 90s, borrowed tons of cash, defaulted on the loans, and finally settled paying pennies on the dollar. Second, he has conflict of interest issues with Cardriff, the company that basically manages the fleet. Third, most people seem to think the investment in ocean rig is a bad idea. Currently ocean rig has a negative return on equity. Also, the CEO purchased 4% of the company himself, which has gotten drys on the hook to potentially be forced to buy the rest of the company do to norwegian law. I believe the 30% investment was in the neighborhood of 400 mil, meaning they're on the hook for potentially 700+ mil of forced investment. 4th, there is an expected massive influx of new ships in 2009 and 2010. 5th, drys has 1 bil in debt. 6th, they pay a really crappy dividend compared to other shipping stocks. 7th, the author's PE is not correct, the company has sold another 4 mil shares, so the total shares outstanding is now over 40mil as opposed to 36 mil, which as a percentage is rather large.

      The main thing that kills this stock in my opinion is the high debt, the low div payment and the crappy investment in ocean rig.
      View article »
    • Tue Mar 25th 13:30 PM | Rating: 0 0
      Commented on:
      Should We Buy the PetroChina Stock Buffett Sold?
      if will posted what i think he did, he hit it right on the head. Trying to tie PTR's market value to the price of oil is laughable at best. Its sad that seeking alpha lets you post articles when you have no clue what you're talking about.
      View article »
    • Sat Mar 22nd 16:57 PM | Rating: 0 0
      Commented on:
      10 Reasons Why Gold Has Further to Run
      I just refinanced a 15 year fixed to 4.25%. To say the rates aren't getting passed on is just incorrect. Maybe what you meant to say is that the banks are learning from their mistakes and aren't giving loans to anyone who asks for one.
      View article »
Loading...
Symbols:
Authors:
Quick Links:
Contribute an Article Become a Seeking Alpha Contributor

Transcripts

More Transcripts»