{5U}

DryShips Looks Good, Even Without Its Dividends

They just busted through a covenant. The stock is trading down 22% in the after market.

Any thoughts? Still like the stock?

Last Thursday Was the Bottom - It's Time to Get Back in

Have you ever done any credit analysis on Dry Ships other than looking at a Debt/Equity ratio?


On Nov 29 03:04 PM Glen Bradford wrote:

> It's unfortunate that a lot of the comments on this article just
> state random opinions and facts and don't back them up with any evidence.
> I figure it's the least I can do.
>
> BAC - First off, ignore the last 4 quarters (1 year) of figures.
> It's not really historically accurate. Ignoring the last year and
> looking at the 4 previous --- you have a company growing at at least
> 10% and last time I watched TV, it's making strategic acquisitions
> to spur growth in the next 5 years. It's priced to shrink earnings.
> This is not the case. Out of all banks, this is the only one that
> I've considered owning lately (Besides citigroup since it got saved).
>
>
> C - Citigroup has been growing at at least 7% over the past 5 years
> under similar analysis and is priced to shrink faster than BAC.
>
>
> That said, I've been staying away from banks for the last year since
> I saw and heard about this one coming... I think there are better
> deals out there, but the banks as you've seen are the first to rebound
> the hardest. Hopefully you were smart enough to buy C earlier this
> week (monday morning)
>
> HERO - Priced to grow at 1.8%, it's been growing revenues significantly
> faster (80%) than that but the relationship between revenue growth
> and net income(-24%) has not been as strong lately... I like NOV
> and APA more.
>
> DRYS - this one should recover from the fact that commidity prices
> are "bottoming" esp. if you are calling a market bottom. It's grown
> Net income at 82%. Can they keep this up? Well --- anyone who knows
> anything about the transpo business knows that there's no profitable
> way to transport people, but transporting goods is the way to go.
> My favorite transpo business distributes liquor (CEDC)
>
> As for the bottom, you're 5 days late and everyone's screaming "bottom."
>
> This could have been the bottom, look to global markets... there
> are strong indicators that it's the bottom. I think it's the bottom.
> But, I'm holding out a little bit, i've leveraged up 3 times at 9000,
> 8500, and 8000. I'm saving one more time to leverage up at 7000 in
> case the market is as unpredictable as I think it is. But I'm all
> in. I think that the DOW is worth about 10500, but would be surprised
> to see it reach that. If it does, it will overshoot to 11000+.<br/>
>
> Hope this helps you guys!