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davidbdc

davidbdc
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  • Atlas Spin-Off Analysis: A Value Lost In The Shuffle [View article]
    I was fully aware they were full of bs.

    But it wasn't from Dec 15.

    SEC filings from two weeks ago still claimed 2.20.

    Take a look at the composition of the board.
    Feb 24, 2015. 08:04 PM | Likes Like |Link to Comment
  • Atlas Spin-Off Analysis: A Value Lost In The Shuffle [View article]
    Oops, just a week or two later and now its 30 or 40 cents.......

    From $2.20

    In two weeks.

    With no major change in any commodity price or natural disaster.

    The post above regarding Lightfoot padding the pocket of Junior tells you all you need to know.
    Feb 23, 2015. 10:17 PM | Likes Like |Link to Comment
  • American Realty Capital Properties: Is Corvex Helping Or Hurting? [View article]
    I just want them to get the financials out. All the politics and spoils of board seats is irrelevant. Get out the financials!!
    Feb 11, 2015. 05:55 PM | 11 Likes Like |Link to Comment
  • A Covenant Trip Is Coming And SandRidge Knows It [View article]
    Have to believe that they are closely working with the banks and are getting the ok to lower rig counts and play the waiting game.

    Its a bad situation. But they do have time on their side and with open communication between themselves and creditors should be able to exist for three-four years while waiting to see what happens with oil. If oil is the same in 2018 then its lights out.
    Feb 10, 2015. 11:38 AM | Likes Like |Link to Comment
  • Prospect Capital's (PSEC) CEO John Barry on Q2 2015 Results - Earnings Call Transcript [View article]
    Joe, I look at it like this.

    If you have a $10 million dollar a year job would you be willing to buy $1 million dollars a year in stock if it helped the "optics" of you KEEPING your job and helping people believe your doing something right?

    I would.

    Make no mistake - these guys are smart guys. Barry is top flight in terms of financial and business acumen. BUT you cannot keep the pay structure you had when you had 50 and 100 MM under management. Then there was an argument to be made that it was valid and needed to attract and keep high quality talent in the management firm (external). But since we've grown so much the external management fee is now just a rip-off.

    Rather than spew nonsense, they should have been pro-active 2 years ago and made the needed changes. They'll still make millions - its just that it might be a few million less than in year's past! And a few extra pennies might flow through to shareholders!!!
    Feb 6, 2015. 02:57 AM | 9 Likes Like |Link to Comment
  • Prospect Capital's (PSEC) CEO John Barry on Q2 2015 Results - Earnings Call Transcript [View article]
    The management has simply kept too big a piece of the pie. As the business has grown the compensation has remained linear - which means shareholders see no value from a larger business. The management fee structure needs to be updated and management cannot simply be rewarded for assets under management.

    Management is concerned with growing assets under management. IF they happen to return a good return to shareholders while this happens - great. BUT they win regardless of how shareholders do. That is the disconnect and it needs to be fixed. There is no valid argument for retaining the same setup that we had when we had 100 million under management. There has to be some scale savings and there has to be some performance incentives replacing sheer size.
    Feb 5, 2015. 11:57 PM | 9 Likes Like |Link to Comment
  • IBM hikes Rometty's compensation for 2015 [View news story]
    There was a time in this country when our "leaders" were in touch with reality.

    Your firing 10's of thousands of workers. That represents a huge failure not by those individual employees, but rather by management to properly manage the company for the future. So if they have to be fired, then there should be ZERO bonuses for the people that failed. That would be executive management.

    When I hear this type of nonsense I simply shake my head. It represents everything currently wrong with what is going on in this country. We used to laugh at banana republics where "families" ran the country and enriched those around them. We have become exactly that. She hasn't earned any bonus.
    Feb 2, 2015. 12:57 AM | 4 Likes Like |Link to Comment
  • The Security I Like Best: Atlas Energy, LP [View article]
    Yep, doesn't matter how the stub is currently priced. To get it you have to buy TRGP at a low yield.

    Plus, the market is pricing in a large distribution cut at ARP - and basically the stub represents ARP IDR's.

    ARP should have already announced lower distributions. With current oil/NG/NGL pricing it will run up against its debt covenants later this year.

    The only reason they continue to pay distributions is so that they can get the sale closed and continue to claim the stub expects to distribute $1.10 (note it was $1.25 when the deal announced). I expect that shortly after the deal closes you'll magically see new guidance from ARP and therefore the stub expected distribution will decline as well.

    If you really believe in the stub - buy ARP - its currently yield is over 20%.
    Jan 30, 2015. 11:26 AM | Likes Like |Link to Comment
  • Making Sense Of The Broad-Based Weakness In Retail Sales [View article]
    Its called mandatory Obamacare payments and debt. That's where most of the savings have gone.
    Jan 14, 2015. 08:21 PM | 2 Likes Like |Link to Comment
  • Everything Has Changed: Oil, Saudi Arabia, And The End Of OPEC [View article]
    The Saudis aren't so stupid. They aren't having an oil sale just so they can say they pumped all their oil.

    They realize that massive amounts of oil are being extracted in the US/Canada - by private firms. If they act now they may be able to curtail future investment and protect their long term market share - and long term generate the MOST REVENUE from their oil. Now, it obvious that they didn't expect this much of a price decline - but now that its happened they have to show some backbone and ther are some political advantages to allowing the situation to worsen before the help it get better.

    S.A. traditionally has been the country to cut. This time around they may be able to force Iran and other OPEC countries - along with non-OPEC countries to cut along with them. If its in 6 months that's fine with them - if its in a year that's fine with them.
    Jan 13, 2015. 04:05 AM | 6 Likes Like |Link to Comment
  • Why A Turnaround At Southern Copper Cannot Be Ruled Out [View article]
    Well I'm glad it can't be ruled out!!

    Its been a disappointing few years. I'm doubtful about increasing demand but time will tell.
    Jan 8, 2015. 02:14 PM | Likes Like |Link to Comment
  • SEC Action Forces RAIT Financial Book Value To Plummet [View article]
    Brad, with all due respect to your work, this is totally misleading article.

    RAS has reported Adjusted Book Value for a good while with the anticipation of this SEC business concluding. So any owner that spends the least bit of time is aware of the situation and its been fully disclosed and accounted for.

    RAS is both a commercial mortgage lending REIT and a traditional real estate ownership REIT. The reporting is messy and complicated. But nothing changed on December 29th. The change happened a long time ago and has been accounted for ever since.

    The only cash difference I can find is the small management fee that will no longer exist. Otherwise this is old news. And this article seems a deliberate attempt to scare and mislead.

    RAS is a somewhat risky investment with a yield that represents that risk. They also have a CEO that did a good job when he was in charge previously and has done a decent job since he returned. If anything having this SEC stuff over and done should allow them to focus solely on continuing to grow the business.
    Jan 6, 2015. 05:58 PM | 5 Likes Like |Link to Comment
  • Activist: Time for PREIT to rip the band-aid off [View news story]
    They shouldn't be selling any more malls!

    All these malls provide POSTIVE cash flow. He is only interested in a one time gain - sell his shares and move on. Long time holders just want to see continued sustainable growth and a rising dividend. Selling assets that produce positive cash flow will NOT lead to a healthier stronger company.
    Jan 6, 2015. 04:41 PM | Likes Like |Link to Comment
  • 3 Reasons Why Prospect Capital Is Set To Rebound In 2015 [View article]
    ASAPCO - If I'm taking in $15 million a year from a single source. And if spending $1 million a year makes the optics look much better and increase the likelihood that I continue to take in $15 million - then I'll absolutely buy that $1 million each and every year.

    The main reason I invested is that Barry is a very smart financial guy and has the business savvy to evaluate opportunities (IMO). That also means he's smart enough to keep buying back shares to appease the masses.
    Dec 31, 2014. 03:35 PM | 7 Likes Like |Link to Comment
  • 3 Reasons Why Prospect Capital Is Set To Rebound In 2015 [View article]
    I'm not a short - I'm a long time holder. And I have to agree. Take a look at the external management fees being generated - look at the number of employees - do some back of the envelope calculations - and you have a pretty big number left over. Then look at the size of the buybacks.

    The external management structure needs to be changed. Either it gets taken internal or the fee structure is drastically changed to account for the substantial size of PSEC now compared to when the fee structure was initiated. This is our second distribution cut in the past couple of years - but the external managers are raking in even more!
    Dec 31, 2014. 03:27 PM | 11 Likes Like |Link to Comment
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