I just checked and the company lost $3.22 per share in the trailing twelve months (TTM) according to yahoo. Based on that I think the stock is headed in the appropriate direction.
ocdeightiron how you like them fundamentals?
or I got your fundamentals and they are hanging low.
You can keep both of those.
Large volume the last few days especially yesterday. Market up last two days but this one is down, thanks to the media you got the small guys buying up loading the position for the short. The little guys will run when they lose 10+% and the shorts will cover.
Unless someone can push us back up to $7.03 it looks like the run is over for the next few months - until towards the end of Q4 when they might try to push it again.
Listen baby bird, not all converts are the same. Whomever was on the inside of the Monster convert didn't really understand what they were doing and got taken for a ride by WS. This convert has a premium exchange if cashed in early based on certain rules. WS sold it as being intended in case of a change of control but slipped in a clause about the stock price being at a premium could cause a trigger. If it hits that mark you get all that future interest NOW and you get to play another game with your money somewhere else.
Given the weak fundamentals of this company that's what I would do.
If you are Monster you don't want it to convert, you want time to try and right size the business and build up some cash to pay it off or to show strength in the company to do another deal when it comes due. Converts are trendy from time to time but Monster did it out of desperation because the bank didn't want to loan them money because of the deteriorating financial situation of the company.
If you are BOA you don't want the convert to happen because you got $14M upfront to cover it and that's a nice premium if you don't have to do anything.
When the side pushing for the convert give up because it's not going to happen in any given quarter you are going to get a crash and that's why the shorts are here.
If the convert always trades at a premium to the stock because of the future interest payments, why would anybody ever convert as opposed to just selling it in the open market. Plenty of converts are either in the money and can be converted but only trade rather than trigger a redemption.
If you are long - then you want it way above that number because Monster gets the difference with the BOA cover. $15+ would be perfect because it would fully cover the convert zero out that debt. That's not likely so you want it below $7.03 to keep the convert from kicking in.
After the quarter close the pressure for $7.03 will be off until the end of the next quarter so it will drop - money to be made - shorts might get their cover.
It's all about the fundamentals and this company has lost nearly $6.00 in the last two years on EPS.
Down almost 20% since the high in less than two weeks. Just like junkie said this things is a dog.
I know I know I know - it's the economy - it's China - it's the EU - nah a dog is a dog is a dog. When it goes up everybody talks about the improvements and the outlook and when it goes down all the excuses come out and the pumpers go silent.
Wall street is going to bat this thing around.
At least when Sal was around managers didn't unload their stock.
Going to be more effort to push this up and down as we role into the final month of the quarter. 5 to 10 percent changes are likely on any given day. In the end only the speed traders and options are going to win on this one.
Everybody has an agenda, the management team doesn't want the convert to happen so this is an attempt to push the price down. They paid a lot of money up front for the deal and want the 3.5% to ride out for a few years. The convert will crush the company.
But yes it's a dog the fundamentals are weak.
Straight up sales by the management team - at least in Sal's days he didn't let that happen. These guys aren't in it for the long haul. Pump, pump, pump, and run! All 10b5-1 no RSU cover - straight up sale!
McGuinness owns 80,518 shares and 5,309 in 401k - sold $35,053 or 6% of his shares
Connolly owns 191,768 shares and 64 in 401k - sold $34,915
Langcock owns 520,308 shares NONE 401k - sold $77,042
Stoever - owns 680,278 shares 210 401k - sold $77,034
I bet some of the volume is also LISE THE BIGGEST WASTE of space next to SAL who have dumped now that they don't have to report.
That new plan of 35% adjusted ebitda must not be working.
There will be lots more calls, BOA has to cover 20M shares @ 7.03 when the convert hits. They got $14M for their side so they will spend it all in the hopes of not losing any money on the wrong side.
I remember they tried to sell the company at 10 bucks about three years ago to no avail. However....over 2000 calls at the $10 strike for March? That is not individual investors. Look at all the call options, biotech do not have as much call activity as Monster has. Continuous declining revs, EPS that will tank once the senior convertible notes start coming through, mysterious booking claims that are not documented...the calls are trying to say something. Either it is the shorts getting protection, or something big is going to happen soon, and it is not going to be an unexpected change in guidance to the upside.
SPG will rise, you will see, he will return.
Look who's calling a troll a troll? How good are the fundamentals.....hmm.....let me double check....lost $6 in EPS in the last 3 years - check. Can't make any money so it's not even using EBITDA but adjusted EBITDA - check. The stock also had it's ALL TIME LOW not just 52 week low in the last year - check. It's risen before only to fall again - check.
Take a stand - take a risk - tell us what has changed! Hope is not a strategy and the run up is not because the company has rebounded. The economy has gotten stronger since late 2009 and it's better job wise than before 2008 and yet Monster is sinking and losing money. You should have retired with Sal - it's not too late - retire now you troll.
So much for taking a break. Stock is at a 52 week high and you had to get your two cents in to bash the company. You really are a troll!
Fundamentals my a $ $
Deferred revenue Q3/13 315.6 and Q2/14 315.8
Q3/14 281.0 and Q2/15 281.8
That trend says whatever deferred revenue is in Q3 is likely to be the deferred revenue in Q2 of next year. Which also means revenue has to go down, will continue to go down.
Q2/12 to Q2/13 revenue is down 24.5M
Q2/13 to Q2/14 revenue is down 5.7M
Q2/14 to Q2/15 revenue is down 14.0M
Tim and Mark are better at executing than Sal ever was, they are executing the plan that Sal created resulting in increased losses because the plan is at fault. How many other times has the stock run up? How many other times has Sal said things are starting to improve we are seeing early signs of improvement?
Tim and Mark are doing the same thing but they are expecting $10M a quarter in growth after Q3 results? Come on why on earth would anyone believe that unless the media and the real power of wall street needed a new fall guy.