The replacement of the CFO might result in a new way of speaking at the CC; If they want to create shareholder value, they have to beat (which I don't think they will) or they will have to guide a lot better. Team 360 has had 2 quarters to come up with some results, and honestly, from the $100M request for product after Q1, at least some signs have to be visible in the balance sheet (Revenue, Invetory rise,...). I mean, how long does it take from advertising your product, over request for product, to resulting in sales and showing that in the books?
The CFO departure IMO is a forced departure: the BOD and former directors are large shareholders and they to are looking at their holdings.
New product announcements will be positive, as will be orders (instead of product requests).
I'm convinced we need some short interest to get a sustainable move up in SP: consolidation at higher prices is necessary, short interest sure helps that!
discl: long through AUG $5 calls and NOV and FEB $7.5 calls (i.e. 1 and 2 CC away).
if history is any indication here.....the 2Q report/earnings will fall short......and....again, no guidance will be provided.....
shorts have nothing to worry about......
Still 6,845,000 shares short down 7.4%, 28 days to cover. If earnings show any positive results the squeeze will be on. Being short now is bad business.As I said before ,something isn't adding up.
Lockheed has developed a new filter material for desal. Link: http://seekingalpha.com/article/2350985-lockheed-martins-newest-innovation-isnt-what-you-expect?ifp=0 If the link is filtered out, it's on SA.
Earnings might be bad, but I'll be looking for guidance, inventory rise, volume of signed contracts, new product announcements.
Technical: RSI is rising, Macd is making a bullish cross and MFI is turning North, Demand Index as well. Rebate rate stabilising in the 30's.
Company is in a great field! Everybody's need WATER! California needs it as well as Texas, Washington and
many other states. Shares outstanding 51 Million with over 60% held by the directors and institutions, Many
patents if effect for their products which reduce energy needs.
Do you want to hold this stock? My vote is YES for the long term.
Sentiment: Strong Buy
Black Rock now owns 5% stake in ERII. 2.4M shares.
The new CFO, Joel Gay, acquired 100,000 shares at $4.91/share.
The technicals are shifting for another run before earnings release.
You know I just don't know why you think management has not been truthful? Can you substantiate this? If you don't like this management you should have been here during the previous mismanagement!
I like Rooney and think he is doing the best he can. It is extremely difficult for a company in this market to get a foothold and to make money for the first decade.
mgt had better be sharp on this conference. it is crucial to their future. I hope this coing cc addresses this subject in depth and how present proposals fro o&g are in progress
mgt has often said we did not price our px products correctly. now htey have so much of the business cant this be corrected, expecially when theirs is porportedly better. the industry studies have indicated there is potential for triple current volumes by 2019., and yet when do all these startups begin. mgt has bee silent on this , i think. i am in this for the o&g potential and this will take time as each proposal has to be designed into an existing processing plant. a costly and time consuming process. in the meantime the market is frothy. i expect there will be more downside coming in any correction if there is such correction and erii still presents a better buy from o&g. i will be a buyer.. this entire investment has not been very confident for me becasue of all the failed promises. i dont expect to see big profit from px unless something big changes.
Q3 is typically a black hole for this company and now with the company not giving forward guidance, I think it might be ok to wait this story out until they report Q4 which is sometime next Feb/March. Last year the stock tanked from $7.50 to $3.80 over a few months all because of their awful q3. hard to handicap this company but one thing we know for sure, Q3 is going to be seasonally weak at best and now we are getting even less information out of this company. I'm inclined to want to believe in management's grandiose story but would like to see some evidence that it's actually going to happen. I read hdd's posts too and don't quite understand why the desalinization business is so bad. It would be one thing if they tell us there's a huge and growing backlog in this business but we are not even hearing that. Maybe long lead times are the culprit. thoughts?
No, I personally don't believe HDD is a paid shill. He has way too much detail to backup his thesis. Shills aren't nearly that detailed. Just because he disagrees with you, does not make him a shill. He's very frustrated as we all should be with ERII. We all like the potential of the company, but pieces just do not add up. There is ABSOLUTELY no reason to be secretive about pilot projects, orders, pipeline. In the O&G biz, these companies are not competing against each other and there is no need to keep their plans secrete. Quite the opposite, O&G is known for cooperation and collaboration -- not hiding everything from 'competitors'. So, something is very wrong with ERII in terms of their openness.
All the very best,
He writes 5 posts in a row and says that he obviously is not a paid shill. He obviously is a paid shill for a short that wants us to sell low so he can make $$$$$$$, Shame on you shill.