At .5 book, improving earnings, and a boat load of cash providing minimal returns, if they don't buy back or anounce a good size dividend, they are telling US this is a sell. There is nothing else to take from it. I hate to say it, but It will be a SELL and I will have a huge loss, but it is what it is. Managements don't listen to message boards, but this is just the facts. You can't argue facts.
dave, they already said in the conference call that the board discussed a dividend, and decided to wait...the same may be true about a stock buyback. I think they want four quarters of operational profitability before spending the cash....so that would mean one more quarter. They did have years of losses before the great turnaround, so its not completely unreasonable.
IMO, its silly to say its a sell if they dont offer a dividend exactly when you want it. Its a strong buy b/c it trades at half book, it has turned from having a losing book of biz to a strongly profitable one. If the stock goes to the lower three's, I'll add 50% to an already decent sized position.
I see your stance and respect it. I am in real estate and when houses are cheap, it is my job to pull the trigger and buy them and when they are overpriced, it is my responsibility to sell or leverage them to increase profits for my family. This stock is rediculously cheap here and if they don't take advantage of it, even if it is not in their baby-step prudent plan, then it is just crazy. It is legal for them to take advantage of this 25% drop and there job as management. Who knows what hurricane season will bring or how reinsurance will be constricted in the future, but they need to be buying shares down here. We may never see it again and definelty not after two more profitable quarters. Give it to the ones that have owned and filed class action papers, not the ones that waited for a year of profits to believe in TCHC. Do the right thing by US and sleep well knowing you made good on some promises at least. The more they buy now, the higher the take out premiuym will be if we get another offer. I've been trading this thing for 7-10 yrs and that is a long time to believe in one company.
If anyone knows it is underpriced here, it is TCHC.
If they don't believe in themselves, then how can we.