Congratulations on your good timing, however I was the one and only poster I can recall ever mentioning another public offering being a possibility and a concern. See you guys & gals after this thing bottoms out from this news...Nordic Freedom fixture today 126ws sometime in march.
I don't know if I'd worry about missing out on the sale of a ship. NAT is trying to grow it's fleet. They set up the financing to do this in '05. I'm more concerned about another stock offering in order to pay off debt.
I am looking into these tanker companies and looking for solid reasons to buy or not to buy! New to the tanker area but researching like I did on the pipelines in Canada several years ago! Before that the utilities and their prefered stocks! Anything that pays out over 10 to 15% income will get noticed by the other 95% of investors later! Any idea's appreciated!!!!
Maybe the solid dividend payout got the attention of a lot of income investors recently, but...
I'm concerned about the impact of the high oil inventories in the US (left over from mild winter?) on near-term tanker rates.
If I'm not mistaken, the second calendar quarter usually sees a downturn in rates, which might compound the situation... Johnny-come-latelies who bought recently might become alarmed and sell off, not realizing that the rates tend to be seasonal, and that the industry has a cyclical history.
SuezMax daily rates just dropped to the $40K's from the $60K's in a few days. I don't do technical charting, but my guess is that the market psychology will not permit a solid base at this level for much longer, even if this stock can easily beat the long bond at $30K/day.