They will generate in free cash of 1.9B-2B in 2009,2010 & 2011 plus they have 1B in cash on the B/S. I'M NOT INCLUDEING DIVIDENDS THEY ARE NOT AN OBLIGATION.
I don't see them in BK in 2009 & 2010. The housing starts for 2010 are very conservative. OBAMA is throwing 50b at the housing mess. Reminiscent of Nixon in the Mid 70s which had a housing boom comparable to this one.
The only variable are the tax payments and this lawsuit (have my doubts payment will be required in 2009 or 2010, if it goes against MASCO)
This company currently is valued at 3B dollars by Mr. Market.
And we all know given past performance, what a bipolar mess he can be.
TEV/EBITDA at current stock price of $4 is still 12x. it is a depressed EBITDA value, but you can't tell me when it is going to recover or even stabilize. company will be forced to eliminate dividend later this year, further pressuring the stock. it's going under $3...but i guess you like watching it fall