and the company trades at 10X as a whole. The shorts are going to love this ammunition. Now maybe that piece was not under pressure because of captive customers in which case I'd still argue it sold too cheap. Plus the 90M of EBITDA it was generating will put pressure on covenants in the future. In the front years it alleviates pressure because they get to count the 120M of gain as EBITDA per their covenants. Unfortunately next year that is gone and so is the 90 they would have had from these mines. In some ways I could make the argument this sale actually is pushing them further into the debt covenant breach corner not providing breathing room. We will see I want to buy this stock at 1 dollar.
No one is going to call him out on the numbers? ACI trades at 1.2x EBITDA. If ACI were to trade at 5x, then the price would be about $15 and it would be about $30 for 10x. Shorts must love that. Truth is no matter how you look at this stock, it is undervalued. In no circumstance, could any person say this is overvalued. Shorts only "ammo" as you put it, is sentiment. You can want to buy this at $1, but it wont happen, get realistic.
stockanalyst2013 you should change your handle to moron2013. My numbers are all absolutely correct. ACI trades north of 10X EBITDA. You have to actually count the debt in enterprise value it doesn't magically go away. The company is not worthless, the equity part of the current valuation might be.
I love the way big money can send these dopes on here to spin the news the direction they are headed. If big money wanted people to buy the top they would have these dopes saying what a great move this was by ACI in solidifying their cash position and focusing on their better performing assets. Pay no attention to the cost cutting measures by ACI. Pay no attention to the upward trend for NG. News means so little when big money is pushing the share price down. #$%$...trapping margin traders...reality means nothing to these #$%$. They must have no conscience and probably sleep great at night.