If you go to the last Presentation the company showed the value at 800 million. Thats about two bucks and change in book value with the current ownership in ORIG. The problem is if GE takes on that additional 400 million in debt the company will only have a book value of a buck and change. Thus the low 1.37 price prediction from an analyst.
The risk of bankruptcy is virtually zero! ORIG alone will keep them afloat for a couple of years, and that is if rates stay low. If rates stay low, others will go bankrupt before Drys does which will boost the rates as companies close the doors and ships are taken out circulation. The risk with this stock is the CEO. This guy will screw an invester every which way to Monday! Jump in and play the swings. This stock will probably bounce to $2.30 before earnings. If your in it for the long term, I think the reward far outweighs the risk over the long term
I don't know the exact book value, but it is trading far below book value. According to bankruptcy risk site, there is a 27.9% chance of bankruptcy, this is less than the sector. Sector wide runs right at 36%. Pay no attention to kem60, all he does is bash people, he lives for it. He has over 25 ID's, most post here comes from him. He is a real sicko, lives on his computer 24/7. Lives with his mama, 48 and weighs around 405 lbs., this according to sicko.com web site.