if they would even declare a 5 cent dividend later this week, the price would likely go back to the 6 to 7 dollar range. . .I have held since last year's 7.50 dividend, because I felt TOPT would come back to life - seems like that is happening. I just bought 1000 more today - not much downside here.
"if they would even declare a 5 cent dividend later this week, the price would likely go back to the 6 to 7 dollar range. . .I have held since last year's 7.50 dividend, because I felt TOPT would come back to life - seems like that is happening. I just bought 1000 more today - not much downside here."
I hope you are joking. Dividends are for mature companies that are MAKING MONEY and have nothing better to do with the cash. TOPT has been LOSING money for awhile and even sold off shares to raise cash, why would they pay a dividend now? Maybe in the future when they starting making money again (I own the stock so I hope they do but after drydocking, selling off of tankers and new ones not being delivered until 2009 and beyond it may be awhile). And why would a 5 cent dividend move the stock from 4s to 6 or 7? If that works more companies should try it, declare 5 cents and watch stock go up 20-40%. The CEO is amazing, took a stock that was in the high teens making a lot of money down to a company in the 4s which is losing money. Sure they paid the "big dividend", part of it could be considered a real dividend, the rest return of capital. Perhaps TOPT will turn it around in the future but for now the CEO has created nothing from something. He got what he wanted though, all that cash to invest in his REIT without giving up any % of ownership................ JMO as a disgruntled shareholder.
I can appreciate your comments, as they come from an honest long-term investor. It makes you wonder about the pump and dump artists here. How do I know they are pump and dumps?
1. They promise earnings.
2. They promise buyouts.
3. They promise 200% gains within months.
4. They talk about long-term perspective.
5. They claim the stock is "rocketing," "blasting off" when it moves up 10 cents.
6. They leave a trail on other boards about having sold their "long term investing" positions whenever there's a little pop in price.
Long term bagholders - don't fall for their BS. They only want you to buy so they can unload. Everything they say is meaningless jibberjabber.
It is puzzling to see the exuberance contained in some posts.
General opinion is that first quarter has generated a loss.
Yet dividends are being discussed, etc.
If a loss has been generated, chances are there may be loan covenant defaults.
At 12/31/06, there are indications that ratio of total assets to debt was just made. If a loss has been incurred there may be a default.
If there is a default, can a dividend be declared?
I am new to this board, is there something that I may be missing? Or is the exuberance really unfounded?
You are right and wrong. There is unlikely any covenant violation, but the exhuberance is overdone, considerably.
But, remember. The biggest cheerleader was calling for this stock to be $10-$12 by now.
Take it with a pound of salt.
You must be either a REAL Idiot, STUPID Short, or a TOTAL Basher to come on here and speak about a default. What a complete MORON. TOPT has FIFTY MILLION in the bank and about another ONE HUNDRED MILLION owed to it. Cash Flow is excellent, and Book Value is OVER Six Dollars per share. Break UP value is somewhere between $10 and $12. Do you read the crapola, that the likes of 'great' and 'Fiddy' post, and take it at face value? Get Real.
This company loses money.
They will continue to lose money through 2008.
Yes, losses can trigger defaults, although I don't know about the particulars for TOPT.
There will be no dividends.
This is irrational exuberance. Haven't seen as much unfounded optimism since 1999 - and this is for TOPT, a starving dog.