Short piece but vintage AF. Straight talking, confident. I may warm up to getting back in. I'm basically an optimist, like Mr. Mojo. Hate to miss the party, if there is one. I don't do options, but seems like I could sell puts.(?) Sold out of NNA awhile back and own no Navios stocks now. I've become a John Fredriksen fan.
i am still very long NM & NMM, being paid very well to be patient. last purchase of NMM was near $12, NM 3 ish. i stay in touch with HQ regularly, ask questions and pick their brains, but there is no quick fix or solution i see to overall market. need the orderbook to stay flat and scrapping high. am in for long haul. mojo
ps: Cargill announcing they will only charter efficient ships should encourage increased scrapping of 18 to 20 yr old ships. a bonus
You must be a seafaring man. In for the long haul, as you say. The real thing that bothers me about dry bulk is the extent to which the Chinese can and will manipulate the market their advantage, whether it's building too many ships, renegging on contracts, manipulating commodity import schedules, etc. while screwing everyone they can. They may be where the market is, but they are a malignant force overall. Any thoughts on the Chinese factor?
I own shares of GLNG, SDRL, SFL and GMLP, in that order, as core holdings. I like them all for various reasons and add a little or trade a little when the time seems ripe. GLNG and GMLP are pure plays on the future growth of LNG. The LNG midstream shipping sector has everything going for it in terms of shipping... demand for charters, no extra ships to go around, Rates at or near the top for the forseeable future. SDRL is the premium offshore driller which is also a strong sector. SFL is a finance company that has something of everything in terms of shipping. I like that diversity which, to me, means they can rebalance their ship holdings to adjust, albeit slowly, from, say crude tankers to drillships. They are not a ship manager, they are a ship owner and leasor. The signature of a Fredriksen company is higher leverage, high dividend, younger ships with the best technology, which seems to work for these companies but did definitely work for crude tankers like Frontline. So, it all boils down to what sector to be in. I see myself getting back into NM at some point (in a small way) but thinkng that should be during some major market correction. SFL is very attractive to me at the moment because they are in the midst of a stock offering and the price is down.