I don't know if the price will go up or down by the end of the day ... or even next week. I think the odds favor up, especially next week, but one this is sure.
RAS currently sports about a 34% yield and a reliable dividend. That means you don't have guess well to make money. You'll make your money back in 3 years or less ... just on the dividend. The stock will almost certainly rise at least 3x from the current price by then (and probably much more).
You can wait for Monday. Maybe you'll get a better price ... maybe not. But its already an unbeatable deal. Why wait?
Davis.. Am long RAS at $8+. I only care about the long term, and thinking of adding to position down here. My only concern is the possibilities of either a dividend cut, or worse bankruptcy. I know you have no crystal ball, and are bullish long term, and respect your knowledge in the industry. Are my concerns reasonably valid?
Anything can happen. Nobody's crystal ball is perfect, but I don't think the dividend will be reduced. Quite the contrary. I'm not as sure that the dividend will increase (although that guidance remains), but I remain optimistic for that too. The next two quarters are the key. Nothing stops the official book value from rising at the end of 1Q. The question is whether they'll have other good news. I suspect they will.
I wonder what ever happened to the company's $75 million dollar share repurchase, approved in July 07, or the the ten million share repurchase for the DRIP and employee compensation program, seems that the company is waiting for four dollars a share to repurchase its shares...
I believe that's a 29.5% current yield based on .46 per Q or 1.84 per yr.I kept buying earlier in the week as it dropped ex div but naturally it got below me. Have accumulated 44,675 shares and actually had a profit in the beginning of the week on my average cost but now it's turned to a loss. Well, it's now the Davey Jones Industrial Average, thank you.
Trusted Fidelity, which is probably showing 4 quarters. Should have calculated myself. Its still a crazy yield to be shorting from. Somebody must be truly desperate to be spending the kind of shares that were spent to bring the price down today. I'm not worried about the long term, but I do worry about crazy traders, and we appear to have some.
Davis is right, for those of you with plenty of cash, now is a nice entry point. At worst this position will go to $5.50, so have some money on the sides if that should happen.
I have been trading RAS since the good old times of $8++, hehe... Back then life trading RAS was easy... Buy at $8 and sell at $9... I guess now is the same, just a couple of bucks lower, but now is the perfect time to build a core position, so buy at $6 and sell only 1/2 you position at $7. But try holding on to a core position because RAS will recover before year end and you will be glad you had that couple of thousands shares...
I bought a few hundred shares of RAS yesterday and today just to get my foor in the door. On Monday, I plan to load up the truck as I have a lot of cash coming available. I'm in this for the long haul, so I'm not as concerned if the prices dips more.