We know q3 is gonna be bad. Management said so. There is the possibility of a dividend cut. However, NAT is down 18% in the last month so I think that the dividend cut is factored in. Be careful though
You guys bring up some great points about China, the technicals, and the new credit line. Makes me want to buy. However, with the credit line, they did reduce it from $500 million (at least based on what I read). Still doesn't make me shy away from the stock.
NAT may go lower but you can thank Wall Street. Once a company does the initial offering on its stock (IPO), it really does not concern them as to their share price. An exception to that is if the company needs to sell more shares to pay bills or make purchases. NAT is rock solid with a newly obtaining $430 MILLION dollar credit line. Bad publicity from people like Jim Cramer and Motley Fool hurts the stock price with short range predictions. Lets face it Wall Street is "crooked"
"NAT is rock solid with a newly obtaining $430 MILLION dollar credit line."
It was $500 million of which they drew $250 million to pay off the old line. Investors in NAT have been told for YEARS how it is THE LOW DEBT COMPANY and now you want him to run up that line of credit? WHY? Tankers will be cheaper next year and rates will be lower as well, on average, for Suezmaxes.
This is the best of all the tankers. We are on the bottom and with china report doing better, this stock should see a turn.. HIGH VOLUME in this stock will signal the turn. Good luck
Ive been watching the tanker stocks for two years, I think one could start to scale in slowly at these levels. My thesis is based on china, I think they have bottomed. Look at VCCLF by the charts it at a bottomed and building a base.
I still think NAT will go lower. On big chart, the low is 7.50, but I do not think it will go down that far. However, I have been wrong before. You are right, the possibility of a dividend cut is factored in, but if NAT does not cut this time, it will keep stock down. I do not think they will cut out ALL of the dividend. Earnings Nov. 15 ....