Completely agree Objective. It now looks like pps appreciation has been pushed further out. Prior to this offering, I genuinely thought NCT's pps would be bumping up against the earlier highs for the year. Now I don't think so but as long as management invests wisely, we'll hit it next year-imo of course.
Wally--IMO nct will be a very good divy play going forward. The tougher question is will we see any significant share appreciation. IMO we will need VERY strong increases in cash flow/operating income when they report 3q results to get significant pps appreciation. Will also need the financial sector overall to rebound strongly.
Certainly possible imo, but not a slam dunk especially with the Euro mess.
If i be honest for me is the offering dissapointing.
It is the second one in this year and the second one since a lot years ago (if I believe G.Finance).
Now i am thinking to sell the stocks and to step in a large cap US-stock.
Lets see how tomorrow goes and then go further.
The stock-price had fallen a little bit in a stagnation level since march this year.
Wonder how far below market they will price the offering? ...happy about the dividend increase but this is really bad form IMO - a second large [highly dilutive]public offering in such a sort time...impacts potential capital appreciation... glad I waited and didn't increase my position.
doctor--I agree. Assuming the current turmoil in credit markets is not a factor in the offering, they must/better have some fantastic opportunities to justify this offering.
IMO they better announce a CDO buyback before 3q report to show they are adding shareholder value. Seems the only time Macquarie and Stifel analysts have commented on nct has been shortly before the offerings this year..what a surprise!
This time i sold a good percentage of my position after
the dividend announcement. I had to laugh when i read
the Stifel and Macquire guys do their little tap dance.
You just knew the capital raise was right around the corner.
I still believe this is a good turn-around Reit story and
am keeping my less position.The story all along is these
guys are short of cash to invest and need to significantly
dilute the existing sharelholders to become what they once
Well, one thing's for sure, if the raise is successful at 5$ or more, they will have plenty of money to pay the divy!
Just hope the market holds up and they get a decent price. may have to cancel the offering if market weakens.
I have understand from another person that for REITS issuing stocks is an important way to grow.
They should not increase the dividend if they felt that bad times are coming.
So the issuing will be because of growth motives.
THIS is how they grow their business. Sure it will take a downturn in the morning but gotta look to the future. They've already confirmed their business is getting stronger and they've announced a great dividend increase. Apparently they've ascertained some great investment opportunities and want to act. As long as the dividends keep coming I have no problem just sitting on my shares. Tomorrow will most likely be a great buying opportunity. Hmmmmmmmmmmmmm.