Your comment is posted on SA and has 21 recommendations.
Coal is only "dead" for the moment. There is a hostile EPA trying to force utilities to generate electricity from wind and solar (Clean Power Act). Natural gas, which competes with coal, is priced at only $2.10 MMBtu. We have had a (mild) El Nino winter, and non-economic oil and gas drilling. All these influences are temporary. Just imagine what might happen to coal if there were a change in the EPA after the November elections.
OK. I apologize to you, also. I actually own quite a bit of CSX, which is down quite significantly from my purchase price. So I'm just as unhappy as you are.
Maybe they'll raise the bid for Norfolk Southern. That would cheer up CSX shareholders. Railway Age says that if Class 1 RR's begin to merge with each other, Union Pacific would be the natural partner for CSX, and BNSF for CNI..
From the CP home page:
"Mr. E. Hunter Harrison, Canadian Pacific (TSX: CP) (NYSE: CP) Chief Executive Officer, members of the senior management team and CP shareholder, Mr. Bill Ackman of Pershing Square Capital Management will address the investment community on Tuesday, December 8 at 9 a.m. eastern standard time."
Odd indeed. Suppose AGN is the acquirer, to get around the Treasury rules. Will PFE be purchased at a "premium"?
The Rule 106-18 you have posted has nothing to do with Trinity, which is a large market cap stock at $4 billion, with a large public float and daily trading volume.. The Rule does not speak to the issue of after-hours trades. I'm not sure why you keep posting Rule 106-18, since it seems irrelevant for this equity.
182,900 shares @$25.12 =$4.6 million. Trade can be viewed on NASDAQ web site. Represents about 9% of an average day's trading volume for Trinity. I assume this is the company buying back own shares, in an arrangement with the specialist which makes huge block possible.
For comparison, there were only 3,000 shares of Greenbrier trading a/h.
In Q3 Trinity repurchased 1.5 million shares, or 1% of shares outstanding, for $40 million, or $25.7/share. They are probably going to be buyers at today's price of $26. They can juice their earnings per share by repurchasing at today's low P/E ratio.
Threshold event was Am Railcar announcement they had repurchased 1.5 million shares of stock in Q# and Q4. Short position was 2.4 million shares, and float is only 8 million shares, because Icahn holds huge stake. Major short squeeze at ARII. Could happen at any of the major railcar manufacturers, if management desires, because shares are cheap, low P/E ratio.
CSX repurchased 9 million shares at $29.1 each average price during Q3. I think we can assume they will repurchase shares at today's price of $26.81, which provides investors with a margin of safety.
Large after hours trade on an uptick:
16:44 $ 27.397 High 31,335
Whoever bought Trinity afterhours 31,335 shares @$27.39 paid a 1.4% premium to the closing price. Trinity has daily trading volume of $75 million, and a float of at least $500 million, so it is not unduly restrained by Rule 10b-18.
VDOT: no crash test results yet on ET-Plus, AG says guardrail “failed miserably"
Article says pickup truck flipped over on impact. Links to court filing. This is the truck VDOT made top-heavy by removing muffler, spare tie, etc. Official results unpublished, but AG "knows" result was failure.
TRN buyback is presently at a rate of 5% of shares outstanding per year. Compare this with the widely acclaimed Google buyback, of $5.1 billion, or 1% of shares, over an unknown time period. TRN buback is much more aggressive.
It appears they repurchased 8.7 million shares out of 159.6 million over 12 months, or 5.4%, which is a big repurchase program compared with most others. But they only spent $107.5 million this year on repurchases, versus $640 million on their leasing operation--5400 cars at $114K each. And they paid down long-term debt, more than $200 million. They must feel that the lease fleet generates a higher ROI compared with share repurchase at 5.4x EPS, which is difficult for me to imagine. One would think they could stop paying down the LT debt and use the funds for repurchase.