Why hasn't stock made a bigger move up? Two reasons. I estimate .21eps of quarter's result is due to renewable energy credits, and these should mostly go away in calendar year 2014. Secondly, outside of gasoline, margins are down a bit. Still, I suspect there is a lot of profit taking.
You might want to listen to coswf's latest presentation. Replacement cost is much higher than book.
I looked at the latest proxy (2012). Using 30% tax rate, I calculate the top 5 execs cost eps.31, and the directors cost about eps.06. Price Waterhouse costs about eps.10, over half for auditing. Estimate for directors impact may be a bit overstated as it includes 68k of deferred compensation to the elder Jaffe. When I had looked at the 2009 proxy, top 5 exec made eps .26 vs. ODC eps for 2009 of $1.25. 2011 compensation was distorted by a large option award to Daniel Jaffe. Without it, I had gotten eps impact for top 5 in 2011 which was less than the eps impact in 2009. Company pays a sizable dividend as we all know, but if it were not family controlled, I imagine it might be a take over target.
Mid-point is only $1.10. Extra commodity costs of 2% (expecting rise for year of 2%, but 4% in 1st qtr) I calculate to be worth .08eps, but expect to save .17eps in interest. Looking at Yahoo, we may expect actual eps to exceed mid-point, as actual has exceeded analyst projections 4 quarters in a row and for quarters I have recorded (2nd and 3rd fy 2013), analyst expectations exceeded company mid-point by .01eps each quarter.
Conference call gave a nice breakdown of all the one-time costs depressing 1st quarter expected results - in the detail that press release lacked.
I have not been following DRI very much, but hasn't Long Horn been doing well? I went to Red Lobster once this year, and their salmon was overpriced, small, and not particularly distinctive. They just use a lot of salt. I see Madsen is gone - perhaps it should have been Otis. Kind of like the GM firing the manager.
How about a link to insider trading data which I assume has to be reported in Canada just as in the US? Would boost credibility and be very helpful.
Steve, good analysis. My impression is that there are a lot of smaller day traders out there. I still think most of use are being messed up by traders who can buy/sell at fractions of a cent and whose bids are not shown until executed.
Tangible book is almost equal to market cap. Total book exceeds market value. Are they buying any companies where they have an interest in the seller? I seem to recall that was true in one of their first purchases.
I don't know. When companies buy earnings, they typically overpay. A strategic purchase can work out if Stryker credibility results in sharply increasing sales for Mako robots.
I would have been surprised if they had said something. Companies tend not to react to stock prices. They may sometimes react to rumors if the rumors seem to be believed. Incidentally, did you check SEC filings or Google if you are concerned? (no SEC filings, I checked).
From 2012 10-k, wherein Steel Partners had a larger stake in seller than in SXCL:
On May 31, 2012, we completed our acquisition of SWH, Inc. (“SWH”), the parent company of Sun Well Service, Inc. (“Sun Well”) and a subsidiary of BNS Holding, Inc. (“BNS”). Sun Well is a provider of premium well services to oil and gas exploration and production companies operating in the Williston Basin of North Dakota and Montana.
Pursuant to the terms of the Share Purchase Agreement, we acquired all of the capital stock of SWH for an acquisition price aggregating $68.7 million. The aggregate acquisition price consisted of the issuance of 2,027,500 shares of our common stock (valued at $30 per share) and cash of $7.9 million. Affiliates of Steel Partners Holdings L.P. (“Steel Partners”) owned approximately 40% of our outstanding common stock and 85% of BNS prior to the execution of the Share Purchase Agreement.
As a result of the acquisition and additional shares acquired on the open market, Steel Partners beneficially owned approximately 51.1% of our outstanding common stock. Both BNS and we appointed a special committee of independent directors to consider and negotiate the transaction because of the ownership interest held by Steel Partners in each company.
I am not overly concerned, but while proxy provides policy on related party transactions, there is no statement that there were none that I could find. Usually there is such a statement, or the transactions are identified. I hope this is not a trend.
Are you asking what a related party transaction is? Usually, they are listed, or a statement is made in the proxy that there were no related party transactions. I sure hope as investors you know what such a transaction is, and that you check things like exec compensation, director compensation, and major holders in the proxy. Is there a staggered board? 2 classes of stock? also relevant questions.
Thanks, bottoms. I probably should have been more polite,but I wondered why b-frank didn't simply look up "related party" on google, say in investopedia. I tend not to worry about proxy filings in larger companies so long as they are not family controlled. Of course, I always wonder what directors in larger companies do to earn their large payments. I also prefer companies where chief exec doesn't earn like 5 times what the next exec highest paid earns.