I know they are hurting but Lincoln is trading like it is going bankrupt. If it is not going bankrupt then it is the deal of the century.
That was a great answer ! I really appreciate an intelligent and thoughtful answer. You would think at these prices one of the companies that uses Lincoln such as Audi would just buy them out for pennies on the dollar. I also remember them saying something about government contracts during the conference call. I believe it was a vague reference but nonetheless there are certain positive elements to Lincoln.
Lincoln doesn't have a horrible amount of debt compared to their assets and revenue stream. Some parts of the business are somewhat successful and profitable. I don't understand why some other company wouldn't be interested in Lincoln's automotive sector at the very least and would be well worth more than the stock is selling for now. Am I missing something ?
But the dragster is the only thing worth money right now ! They could get a couple hundred thousand for em ....
I agree that I-Robot looks like the steal of the century. I believe investors are penalizing I-Robot because almost 90% of their income comes from the Roomba Vacuum Cleaner. Until another one of their products become profitable the share price may remain low. My advice is to keep buying while you still have the chance ....
That's idiotic. NBR wants it's 63 million shares to be worthless. I don't think so ....
Don't forget that Nabors now owns the majority of CJES shares. That makes bankruptcy even less likely.
I don't think we will know for another couple years. CJES is dropping because of the collapse of oil prices not because of the merger. I have been impressed with management to date so I imagine they know what they are doing.
I'm smart. I don't see how the fraud allegations change anything we didn't already know. They either hid details on purpose or %^&$ up royally,
Every amazing company has it's hiccups. Panera hasn't even started. It will be a 50 Billion Market Cap in ten years.
I think it is largely based on the fact that CJ forecasted struggles ahead. Most investors have short term horizons and aren't willing to wait a year for a business to turn around. If you are a person who is intelligent and has patience you will be paid off handsomely in a two to three year time frame.
One thing that drives me crazy is people inferring value based on the stock price. The current market price is based mainly on fear, greed and psychology not on reality or the true worth of a company.
It's kind of difficult to wrap the head around who benefits from the reduction in cash because Nabors is going to be CJ's largest shareholder. I do know the reduction in cash and stock price is a win win for people buying the stock at today's prices. So that in theory should make it a win for Nabors as well
I'm glad to hear that they are still planning on going ahead with the deal. It's a win win for both companies because CJ is so much more efficient than Nabors when it comes to drilling and services. It looks like CJ is going to save over a billion dollars from the original offer which is great ! Long term this is an amazing once in a lifetime opportunity to buy a great growth company at a fire sale price.
I would imagine the transaction could be in jeopardy if C&J cannot secure funding for the cash part of the transaction.
I wish I could answer your question. My brain turns to sill putty when I read 8-K forms. I can't understand them to save my life. Hope someone who has knowledge can answer your question soon !