Every stock market move fluteman makes is wrong. A guy could make a lot of money taking the exact opposite position of the fluteman. I have been partcipating on Yahoo message boards for about 15 years, and fluteman is the worst stock picker I have ever seen, which is remarkable.
In general terms, fluteman's specialty is buying high and selling low.
After a buyout offer was announced, and the stock price shot up 30%, fluteman_greg bought some DELL shares. He spent a month on the DELL board trying to pump the stock , but the stock went down . Finally, fluteman threw in the towel and took his losses.
About the same time filuteman saw on cnbc that Ichan liked Herbalifie, so flute bought some HLF shares and now posts here on this board. Just so you know, flute usually buys about $350 to $450 worth of a stock. His stop loss is usually 20%, which means he will takes losses of about $70. if flute gets lucky and his stock appreciates, he makes about $20 to $30. Every now and then greg's family gives him $100 so he can continue to play make believe 'big shot investor" on the internet all day long. It's a sad story.
Dell's Board of Director's is good ol boys (and girls) hand picked by Michael Dell. If you think Dell's BOD is going to do anything other than what Mike Dell wants, then you must still believe in the tooth fairy, too.
Hope this helps.
In other words, you had 1,000 shares, sold them for a loss, and are now making up a story about "shorting".
As I posted here yesterday, there are lawsuits for every single merger or acquisition of a public company. For a large deal like DELL there will be more than a dozen lawsuits.
The reason for the suits has nothing to do with acquisition price. Instead, through litigation law firms will be allowed to do a discovery process. The lawyers are after settlement fees, which are paid by
the insurance companies representing the involved company's. in a deal like this a dozen law firms will share about $2 million worth of settlement fees.
Actually, Dell, silverlake, Microsoft, banks etc.... want the lawsuits because it gives the LBO credibility and protects it from future litigation.
This management outfit made the mistake of getting too deep in Dell shares, at too high share prices, and now is looking at a loss. That's their problem.
It's not Mike Dell's job to ensure that Southeasterrn (or any other investor) makes a profit from buying Dell shares. Mike Dell's job is to manage Dell's business operations, which as evidenced by DELL's revenues and profits , he does very well.
By making public their dissatisfaction with the $13.65 buyout price all Southeastern is doing is drawing attention to themselves as an incompetent money management company. I expect that due to this revelation Southeastern will lose some its current and potential future investor clients. To have a loss is one thing, but to make matters worse by publicizing it is stupid.
"Revised deal" might be for less than the $13.65 previously offered. Evercore has been shopping Dell . The major buyout firms, including KKR, after doing some due dilligence decided not to make an offer.
$13.65 per share, $24 billion, is a premium price. Mike Dell and his LBO team don't have to offer so much and may lower their offer to $12.50.
Sure Southeastern and T. Rowe Price paid too much for the Dell shares they own, but that's their problem. both those company's should hire some new money managers who won't over pay for stocks .Hope this helps.
Keep telling yourself that crap about "trading sideways for awhile".
Wall Street could rally 20% in a single day or two at any time.
Oil could spike $10 per barrel at any time. COP stock price could easily jump 30% in a a couple of days trading time etc... etc... and you will be there holding your johnson in your hands having missed the boat.
As the news of the buyout became public I was on here day after day warning you, fluteman_greg, CTG and others who bought in too late, and paid too high a price, for your DELL shares.
Considering DELL's business operations, $13.65 is a very high premium valuation offer.
Hope this helps.
What's wrtong with Wednesday?
Or the week after ??
Or Dell staying public and getting itself an $18 stock price again ???
It's all good for Dell, the company has a nice profitable business.
Your brokerage account probably has $1,700. But on the internet anybody with access to a computer can pretend to be a big shot, so have fun,
fluteman is well known as the biggest fool on the Yahoo message boards.
Once in awhile is capable of borrowing $500 from his family and buying a few shares of this or that. Usually the stock he buys goes down 20% and he ends up selling for a $100 loss. fluteman moves from board to board pretending to be a big shot investor. It is pathetic behavior, really.
Hope this helps.
There will be more than a dozen law firms filing suits. They are after discovery fees paid for by insurance company's. Dell, Silverlake, Microsoft and the banks welcome the lawsuits because it gives the deal credibility and protects those involved from future litigation. I expect when it is over a dozen or so law firms will share about $2 million in setllement fees paid by insurance companies.
fluteman you are in way over your head here. If you are married have the wife manage the money.If not, have a trusted family member pick some mutual funds for you. Stock picking or understanding business matters is not your thing, and there is no shame in that. Find something you do well and stick to that.Hope this helps.
Not long ago this board suffered from posts by guys like fluteman and CTG. Shameless pumpers who bought their DELL shares too late, then cried here when they lost money as DELL share price stalled.
This board was littered with fools claiming DEll was "worth $15 or even $20 plus per share". These same yahoos proclaimed "I am not selling my shares for less then $18" or "don't let Michael Dell steal your shares".
Now, as expected, the hype has died down, the amateurs posting here have taken their losses and moved on, and the reasonable investor recognizes that the current $13.65 is a very generous, premium price offer.
Hope this helps.
Mike Dell's $13.65 icash offer s a very generous, premium valuation.
As the weeks pass by the reality of the situation becomes clear. that is, Dell is a struggling company trying to transform its business lines to higher margin, potential growth generating products and services. There is no guarantee the future initiatives will be succesful, so Mike dell and his LBO team are taking a significant risk
by paying a premium to privatize the company.
There are several institutional stockholders such as Southeastern Asset Management, who paid too much for their DELL shares, and owned them too many years. this has nothing to do with Dell's business operations , but it does reveal the ineptiitude of Southeastern's money managers. T Rowe Price is another DELL shareowner which paid too much and have no one to blame but their own money managers.
The recent speculators, such as carl ichan and a bunch of amateur stock buyers, took a risk overpaying for their shares, but Dell is not responsible for their reckless, cavalier buying habits.
When all the ridiulous hype and posturing recedes, and the dust settles, serious DELL investors will vote to decide whether to approve the 413.65 offer, or take their chances with DELL remaining a public company.
Hope this helps.
According to some people here, and disgruntled insitituitional stockholders like Southeastern and T. Rowe Price, , Dell stock is worth $16, $20, even $24 per share.
If Dell is worth so much, why have no buyout offers emerged higher than the current $13.65 offer?
Your component valuations are unrealistically high.
In the shoe industry it is not unusual for close out inventory to be sold for .50 cents per landed cost dollar. For example, if Crocs owns inventory for which they paid $140 million, then they might be fortunate to get $70 million for that inventory.
Given the nature of Crox brand styling and seasonality, could be more like .20 cents on the dollar, or about $30 million.
Regarding Accounts receivable, those are tough to collect for a vendor that has fallen out of favor. Some retailers may choose to return goods rather than pay invoices. If CROX has current AR of $71 million I would expect they will get about $50 million of that, tops.
Nike, Deckers,K-Swiss, or some other established industry vendor might pay $20 million for the Crocs brand name from a bankruptcy court, but that figure could be too high if Crox brand name image gets tarnished too much during any forthcoming inventory liquidation sales.
No one else is matching Mike Dell's current $13.65 offer but he should increase it to $14.75 because you paid $14 for your shares and you believe you deserve to make a profit here ? Get real.
Hope this helps.
If Southeastern thinks DELL is worth $24 dollars why doesn't Southeastern get some lending partners together and make an offer to buy the company for $24, or $20, or $16 per share?
The deal is wide open right now for anyone to come in and make an offer higher than $13.65.
Oh, that's right, talk is cheap and there will be no offer from Southeastern. Money talks, #$%$ walks.