looks like the bulls were correct that something was happening. although i don't think 9mm is all that great for CC. but at least it stops the cash drain and then can get back to something else.
i was of the view that nick was looking for a strategic buyer a few years ago. i thought dr. pepper should have bought them or done a distribution deal. perhaps he could have gotten 27-28 at the time. glad he didn't sell.
they have done a wonderful job building this company. why not let them grow it and continue to expand la croix. you bring up monster - the stock was 50 cents in end of 2003 and then 2.00 end of 2004. split adjusted. this was while monster the beverage was rocking from 50mm to 100mm in sales. would you have liked them to sell MNST at 3.00 back then? and give up 50x gains.
do i think the stock is a bit overvalued here. yes. are they great management team - yes.
NIck's son has been working there for a while and is involved. At this point i would be suprised about a sale - he had plenty of chance before in the past 2 years. But who knows what he is thinking.
Give the son some time, my view is that he will create shareholder value. If not, go dig up some dirt on the father and expose him (if that's your gig). my only complaint with management is the lack of capital management. Heck even my USLM started buying back shares. that's all i ask - when the stock is cheap buy back shares instead of growing the book.
why do you want more liquidity? are you a day trader? you should want more dividends and/or capital return. liquidity is not a huge issue.
well, the son did take over the ceo role. that's a positive. it's sad but i think the father needs to pass before we see the son get more aggressive - but you never know. the father has got about 8-9 years to go. hopefully he is okay with the son being more aggressive on capital returns but i doubt it.
are you a day trader dsouth? look at the underlying performance of the company - that is okay in a tough environment. yes they should do more buybacks and provide a real dividend. i agree.
why don't you write a letter to the BOD to explain your issues with the company. and address it to the independent BOD members as they do still have a fiducary responsibilty to shareholders.
i have spoken to someone on the board and shared my thoughts. a letter is also a good idea to get the independent director to realize their responsbilities.
agree that they should be returning capital and that's the point people should make. it's much smarter (especially when the stock was at 150-200) to buy back shares than to write low margin business with a lower ROE. but the old man only knows about growth - but the son gets it.
i understand the argument that kcli is below book value and pays a dividend but it was like 17x earnings or something crazy like that. it's still not super cheap for a controlled dark company. but shareholders approved it so what do i know.
but you knew all of that when you bought NWLI - it's not like they have changed stuff on you. there is a reason it was so cheap - large shareholders grew fed up with NWLI management.
they aren't selling their shares. i doubt they check their share price more than 1x a day during the day.
however, your point is correct and the independent directors have to be accountable. it will be interesting to see how they handle the brazil issue and other stuff in regards to pay. this is one issue i have had with them in regards to legal issues.
you should write a letter to the BOD - and also try to gather good info.
DSouth - what would you like them to do in terms of improving liquidity? would a share split make you happy? i know they have at least discussed this in the past from my notes. I am not sure if that makes a difference to be honest.
this is tightly held and it doesn't trade that much.
by the way lots of insurers are cheap right now.