the 8k they released is interesting - i wonder if this is a clue that the old man is about to give up the ceo role.
i spoke with the company regarding the 10k language. it's not ideal but my read is that the brazil DOJ asked the US DOJ to get info. the copany doesn't know how long it's been sitting on the desk of the DOJ.
my sense it's all related to the other matter in brazil. but they can't confirm or deny that specific fact.
after spending some time it's clear that management does not want to sell the company especially at 29. it's not clear that they want to sell at all - but a good price they will have to think hard about. The buyer does not feel like they need or want to pay up - so we very well might be in a stale-mate.
pretty solid results in my view. don't think currency plays a big impact but perhaps it hurts business a bit. the valuation gap with peers is almost as great today as a from over a year ago i think - and we are one year closer to hopefully more rational capital management.
dsouth -those are valid questions but i don't think you would have gotten the opportunity if it wasn't for the fact that the company is shareholder unfriendly.
the stock was absurdly cheap even after accounting for the poor management (on the shareholder perspective).
the stock is still cheap - given the management control it should still be worth about. 75x book value. that's basically saying - management is so bad in provding returns that i want to pay below book value.
i think one of the tradeoffs you have to accept in this stock is the random bouts of up and down moves in the stock. you can let it bother you or just deal with it and buy it when it hits your buy points. i actually welcome the moves now as it allows me to buy more.