The market cap right now is less than the value of the land and cash on hand that this company will have after they sell it. It will be interesting to see how they capitalize on that cash. The numbers for the remaining businesses seem a lot more sustainable. I'm in for the long haul.
A quote from the board:
"Following the transaction, we expect our balance sheet will be much stronger due to a lower debt burden and higher equity. We also expect to be able to liquidate the land assets in Maoming that could potentially provide as much as $30-40 million cash gain."
And the market cap is like 50m. Add the equity in the three additional businesses and growth factors, I see upside on this stock right now. At least we don't have to worry about deleting now, with the market cap being over $50m.
Any idea when the next earnings release is?
Take a look at the promo on vimeo that's on the market pulse. They seem to be support mobile shopping, rewards and payments, on top of mobile ads. How about that?
This is not the first time an acquisition has been suggested, but do you think it's more real now that the stock is so low? I wonder if any of the big players are showing interest in Broadsoft.
The new deal announced today is for 1.5M metric tonnes, which is *more* than the 1.2M metric tonnes output GSI had last quarter. Does this mean that it's going to double it's output?
That detail aside, I think this is a great development, and probably a result of its recent whitelisting by the Chinese government. Bodes well for the future.
Go GSI Go.
My sentiment on this has been to hold to give GSI a chance to work through it's (hopefully) temporary listing and new plant issues. Will find out tomorrow what the long term future will hold.
Yup, looking forward to it. Someone here asked if they should sell late last year (for capital loss), and I recommended they wait and see how this company rebounds. It's starting to happen, slowly but surely.
Even without the aquisition factor, broadsoft should go up just based on its average analyst price target.
Here's why I'm optimistic: (a) new factory that went live last quarter (b) back to back profitable quarters (c) accreditation by chinese government (d) stable economy driving steel prices up (hopefully). What else?
Read more: http://www.nasdaq.com/article/gerdau-posts-solid-q4-earnings-analyst-blog-cm329010#ixzz2vFYTKbn9
Gerdau currently has a market capitalization of $10.9 billion and carries a Zacks Rank #4 (Sell). Some better-ranked companies in the industry include AK Steel Holding Corporation ( AKS ), United States Steel Corp. ( X ) and General Steel Holdings, Inc. ( GSI ), all of which hold a Zacks Rank #2 (Buy).