Geez, you guys are really getting melodramatic. It's only down .87% on a day when almost everything is selling! If it drop to say, $6, THAT would be more like a disaster.
This is probably more about the DOW & S&P making recent new highs. Of course, ARCP is acting a bit like a weak sister these days, so it get's bullied more than O when the markets go south.
From what I've read about the most recent resignation, it almost sounds like a case of "if you can't join them, beat them"!
That's kind of what I was thinking too. I've generally liked what Brad has written but after reading this last one, I'm wondering if he's getting a little too close to the subject matter to remain objective.
Oh, and I have to add: if you're at all familiar with how exploration companies search for and find Natgas and Crude, it's really much closer to a sure thing than you'd ever think. They don't drill unless they get the right seismic feedback and a drill head can literally be placed into a spot about the size of a coffee can, FYI.
He was pretty staunch in his defense of Nick and ARCP. If you go read it, be sure and read the comments as well; there are a lot of good things to ponder from various investors both pro and con.
I believe we were talking about loose cannon CEO's and their eventual effects on their company, NOT Energy vs R.E.
As for the "sure thing", There really is no such thing, in spite of the amount of Kool Aid you drink.
Smacks to me of a mgmt. that knows they need to respond, but really don't have an answer. Makes you wonder about how much and how carefully they think things through, doesn't it?
Yeah I just read that too; An answer that says nothing. It would be nice to get something of substance that speaks positively to shareholders, but after the compensation thing and the share offering, I'm just a bit of a skeptic.
I hope you're right and we all just misunderstand him!
Still, I can't help but think about Aubrey McClendon and Chesapeake Energy. He was arguably a genius when the co was in the build phase, but eventually he started drawing way too much out of the company to the shareholders detriment. It took a hell of a long time and Carl Icahn to "convince" him to leave. Hope we don't have to experience that with Nick!
This letter isn't too surprising, given the nature of REIT's as investments and the recent actions of ARCP.
As for upward pressure on the stock; I'd say just the opposite. The questions raised by the letter are of the competence of the CEO. There's absolutely nothing bullish about that unless the response from Nick and ARCP are appropriate. I'm sure we'll all be hearing more.
Careful, you MAY just be right! By many estimates from mental health pro's, 10% of the population are sociopaths. Looking back at my career in the corporate world and people I met over the years in higher positions , it's amazing how many of them make it into positions of power.
I'm not so sure; the vote and the Red Lobster deal have served to put the light of day on Nick Schorsch. He's generating a LOT of press and it's not all so good.
Also, with the recent letter received from a large CA money mgmt. firm that owns over 2% of the shares, to cease and desist with acquisitions for at least two quarters to clean up the reported numbers for clarity's sake, Nick is inviting a shareholder revolt and possibly the attention of activist investors that may want him out.
Exactly! ARCP and Golden Gate now have a strong working bond. I'd expect to see more deals fro some of the other retailers Golden Gate holds. This could get a lot better for ARCP.