Company is firing on all (well, most) cylinders. Stock ran up before earnings, slight decline on the news. Board is dead. Possible negatives include hints in the PR of using balance sheet for acquisitions, and the 2015 expiration of the sweetheart methanol 10-year deal with Southern that CE has feasted on. Company indicates that its own new methanol facility should be in operation by late 2015.
Overall this stock is still cheap. I will hold onto my shares.
The important thing is not who Brazil plays but that Brazil loses, which (it seems) immediately leads to a hugejump in PBR. I suggest we arrange an amicable match Brazil-Canada in curling, and one with Australia in Aussie Rules Football.
You can't blame the specialist for all the gyrations. Shippers are volatile enough anyway, and when new capital is issued you get an extra dose for a while. As for today, there was an upgrade as well as delivery news. Stock is simply back to where it was July 2. Hold and prosper.
Don't bet there won't be a merger at some point in spite of what the CEO just said. French gov't is on record as wanting 3 not four operators in the country. The gov't owns a good chunk of Orange and will twist arms as needed. And DT lurks.
This stock probably has more potential upside than any gold junior barring future discoveries. Management has gotten religion about sensible operational planning but they are sitting on a potentially major asset. The big gold miners have been paring assets and at some point, maybe 2015, they will have to start acquiring or partnering on assets like this.
I'll drink to that. I'm still underwater in TNP this time (bought current shares above $9 some time ago) but it can shoot up when it wants to. I did very well the previous time I owned shares here.
The broker has to sign a deal with the French gov't to qualify for the lower 15% rate. I assume that several large brokers have done this. I have TDAm and I pay the 15% rate on ORAN and TOT, another French company with a big dividend. If the stock is in a taxable account it doesn't matter much since you can normally get a 100% credit on US tax for foreign tax paid. It's a bigger deal in an IRA since there's no recovery.
TOT has so many irons in the fire it's hard to calculate pros and cons. They are in Russia but they also supply Europe with oil & gas from elsewhere. US LNG export to Europe will happen eventually but it's a ways off (post-Obama).
This situation in France itself but also more widely in Europe has been building for a long time. There are too many carriers and their capex requirements are too high. It's also becoming clear that roaming across European borders needs to be streamlined. But don't think of ORAN as just France, most of their growth is elsewhere (they're big in a growing African market for example).
to simplify the math, suppose a company has 100 shares of present value $10/sh, total $1,000
company sells 20 new shares at 12% discount i.e. $8.80/sh, total intake $176.00
company is now worth $1,176.00 including the new cash, and there are 120 shares
each share is now worth $9.80
dilution is 2% to existing shareholders
TDAmeritrade takes 15%. I refrained from plugging them in my earlier message but since you ask… Brokers have to make an arrangement with the French authorities. I imagine the big full-service brokers all have such arrangements.
Get a broker who lets France take 15% instead of 30% dividend withholding, and hold this stock in a taxable account and use the foreign tax credit to recover the French tax. Upshot is you pay 15% tax as qualified dividend.
You are an idiot. The distribution is immediately subtracted from the share price. The stock goes up or down based on what the holdings do.
Back in today (8.83). Did pretty well last time, don't want to think about the time before that (hint: Indiplon).
Not expecting a buyout, but hoping for good news on VMAT2 at high dose.