I think the market is just worried about dilution of this stock, which is driving down the price. Recall the loss avoidance theory: people generally dislike losing more than they like winning. It appears that we are at a crossroads where either dilution or a sale/JV must occur. I will likely purchase again just after dilution, if it occurs. Albeit by doing so I risk losing out on a purchase price that could be much higher than the current share price.
Anyone think the trading price of $25 or higher is a bit rich? I calculate a PE well over 32. 2015 Chemical Division earnings are listed in 10Q at $33M. Also, I noticed that WRK books $1B of goodwill on BS for Chemical Division, which is now Ingevity. Any thoughts?
Any thoughts on stock price forecast? Typically one should "sell the news" but there was no news!
Market cap of $133.55M, $2.18 share price, therefore 61,261,467 shares outstanding. Lower ranger of 2016 EBITDA estimate is $75M. Therefore, EPS forecasted is $1.22 and current PE based on expected earnings is under 2.0. What am I missing? Why isn't this stock trading much higher?
CAPP price is basically $3.48 per 1000 BTU. Powder River is $1.11 per 1000 BTU. Why the big difference, especially when sulfur content is lower for PR coal? I would think CLD (PR coal) is best positioned to thrive in a smaller coal market and should increase in share price. Any thoughts?