Bad ER and low volume. Maybe there aren't any shares left? Have you seen the put selling on this and the new unknown investor? And the little squeeze last about 50 days ago?
In case you are wondering why? How high is the electricity bill of a multi billion dollar oil and producing company on a yearly base? If you find that out with a margin of let's say... 100%, compare the marketcap of ERII with that.
If I would lead a multi billion dollar Oil and Gas producing company, I would do my due dilligence on the ERII devices and consider a large stake in the company.
If I would lead a multi billion dollar environmental company, I would do my due dilligence on the ERII devices and consider buying them out.
Or none of those, CC tomorrow when no guidance is given today in the PR.
The replacement of the CFO might result in a new way of speaking at the CC; If they want to create shareholder value, they have to beat (which I don't think they will) or they will have to guide a lot better. Team 360 has had 2 quarters to come up with some results, and honestly, from the $100M request for product after Q1, at least some signs have to be visible in the balance sheet (Revenue, Invetory rise,...). I mean, how long does it take from advertising your product, over request for product, to resulting in sales and showing that in the books?
The CFO departure IMO is a forced departure: the BOD and former directors are large shareholders and they to are looking at their holdings.
New product announcements will be positive, as will be orders (instead of product requests).
I'm convinced we need some short interest to get a sustainable move up in SP: consolidation at higher prices is necessary, short interest sure helps that!
discl: long through AUG $5 calls and NOV and FEB $7.5 calls (i.e. 1 and 2 CC away).
Earnings might be bad, but I'll be looking for guidance, inventory rise, volume of signed contracts, new product announcements.
Technical: RSI is rising, Macd is making a bullish cross and MFI is turning North, Demand Index as well. Rebate rate stabilising in the 30's.
Does Blackrock's filing include all the shares from Blackrock and their affiliates, or does it only include the shares from Blackrock Inc.?
The first possibility would mean that they increased by 1M shares to 2.4M, from 1.4M shares; The second possibility, would mean they went from approx 123K to 2.4M...
I added the Feb $10 calls!
Sentiment: Strong Buy
ERII stated in their blog Nov 13 that their gas solutions in the Sinopec SongNan gas processing plant, reduced the total power consumption at the plant with 25%.
Sinopec stated in their Form 6-K April 30th that "the Company’s overall level of energy consumption per RMB10,000 of product value was 0.832 ton of standard coal, representing a decrease of 16.63% compared to 2012".
There is absolutely no accurate number on what ERII contributed in that when looking for $ in the form, but, we can conclude that (some) ERII solutions are better then the average decrease.
For 2014 there is in the form 6K: "The Group will continue to promote activities with the concept of “green and low carbon, save energy and reduce emissions” so as to maintain balance in its management of water and steam resources. It will continue to compile statistics on carbon emissions and engage in carbon trading as well as keep track power consumption statistics of its electrical equipment. "
If ERII doesn't deliver a PR or an SEC Filing with e.g. a credit facility to grow production, we just have to follow the O&G producers.
Rebate rate down at 65% by the way.
Your shares are yours to sell.
But: you would be ignoring the chart, the Acc/Di line, the demand index,... Why would you sell something that others want? Let them pay more!
By the way, you shouldn't bother the risk of a lower share price: that rate you do not call a story, is one big reason that your investment is safe (assuming you're not short)...
Rebate rates in this case are caused by the high short interest, the conference call making nobody wants to sell and the shortage of shares to short.
Unsustainable, because if you want to short to keep share price down, you will pay 61% during the time you hold tour short position. Of course you can cover once the rate drops, and short again, but for the time being, it's unsustainable for new short positions to be opened.