Could be right. Got a buck and change from the gain to play with if it drops. Thought the same thing about PRGN when it was at 5 and paying a divi. They dropped the divi and it's at .17. BDI still dropping no signs of a turn around, thought it would have at least leveled out by now. Weaker shippers are taking anything to keep their ships moving and dragging the stronger ones down with them. I would expect at some point for some to look for a buyer. That would be a opportunity for some cheap ships. No need for the strong to buy new. Just wait. It's going to happen. Newer ships have to command higher rates to meet expenses. Older ships can take less especially if they are paid for. We may see shippers with all the new ships take the biggest hit going forward as they will bleed the most with low rates. Doesn't make sense to me. I'm in at a big loss and not throwing good money after bad. Got my fingers crossed and hoping the bozo's running these shippers see something I don't, but I doubt it.
Just read thru them. Most interesting part was at the end when they fielded questions from the floor. They were not all the normal softball questions. DSX people were getting a little short and testy with their answers. It read to me as "hunker down things don't look much better on the horizon." Industry wide new ship builds down but still too high, coal, iron, grain shipping down, scrapping up but not nearly high enough, growth forecasts not that great, slowing or declining. Apparently the only thing not slowing is the rate at which they are increasing the size of their (DSX's) fleet. Some of the testy conversation at the end evolves around the soundness of that policy given the uncertainty in forecasts for a turn around in the industry. Hope their ships don't reach scrapping age by the time the industry starts to turn.
If these guys have a strategy for all the new build purchases amidst plummeting rates besides "hope" I'd like to know what it is. On an aside note DSXN senior bonds down 11.30% yesterday. I wonder what this is signaling?