exactly. I do not think gibbersnacks gets it. In BK...the order of claiming any assets or cash is bond holders (debt) first, then stock holders. The common is dead last and almost always gets completely wiped out. Hence the stock price decline of over 99%. At least now we know the answer to: who are the people buying those shares on the way to zero and why?
Those loans at 10-11% were an extension....just till met coal went back up to $200. Of course it has gone down even further. So.....why not tell Walter...."hey guys, do not worry about the principle for awhile....lets extend the term. By the way, those are some pretty nice bonuses you pay yourselves. Are those for doing such a good job? No.....I will take the company assets....sell them later.
Sorry gippersnacks....but you do not know how long the met coal market will stay down here. Even China is cutting back on steel production and they are the biggest player by far. This is all new.....in human history, never has such a large percent of the population go from third world to first world so fast. China is 5 times bigger than the US and they grew twice as fast as we did after WWII. That huge demand seems to be over. So until a lot of the supply goes away.....well, you get the point. Can WLT hand with the likes of BHP, RIO, and VALE? Not even close. Hence the stock price decline.
I will take that bet. Anything you want. No chance. None. How about this.....whomever loses never posts here again?
not sure how much is this or something else regarding amrn. Obviously the sector is not moving up 20% a day like this stock.....but they are talking about it now on CNBC. Very interesting. I do not think I have ever owned a stock going up this fast. Crazy. I only got in (below a buck) because of a favor to a relative that works their. Then again at $1.20......which I thought I overpaid for.
Marked. Thanks for all the technical data and logic behind the 7 fold increase in price....."soon". Must have taken you quite awhile to come up with all that. I like the all CAPS and bold text followed by the ! That really adds meaning to your incredible well thought out post.
Waaahahahahaha Oooohhh. Whew!
I pulled up an older post between him and bigmonkey. It shows monkey man was the long and soren was bashing. Then it reversed. I put them both on ignore. They post way too much and offer no actual data or facts. Just typing #$%$ on the screen over and over. The whole met coal industry is in trouble. They all geared up for a huge china demand and then china demand went down. As more and more mines close things will eventually level out. But right now the price of met coal....all that matters....is still dropping and is expected to go all the way down to the $40s. Oil dropping, other metals dropping, almost all commodities dropping. At some point this will turn around and when it does, then one of the big boys (VALE, RIO, BHP) will be a good buy.
4 shares instead of coffee? Where do you get such cheap coffee? It cost me almost $5 for a Vanilla Latte at Starbucks this morning....actually an even $5 as I left the change for the smoking hot girl serving it. I could get 12 shares of WLT.....if I was dumb enough to throw away $5. I would rather buy a cup of Joe.
you need to go to those boards and read what they are saying about met coal. They are selling, not buying. No one is buying. china demand is way way down. Game over. Way way too much supply. Huge new supplies all over the world. Price has dropped by half. Its friggin over. Do not be the fools with their heads in the sand. Sell quickly.
who do you think has been selling driving down the price? They wanted some of their principle back. They raped walter for 8.5% for awhile.....and wish to move on. They probably recovered over 10 cents on the dollar on that deal.....and 8.5% for the last 5 years was nice. Either way, you have to bite the bullet and take a loss....otherwise you lose it all. Smart move. Walter management does not care as they do not own any significant shares. Think about that. Even the people running walter do not own walter.
They can raise cash from debt at record low rates.....assets are temporarily cheap...very cheap, thanks to some companies getting in over their heads. People will not stop using energy. Not stop flying or shipping or driving, etc....
Come on chevron, you guys know this. As my boss used to say when I worked there.....do not let the bean counters win! Do not listen to the accountants! Go on a shopping spree, especially here in US.
what they are saying to you bet012good....is that is not the case. Book value is $0. No one would buy those assets for any price. They burn up all that cash in lawyers and bonuses for execs. and some compensations for those laid off. Plus you are using old data. Just pull up an annual price curve for met coal. Get out of the way.
By the way, if they really had all that cash, would they not go out and buy up most of the shares right now? How much would it take to buy most of the float? do the math.
not much news or discussion on news. Why is it popping? Baker bros.? And their followers? This sector? The China deal? Insider info. that the FDA is going to do something positive? If anyone would have insider info. it would be the baker boys. The China deal? Or is something else out there? Is it the start of a whole new host of drugs for treatment of high LDL....high triglycerides?
I don't need advice of when to jump ship or buy or where you think technical resistance is. No one does My guess is there has been a shift away from just looking at cholesterol levels. A couple years ago when my brother came back from the Le Tour de France....(he is one of those skinny bike riders), he went to the doctor and they determined his total cholesterol level at 424. The doctor told him to exercise more and take a statin. He asked her to slow down, look at him, and then told her he just got back from riding 2,300 miles over the last month. She changed her diagnosis. Point is, how we look at cholesterol is evolving. First total, then LDL, now triglycerides. Amrn is poised....in the right place at the right time. Just my semi-educated opinion. And for the record, I am not selling and I do not care if you guys are or not.
That percent held by mutual funds and institutions changes everyday. Think about it. What is average volume of shares traded each day? That is how many shares are available or "for sale" each day. Divide that into about 3.5 million....which is about how many shares regi is going to take out of the float.
And of course, this creates demand on the shares and that usually results in an increase in price. Not like my drug company stock...AMRN......but demand never the less. AMRN is moving up rapidly after doing a dilution. Explain that one. Crazy wallstreet.
They say the biggest mistake is selling too early. Have made that mistake myself in the past. Not here, not now. Never get out of a stock moving straight up. No one can guess the top...or the bottom. The trend is your friend and that trend is up. There is no resistance on this. None at all. Think of a stock like AMGN. What would have happened to all those who sold at $2 and change? Pull up the max graph on that stock and you will see what I mean.
maybe worst than that. Might be a generation. we are in unchartered waters. china has never done this. The big commodity companies have never been through this. If you pull up the max graph of all 3 of the big boys (VALE, BHP, RIO) and compare with the DOW, you will see about a 13-year chart where all 3 have way...way out performed the DOW....until the last 3 years and now they are all coming back to earth and meeting together. That whole bull market was created by China....and destroyed by China. May not be a bottom here. May be bankruptcy to get out from under all that debt and start over. Who knows.
you wouldn't want to share your "preferred price" would you? So I can get out one penny less....right before you do? To repeat what enouffofhtis says below......stellar commentary. Thanks for that well written piece brenters86. Good stuff.
I meant this info. jtann.....but that's OK
Dr. Felix J. Baker, Ph.D., serves as Managing Partner of Baker Brothers Investments and Baker-Tisch Investments. He co-founded Baker Brothers Investments in 2000. Dr. Baker serves as a Managing Member of Baker Bros. Advisors, L.L.C. and Baker/Tisch Advisors. He co-founded a biotechnology investing partnership, which the Bakers have managed since 1994. They have partnered with major university and other endowments to form a family of healthcare investment funds known as Baker Brothers Investments. Dr. Baker is also employed at Tisch Family Fund. He has managed healthcare investments for the Tisch family since 1994 as well as other investment partnerships focused on the life sciences industry. He serves as the Chairman of Synageva BioPharma Corp. He has been Chairman and Director of Private Synageva since 2003 and October 2000 respectively. He has been a Director of Synageva BioPharma Corp. since April 2004 and Genomic Health Inc. since July 2012. He has been a Director of Ardea Biosciences, Inc. since February 2010. Dr. Baker has been a Director of Seattle Genetics Inc. since July 2003 and its Lead Independent Director since February 2005. He served as a Director at Neurogen Corp. since May 1999. He served as a Director of Trimeris Inc. since April 2004, ConjuChem Biotechnologies, Inc. (formerly, ConjuChem Inc.) from 2001 to February 2010, Anormed Inc., since April 2004, Aquinox Pharmaceuticals, Inc. and Presidio Pharmaceuticals, Inc. since August 29, 2007, and Cellegy Pharmaceuticals Inc. Dr. Baker holds a B.S. in Biology with Honors and a Ph.D. in Immunology from Stanford University and also completed two years of medical school.
and it cost more to mine than they will get for it and it cost money to store it......and their interest on that 2.3 billion of debt is between 9 and 11%....credit card rates. They have some of the highest production costs in the world. That was all fine before the bottom fell out of the met coal market.
so much cash? Do not believe what you see here on yahoo. There is a very good reason why this stock has fallen so much. Do you think all the millions of shares sold today were by people who did not look things up or do not know as much as you about WLT? Really? Well feel free to buy away...and best of luck to you laddie. Cannot have a trade with a buyer to go with all those sellers.