I still own a large number of ACAS shares and plan to vote AGAINST this. I suggest all true longs do the same!
I have all the HQCL stock I have purchased in a cash account. I consider all longs do the same if possible. Could see a nice pop on short covering.
The stock is falling back on incredibly low volume. If this touches $10 again, I will be backing up the truck. I already own a ton of stock in HQCL.
I do believe there will be more large investor interest in time. The company needs to simply better communicate the plan to pay down its debt. On the other hand, they have shown me more than other solars in terms of positioning themselves for future global business. In higher margin markets like the US, Japan, Korea, South America, Europe/UK, and even India, they have well developed partners in place who will continue to drive revenue growth for HQCL. A limited stock offering which increases the float and brings new institutional investors to this company would be welcome in my humble opinion.
Sentiment: Strong Buy
We should hear something this month on the Charter/Time Warner deal. Rovi will get a nice boost once this merger is approved.
The Charter/Time-Warner merger in particular is instant revenue.
Charter Communications Inc. (CHTR) is awaiting the regulatory approval for a mega merger with Time Warner Cable Inc. (TWC) and Bright House Network LLC in the cable MSO (multi service operator) space. Verizon Communications Inc. (VZ) recently acquired AOL Inc. and has further decided to takeover Millennial Media Inc. (MM) to diversify its business in mobile video content creation and online real-time targeted-advertising market. Firing on all cylinders, Verizon is also likely to launch its mobile video services soon.
Sentiment: Strong Buy
Everything Chinese is getting SOLD and shorted. It will be a long road back for holders of Chinese company stocks. There is little to no trust in these firms.
Personally I don't subscribe to everything he says, but I like what he said about the recent market sell-off.
Sometimes stocks go up when they should have gone down, and sometimes entire sectors move for ridiculous reasons.
"Never assume that just because something happened, it has to make sense because the market is always supposed to make sense. That's nonsense," Cramer added.
It is important to be able to look at some of the crazy moves and understand that the stock moves are just nuts. Because once you start cooking up connections where none exist-Cramer says that is where you are really in trouble, because you can make yourself believe just about anything.
So, what are some of the crazy catalysts that move stocks?
They are all reasons that have nothing to do with the underlying prospects of actual companies. When that happens, Cramer recommends taking advantage of that irrationality, not to buy into it by chasing stocks or panicking out of them.
"Remember, nobody ever made a dime panicking," the "Mad Money" host said.
For instance, sometimes the market is hit with a huge pullback and a lot of stocks go down even though it has nothing to do with fundamentals of the company. Hedge funds that are in trouble will start selling to raise money to pay back unhappy clients who are demanding money.
Or sometimes there is a red-hot deal, like a Facebook or Alibaba which is so massive that the mutual funds have to sell stocks in order to raise cash to get in on the deal. It's crazy, but mutual funds don't keep cash on hand to make these kinds of investments. That means they don't have enough cash to participate in these big deals unless they sell stocks they own.
But regular investors will see the selling and start to panic, dumping stocks in turn. Ultimately, this will trigger a selloff, and the media will try to cook up reasons all over the place to explain why otherwise stable stocks went south"
Hanwha Q Cells Co Ltd –ADR (NASDAQ: HQCL), formerly Hanwha SolarOne is a small-cap global solar energy company headquartered in South Korea. In a report issued Friday, Roth Capital analysts Philip Shen and Justin Clare initiated coverage on its stock with a Buy rating and $14 price target, noting this is an “underfollowed solar major.”
Supported by Hanwha Corporation, Hanwha Q Cells was formed, in early 2015, by the merger of two companies Hanwha Corp. had acquired: Solarfun (2010) and Q CELLS (2012).
“As a testament to the bankability of the combined entity, management recently inked the industry’s largest single module order with attractive terms (1.5GW, $449mn upfront payment),” the analysts add. Moreover, this underfollowed solar major is the key player in the portfolio of Hanwha-backed companies with solar exposure -- polysilicon, machinery, materials, EPC, life insurance.
The note goes on to explain the importance of Hanwha Corporation’s backing. With roughly $125 billion in assets and more than $35 billion in yearly sales, the company has the ability to make big investments. After hefty outlays in the solar sector, the conglomerate (with Hanwha Q Cells) “is expected to have the leading cell capacity in the world by YE'15 (4.3GW). Finally, with a $100bn balance sheet, we expect Hanwha Life to serve as a meaningful future solar asset owner,” the experts append.
I am fairly confident that they will show impressive revenues and earnings for the last quarter. Visibility will be important and will their focus on debt repayment. For what it is worth, I was a buyer this morning. Added a little and think I am safe doing so....don't know what next week holds but in the longer run, this is a good spot to buy
I agree that retail owners of this stock have shown little fortitude in the wake of the recent drop. All solars are getting hit and the sentiment for solar is bottoming in my opinion. So one could conclude, the only way to go is up from here. It does make some sense.
HQCL stock has an incredibly low float which is almost entirely owned by small time retail investors like you and I. To really jump start this stock, the company will 1) have to show some great numbers in the upcoming ER 2) show some strong optimism and vision regarding their business in upcoming quarters (unlike CSIQ and TSL) 3) reveal the company plan to control operational costs and pay down debt.
If they have positives in each of the above three categories, the stock will definitely accelerate. We need more buying institutions coming into HQCL stock, but IMHO they have been reluctant to do so without knowing the company plan for managing their debt going forward.
Personally, I think they will try to restructure much of the debt, and they have lenders (backed by Hanwha) who will step forward. I think they may announce a "limited stock offering" as well. I believe that Hanwha will sell some of the shares they are holding (right now close to 85% of outstanding shares) and couple this with some newly issued shares. This would not be the worst news because the float is so low right now anyway. Institutions typically like a larger float. The total number of outstanding shares does not have to increased to any great extent which again will ultimately lure more institutional investors.
It makes sense when you really think about it.
Like you, I hope we do get a pop in this thing soon! Good luck to all longs!
Thanks for taking a few minutes to reply. Your posts were always well thought out, and I miss you on the HQCL board.
Speaking of HQCL, I think that the company will need to address the subject of their overall debt before we see institutions buying into the stock with any enthusiasm. The sad part is that HQCL has positioned itself so well to do business in the United States, the UK, India, and Japan by way of the partnerships they have developed. Of all the solars, I still think they have planned very well for the future. I just hope the company is prepared to announce some steps to deal with their debt issue in that regard during the next ER CC. I think a "limited" new stock offering coupled with some debt restructuring will actually benefit the stock price over the next year or two. This appears to be the road they are on given the reverse split.
Anyway, I wish there was a way to stay in touch with you. Good Luck!
Good luck to you Hunsaker and to Doc and to all the others who were here and now gone. I am one of the last of the old longs left here. I never posted as much as you, and did respect all your thoughts and leveled thinking. You kept the exuberant in check and admonished the super-negative when necessary. Good luck to you in the future.
As to the debt Hanwha has, there is still the reall possibility of another stock offering to eliminate all debt,..................... but at the current price given the split and low float, it would dramatically lower the stock price which is not in the interest of Hanwha ownership. If they decide to do another offering, I am sure it would be very limited. Just the prosepect of this however is keeping buying institutions away right now.
It is in Hanwha's best interest that they work to restructure and then repay as much of this debt as possible immediately. They then have the means to financially support the rest of the debt utilizing various financial vehicles and lenders. Ultimately, I remain convinced longs will come out of this OK, but to your point it will take some time to see the light at the end of the tunnel.
I am in a good spot in that my cost basis is very low so I do have the luxury of being able to hold long.
Again, thanks for all your good work sheriff, and hope you strike it rich sometime somewhere!
According the release today, $6.5 million in revenue reflects break-even on cash flow. So to show themselves as a profitable self sustaining company, they will have to continuously meet or beat $6.5 million in revenue annually. It appears they are on their way to that number or beyond for 2015. If we truly are at a inflection point, this should not be a difficult number to beat every year going forward. Good luck longs
Sentiment: Strong Buy
The company may need at least one more good quarter to improve its overall credibility. One more good quarter with a continuing positive outlook should be able to push this stock over $.50/share. I agree that we may have hit the inflection point. But they have to keep it going to establish necessary credibility. Inflection points are typically best viewed in the rear view mirror.
Sentiment: Strong Buy
Thanks for all your thoughtful posts NMB. This stock message board, like so many others, seems to be rife with negativity and short sellers all of a sudden. Good luck with ACAS.
I still hold a sizable number of shares in this security, and have recently dipped my toe back into the stock sub $13.
Beating all analyst highest estimates. Nice! PPS may stay in flux due to the timing of the Fed's move, but generally should start moving up IMO. This is a great time to buy this security given its EPS, its consistent dividend payout, and the price of the stock relative to its NAV. One cannot go wrong with ACSF at its current PPS.
Sentiment: Strong Buy