if they keep on current pace...that means no acceleration...if they keep on the same constant performance as last three quarters, there is a fair value of 16.00 pps... so I expect the stock in euphoria may get over 20.00... At the moment I would sell if the stock touches 18.00...
I do not care...If directors buy and there is something wrong with MDR, then it seems they are incompetent and that might be other good reason to sell...unfortunately I cannot judge yet :)
Nov 14, 2014 TRICE DAVID A
20,000 Direct Purchase at $4.16 per share.
It is a pitty that these guys are not as well informed as you... :))
simple...the bet is on turnaround story. P/E is one factor to judge. But there are many other factors. CBI is trading with pps 50% over its bookvalue. Quite a lot. You buy CBI with 50% surplus over its book value. So you buy air castles of expectations on future performance. You should consider the purchase of stock based on the fact, if you would like to buy for this price 100% of the company. For this price, CBI definitely not....MDR is company, which has changed management and trying to get backto the sun. It trades at 1/3 of its book value...if..and there is always ifs with any stock, if they succeed to get profitable sometimes in 2015 or 2016, then to reach the same appeciation as CBI, it would have to surge over 400%...so with CBI you have limeted upside and much less risk to lose money. With MDR you have huge upside and huge risk to mak money. Therefore is good to invest only a small amount to MDR. But based on their balance sheet it seems to be worth of risk.
The big question mark is crude oil price of course ...
why do you care ? You really expect any posts of value from somebody, who was recommending HERO here? He is a joke...no credit at all ;-)
September 30, 2014 cash and equivalents 643,951K.... loss per quarter net 33,000K, from operations 14,000K
Long term debt 873,289K
Total Equity (after debt decuction) 1,588,693K (sorry, I do not see negative equity anywhere) divided by number of shares 244,966K makes 6.47 book value...
This is just brief answer to stupid post about negative equity.
Source: SEC fillings
if every shareholder will get 5% more shares....then every owner gets nothing. Because the cake stays the same and your share of ownership in % stays the same as well...the only value whichj is changing is the book value of each single share...