Looking at the SEC filings for the Quarter ended Mar 2013 after deducting the 385 Million and 265 Million respectively it comes to $9.00. What am I missing?
Now that it is Tower International, They will sell the Tower US Company and the share price will go back to $12.00.
Wait for Monday. News Coming.
First time I am seeing a realistic valuation. Insurance business is run against tangible assets. The amount of $600M is close to realistic. This is why they appointed JPM to find a Buyer. Also the buyer gets all these clients for free. With zero acquisition costs. 53Million shares gives a valuation of $10 per share. Les see who bites/
Wait and see. They traded the 1 Million and now will absorb the shorts sells and then take it back to 12.
Dont you think this will be only a paper loss. If they are going to lose actual cash then they would have stopped the Dividend that they paid just two days back. They have real customers and they are making profits. This will be a passing phase and in a few days good news will be coming... Good Luck
You need to understand one thing. They already said what to expect on the Oct 7th earnings date. That is when the stock slumped to $12.80. Then after 10 days the CEO was forced to sell his shares due to margin call. Thats when the shares went down from 12.80 to 9.10. Then comes the newswire regarding this and shorts are selling blindly. They will be fried soon.
At todays price they will be able to buy about 5 Million shares thats 10% of the outstanding shares. 5 Million shares less from the float. So float will be only around 1 Million.
Shorts Cover fast before it is too late.
These guys could have bought the 1 Million shares and saved the share price....Anyway I think now would be a better time. About 3 million shares less in the outstanding.
I will give you my reason. I agree with sloop on the share dilution part as well.
1. Look at the foll numbers and compare with last quarter.
Revenue - Cost of revenue. Current Q ; 2222 - 1279 = 943 prev Q ; 2060 - 1125 = 935.
So they have just spent more money to get the same growth in revenue. Number magic.
2. Next look at the SGA. SGA was managed to get the EBITDA to change possitively.
3. Next look at Loss This Quarter is 56. Last quarter 658-603 = 55. So the loss is almost same. So increase in revenue did not result in much of a change in Loss even with the SGA being controlled.
4. Now for the Cash position. They have ONLY 811. Capex was 296 this Q. So at this rate the 811 will be gone in the next 4 quarters. Moreover they are in a Capex intensive field. The Servers/networking equipment, Storage etc are obsolete within 2/3 years. Just like our PC's. So they will have to spend, spend and spend.
These are just my opinion.
Please feel free to correct any wrongs in this message so I will be more informed in my investing decision. I really would like to hear of my mistakes.
Read your message. Such hate and filth comes only from filthy people. I will not go beyond that.
My message was based on the article that the lower rung underperforming people are the ones being asked to leave (fired???). So how many classes of underperforming people are there???
INFY has been hiring these same so called "underperformers" and marketing them to the clients. How did they hire them in the first place? These are legitimate questions.
Dont get worked up. Have a good morning.
Looks from the report that there are different classes of underperforming people at INFY. Clients will stunned to hear that they do not do a thourough vettting during the recruitment process itself. Shame.
That means a about 40,000 people are on bench paid money from the company and warming the seats,. Nice Job. On Top of this they are going to hire another 6000 more to warm the benches. Why cant they just use the 40,000 thats being paid.
So the attrition numbers that they are showing as
Gross hired = 12000
Nett hired = 2000
Total attrtion is 10000.
Why are they not calling these atttritions as layoffs. I am sure most of these guys who are sent off are being forced to quit as opposing to be laid off.
Why settle with VRNG. They might as well buy out VRNG. At $6.00 * 20 Million = 120 Millions only. They get the patents for the future revenues as well all the Nokia patents.
Man you are wrong. The Company gets the money as soon as they issue the Convertible Bonds (today). The wait is for the investors and you need to learn what convertible bond is. Search Warren Buffett and Goldman Sachs. You will understad
Convertible bonds are given to investors so they get an interest as well as convert it into shares in the future. They invest when they are sure that they are bullish on the shares. Just like what Warren Buffett got when he gave it to Goldman Sachs.
If they are going to sell it tommorrow the company can give the shares to them instead of Convertible Bonds
The whole concept of CONVERTIBLE is beaten there. They might as well give shares.
Convertible Bonds are bonds that earn interest till they are converted.
The reason investors go for the Convertible is they get interest as well as they are bullish on the stock.