Odd indeed. Suppose AGN is the acquirer, to get around the Treasury rules. Will PFE be purchased at a "premium"?
The Rule 106-18 you have posted has nothing to do with Trinity, which is a large market cap stock at $4 billion, with a large public float and daily trading volume.. The Rule does not speak to the issue of after-hours trades. I'm not sure why you keep posting Rule 106-18, since it seems irrelevant for this equity.
182,900 shares @$25.12 =$4.6 million. Trade can be viewed on NASDAQ web site. Represents about 9% of an average day's trading volume for Trinity. I assume this is the company buying back own shares, in an arrangement with the specialist which makes huge block possible.
For comparison, there were only 3,000 shares of Greenbrier trading a/h.
In Q3 Trinity repurchased 1.5 million shares, or 1% of shares outstanding, for $40 million, or $25.7/share. They are probably going to be buyers at today's price of $26. They can juice their earnings per share by repurchasing at today's low P/E ratio.
Threshold event was Am Railcar announcement they had repurchased 1.5 million shares of stock in Q# and Q4. Short position was 2.4 million shares, and float is only 8 million shares, because Icahn holds huge stake. Major short squeeze at ARII. Could happen at any of the major railcar manufacturers, if management desires, because shares are cheap, low P/E ratio.
CSX repurchased 9 million shares at $29.1 each average price during Q3. I think we can assume they will repurchase shares at today's price of $26.81, which provides investors with a margin of safety.
Large after hours trade on an uptick:
16:44 $ 27.397 High 31,335
Whoever bought Trinity afterhours 31,335 shares @$27.39 paid a 1.4% premium to the closing price. Trinity has daily trading volume of $75 million, and a float of at least $500 million, so it is not unduly restrained by Rule 10b-18.
VDOT: no crash test results yet on ET-Plus, AG says guardrail “failed miserably"
Article says pickup truck flipped over on impact. Links to court filing. This is the truck VDOT made top-heavy by removing muffler, spare tie, etc. Official results unpublished, but AG "knows" result was failure.
TRN buyback is presently at a rate of 5% of shares outstanding per year. Compare this with the widely acclaimed Google buyback, of $5.1 billion, or 1% of shares, over an unknown time period. TRN buback is much more aggressive.
It appears they repurchased 8.7 million shares out of 159.6 million over 12 months, or 5.4%, which is a big repurchase program compared with most others. But they only spent $107.5 million this year on repurchases, versus $640 million on their leasing operation--5400 cars at $114K each. And they paid down long-term debt, more than $200 million. They must feel that the lease fleet generates a higher ROI compared with share repurchase at 5.4x EPS, which is difficult for me to imagine. One would think they could stop paying down the LT debt and use the funds for repurchase.
A quick read of the press release suggests:
(1)Shares are trading at 5.4x 2015 EPS assume $4.77/share
(2)Share count has dropped 5% in 12 months, which implies a large share repurchase compared with most
(3)Convertible notes are being redeemed
(4)Trinity received 3,655 new freight car orders in Q3, or 50% of all the orders in the entire industry--7,374
(5)Repurchasing shares at 5.4x EPS is highly accretive to earnings.
Tomorrow, we should hear a litigation update.
On the Trinity home page, there is a link at the bottom to Et-plus Facts, which in turn leads to a Liigation link, which leads to Virginia. There, you can read Letters that state that the pick-up which went airborne was involved in a prior crash, and was lopsided and riding high on its springs prior to the test. The accelerometer was mounted in a nonstandard way.
There are six letters, and all seem to suggest a pattern of VDOT testing nonstandard, previously crashed vehicles, with damaged frames, using defective guardrails, and defectively mounted accelerometers. In addition, Trinity engineers were prevented from examining the crash test dummies.
If the guardrails had penetrated the vehicles "like deadly spears", Patrick Lee would have had a photo. Evidently there was no such penetration.
Average CSX shares outstanding:
Annual rate of buyback=15 million/year=1.5% annually.
Usually a buyback is not considered significant if
Biotech stocks plunged because of Hilary. XLV Health Care Select SPDR, market cap 14.5 billion, holds plenty of biotech, in addition it owns $625 million =5.4 million shares of UNH. Probably there ws selling pressure on this ETF today.
Volume today, 9/22, is about 2.5x normal. Surprising because no news. After-hours price spiked up 2% on a huge trade. 16:39 $ 24.7783 High 31,050 shares traded. (See. NASDAQ for a/h trades.)
Why not release the actual document, instead of the "summary" by the NYT reporters?
Here's the link: FHWA and AASHTO Release Findings on Guardrail Terminal Crash Analysis