But they should have done both and increased our dividend at least 10%. Owners deserve to share in their success.
Price rocketing higher still does not include the $3 they will have to pay. Oh this has been so FAT! All I ever do looking back is wish I had MORE!
What they need to do is fire all the management which are consistently selling their shares in the company diluting all of us owners. CAG gives them all these options and all they do is sell, sell, sell. Just look at the insider lists of nothing but selling. No faith and confidence in their own company. 10s and 10s of millions of dollars worth of sales. Its a disgrace. Shameful. Stop giving them all these options and use the insider sell list to start firing!!!
I bought into the common a few times in October of 2012, and looked great for a long time, but this year, nothing but tears. Managed to barely squeak out a small gain. Would have been far better in any simple fund. Shame. Unload before its too late.
Long ago I decided to never short any security with this kind of yield. As I said, I just managed to sell all with a small profit after years of holding. I will not allow my positions in Ras securities to sink to a loss. I have read you many times on this board and if there is any truth to them, you have loaded in here all year long. All I have done is hold all these many years watching my profits disappear. Again, squeeked out small in the black after so many years. I see bust coming....... Just a free warning stoner.
Big risk involved waiting for this earnings report which is what everyone is waiting for. If negative again, and the rate traders are clearly telling us they believe it will be, then the bottom falls out as sellers line up to get out. Are you prepared to lose another $1.50? It has traded with a 3 handle before......
If RAS were even remotely healthy, their prefs and bonds would be trading at $25 par value like so many others with similar coupons. I saw their Pref securities shaking below $24 and happily sold all of anything I owned to do with this dog. Common, prefs, bonds, all sold. YOURS. Why? Rate traders always know ahead of time. When rate securities shake, historically it tells me that this is in fact a pig getting ready to squeeeeel into bankruptcy. I am keeping it up to watch the misery though. Folks, get out while you can. Maniacs on this board saying to buy above $8, oh its going to $20+. The healthy dividend will rise to over $1 a share. All the way down below $6 saying its all fine. I bring up the 10 year chart and have to ask myself, where are all the posters admitting they bought this stock above $90 in 2006 and 2007 and are happily waiting to recoup their losses? Good luck with that. The 10 year chart on RAS is clear, heading to zero, and trying to suck in as much cash as they can before closing the door. I actually bought in 2012, and made sure I escaped just barely in the black. My money invested in RAS securities would have been far better in any simple S@P fund. Anyone touting pigs like this are doomed to a life of poor. Smarten up. Time is running out. Unload. Party down.
This dog is down hard in the last 6 months! $124 in February to now falling below $109. Are you kidding me? Who is responsible?!? They just give themselves raises and bonuses while we lose our shirts! Some people need firing!
No, not at all. The company is paying $3 plus the $1.10 to owners of the shares on July 17th. There are millions of shares shorted. Those shorts can not afford to pay $4.10. It is a great way to shake them all out. They will need to cover before that date. Keeps a nice bid on the shares. Even after that date, shorts who cover will not have the stomach to try it again. Once a special dividend means another can come anytime, again destroying shorts. Shorts lick their wounds and move on to shorting stocks that don't pay a dividend. The same thing happened when Microsoft declared their first special dividend. It destroyed shorts. So happy when they take a good beating trying to short one of my long term holdings. From here it will go over, and stay over, $150. I feel confident the regular dividend to go to $1.25 by years end. I also feel they will come again with another special. So fat!!
You really have to question quite of a number of his latest investments. Of all things to throw money into Atlantic city dying casinos. Oh Icahn could keep Trump Taj Mahal open for another year? I mean all have long ago abandoned them. Trump so long ago has nothing to do with any casino with his name on them. It is a dead town, one casino falling after another. Here comes Icahn with our money and wants to invest?!? To keep it open maybe another year? I am an investor in IEP long ago, and as it comes down to my buy in levels I sell out so I will never have a loss, but oh boy the gains I have given up just sitting around reducing over time. Even with a 7% payout it just looks sickly. Sickly! Is he just old and has lost touch?
I can't see how issuing lots of new preferred at 9% payout to RAS is the most efficient way to raise capital. That is very expensive! Can they really earn far more than that? So much more that it is worth doing? The goal should be to eliminate and call instruments costing RAS so much to cover.
Why the A? You didn't even compare yields. All 3 have the same credit rating. The C just traded at $24.38. It has a coupon of 8.875% on a par of $25. That gives it over 9.1% yield. You got robbed for a lot actually. .5% is more than the Fed will hike in a year. Prefs feel very weak, too weak, sorry but their weakness at these monster rates have nothing to do with the Fed hiking .25%. I own plenty of prefs strongly sitting at par.
Both of Ras's prefs B and C should be trading at $25 par. I would expect RAS to want to call them in time. Their rate of payouts are very high, both over 9%. Still they are always far lower. B can't even hold $24. Before things go wrong for a company its always the bonds and prefs that dirt first. Lenders know, get skiddish first. That keeps me skeptical and wondering if the Common is not headed towards $5 for some reason? I just don't see the black here. I dig and read and things appear ok to me. Where is the black the lenders and pref holders see. Even the notes RFT and especially RFTA, with a maturity of only 4 years and a coupon of 7.125% can barely hold on to $24. RFT heading towards $23. Something is wrong and I don't see it. Anyone? Feels wrong to hold the common as it keeps sliding and lenders are getting out......
My stop was $10 so I did sell out. Not just this reit, but a few others as well. It is clear the Fed just wants to begin tightening and these type of securities are not the place to be anymore. I hate taking taxable gains but had to, at least it is long term tax rate, although that is no longer what it used to be. I moved my reit cash to a handful of refiners. Take a look at an article in Barrons titled "Five reasons to buy refiners now". The thinking made sense to me and the researchers all seem to back them up as a group. All say buy them. Good luck.
Will continue past 150. Shorts must keep covering. They can't pay the $3 out. Enjoy.