Wonderful.....500MM boe field....And how is Escalera going to pump one ounce of hydrocarbons out of Albanian soil with next to no $$ or cash flow?
You are being silly....Am not bashing...Am pointing out facts....Company has metamorphosized from a sleepy Rockies Mtn microcap nat gas producer that has DESTROYED shareholder value in the past few years, pouring $11MM down the drain of a "science well" in the Niobrara....Now, they have renamed the company while diluting existing shareholders by 20%!!! And the next basin of adventure for them is not in the US or Canada....No, these guys are going to Albania, a country whose sovreign risk rating is JUNK.
Bashing? Are you kidding....I am pointing out cold hard facts....Please tell me one bullish shred of news here...Even if Albania sits atop mountains of gas, where is Escalera (I believe it means staircase in Spanish) going to get the millions of dollars to develop any worthwhile project without further diluting shareholders..
How many DBLE shareholders went to bed the night before the news wishing/hoping that DBLE would be transformed into the world class Escalera, boldly going to Albania to strike it rich.
Please, tell me the bullish story...
By now, curious stakeholders have probably found Albania on a map....Next consideration....
Sovereign credit rating for Albania is B1/B....In other words, this is a junk-rated country.
So, DBLE, having changed its name to Escalera, is now considering o&g ventures in the Balkans. None of the existing current professionals have any experience/background in this basin...Instead, new management claims to have relationships there.
So, how does a shareholder begin to evaluate how likely success will be with any joint venture there. If new management team is solely focused on Albania (they had better be, since nobody else at Escalera can probably locate it on a map), then how diligent will they be of the Rockies' assets?
Do you think institutional investors or analysts really care to own/follow an Albanian oil and gas company?
Again, I ask the simple question....Where is Escalera going to find the monies to support any kind of activity in Albania....They would likely have to sell Rockies' assets to do so....Yet, the selling of any core reserves will likely mean Escalera will first have to pay off the $47MMish in bank debt.
I just don't see the real upside to this story...Yes, a new name change is wonderful...And mapping out a new strategy is always good....But, seriously, did former DBLE shareholders really want exposure to an Albanian o&g explorer?
Oh my goodness....Say goodbye to little old Rockies natgas producer and welcome to being shareholders in Albanian upstream assets....How many shareholders can even locate Albania on a map
What a comedy!!! Seriously, folks, Escalera is now an overlevered company with not so sexy Rockies cbm gas....And now overnight it is a swashbuckling Albanian O&G company.
Board of Directors should resign en masse for overseeing/masterminding this....What expertise does the existing company have in Albania, other than to trust the newly hired president....With no free cash flow, how does the company propose to finance its share of whatever initiative it decides to pursue.
The damage has been done to the common stock...With this rise to $3, you should sell sell...As for preferred holders, take par and call it a day
What a joke!
Whether he is short or long, the facts surrounding DBLE are incontrovertible....The company is an overlevered Rockies Mtn nat gas microcap player....They are banking on 2 wildcats in the Niobrara and Xmas Meadows for future growth, and so far the results are not there.
Now, new management team is hired and the initial headlines indicate that they will pursue opportunities in Central Asia and Africa....Excuse me, but this is utterly ridiculous....Where do they have the $$ to pursue such opportunities....What particular expertise does company have outside the Rockies basin to apply to such projects....Their current expertise has delivered a harrowing destruction of shareholder value these past few years as the stock has plumbed as low as $1 handle, albeit it has now settled into the 2s.
And while it is nice that they raised $4MM here recently, existing shareholders suffered a 20%!!!! dilution....I would hardly be clicking my bullish heels.
A rose by any other name still smells as sweet
In this case, a Double Eagle by any other name is still a losing proposition.
Company raised $4MM at $2.39...Nice....Not so nice is that shareholders were diluted by 20%.
Company has all but admitted that it has wasted over $10MM chasing its Niobrara wildcat as the new CEO is going to pursue opportunities in Africa and Central Asia....Excuse me, but what expertise does existing DBLE management have in these arenas. Moreover, it is a bad sign that the CEO will work from Houston and not Denver, further indication that the company is de-emphasizing its Rocky Mtn assets...If that is the case, simply close down Denver office and save some $$. And if DBLE had not flushed $11MM down the hole on that Niobrara "science" well, they would not have had to raise this highly dilutive financing.
$4MM is hardly enough to re-direct the company into major projects halfway around the world....Where will the company come up with the drilling budgets required of any major initiative over there, unless they are going to sell down assets in Rocky Mtn...But, if they sell assets, they will likely have to pay down most of the $47MM in bank debt that is secured by those reserves.
Again, the headlines promise hope and dreams...The reality is that Escalera will still inherit DBLE's $87MMish in bank debt and pfd obligations.
So,yes, the stock price is up nicely on this news...But, seriously, where are the cash flows that will support future company growth.
The debate of how far VHC stock will soar or plummet is clearly inextricably tied up with the ultimate legal disposition of its suit against Apple....There is no business model today, as there are no recurring revenue streams...VHC has had to fight tooth and nail the last several years to extract legal victories against the likes of MSFT/CSCO/AAPL. They beat MSFT in court and collected $200MMish....They lost to CSCO, although they are appealing...And, they have won, so far, against Apple, but now have to live through the legal appeals process.
All of us can debate the pros/cons of the upcoming CAFC review....This much is clear, however.
It appears that very few institutional investors are willing to commit to VHC when the investment thesis/rationale is entirely predicated on a legal outcome....This is not the area of expertise of most investment managers...So, while we can all debate the legal prospects, the share price action reflects this reality of investors who are not going "to believe" until VHC actually wins its case AND, MORE IMPORTANTLY, signs ongoing revenue licensing deals with the likes of Apple and the Android world.
The ceaseless prattle back and forth is futile....The "bears" are currently winning because in this "information vacuum" it is easy to sow fear and disbelief. If the outcome were a "sure thing", then the bulls would increasingly be buying, but that is clearly not the case.
I am not a lawyer, and so I cannot offer much to the legal merits/debate surrounding the CAFC review. Patience will be further required by the bulls...But, the longer it takes for resolution, the more likely that inertia/gravity will exert itself and continue to push the stock lower. Again, there is no magic buying level for the bulls until there is legal clarity, once and for all.
This is a warrant on a legal outcome....Frankly, if there are any hedge funds that specialize in betting on legal outcomes, this is the perfect stock for them, long or short
Unfortunately, the late Friday news that Mr Larson has pledged an additional 400K to secure his loan from MS is not a positive development...While it has no impact on the company's operations, stock market operators might attempt to pressure further the stock to try to trigger further collateral postings by Mr Larson.
Unfortunately, very little institutional buying pressure has showed up for VHC, as the price has continued to decline....Perhaps, VHC will eventually prevail in court...However, it is still anybody's guess as to when Apple will eventually fold and actually pay. They can and probably will continue to exhaust every legal appeal available to them, up to and including the Supreme Court...In such an environment, if VHC cannot sign licensing deals with the Android community, share price could continue to drift as the days of actual operating revenue continues to be postponed.
Tough facts to confront, esp now that Mr Larson has, in effect, been served with a margin call for his original loan, which was secured by 1MM shares.
Again, shorts/bears may try to use this disclosure to sell the stock further and create unease/fear among the faithful longs in the stock.
For the first time in "forever" MXWL is trading like a tech "story" stock and not the plodding manufacturer that has been valued at roughly 1-2x sales over the past decade.
Obviously, the explosion in PLUG and BLDP earlier this month helped the overall situation for MXWL, but the scale of those orders would not really move the needle for MXWL.
But, MXWL is beginning to capture the imagination of investors/analysts as ultracaps are becoming a bit more dreamy/sexy.
Imagine if ultracaps ever did find their way into the TSLA ecosystem....Then you could make up virtually any price for the stock, much like current investors assign huge revenue figures to TSLA in the out years of 2020 and beyond...Once you begin to imagine/discount future sales scenarios that cannot be easily contradicted, you can assign virtually any valuation you like to a company/stock....TSLA has soared 10x in 2 yrs, way outpacing current sales which are still in the tens of thousands/year.
MXWL is definitely showing new colors/stripes these days....Good luck to all
Dole has presided over the utter destruction of shareholder value from the time he has come aboard. The company has lost its land man and now its CEO/CFO in January. Company has watched Xmas Meadows come and go...It has wasted over $11MM in the Niobrara and still has nothing to show for it.
With $85MM+ of combined bank debt and pfd, the company is highly levered. So, DBLE has little to commend for it...Yes, the stock may bounce between $2 and $3....But unless the Niobrara pans out, can't see how the company breaks out from this rut.
I guess a new price target of $21 has the stock doing cartwheels.
Don't think there is anything TSLA related to report at this time.....if, however, there ever were a TSLA tie up, I think the stock could leap many multiples of current stock price.
Clearly, Piper customers got the memo.
You really cannot ask for much more from VHC management as regards its legal strategy....They keep plugging away with nice victories in court. However, investors are clearly not willing to view the glass as half full, as Apple can clearly appeal.....As long as the case is on appeal, it seems that investors are not willing to believe that VHC can ink a licensing deal with the Android system, which is even larger than Apple.
So, unless VHC has something up its sleeve and can produce a licensing agreement with Android (realistically, who else is out there), it appears that the stock will continue to drift/meander until a FINAL resolution is forthcoming.
Perhaps I have overlooked a possible MSFT license, but the big Kahuna is, of course, the Android world.
All time high on VHC is in the 40s....Even after a successful 0.98% royalty rate set by the court, the stock is just $20....Clearly, investors are viewing the risk/reward with a jaundiced eye.
Yes, VHC stands to make a lot of money from Apple if they can ever collect....But now that the gauntlet has been thrown down by the judge, Apple seems determined to appeal, knowing that their losses are now capped at "just" 0.98% and that they did not have to pay royalty rates of 1.5% or higher, which is what some of the smaller companies have already agreed to with VHC.
I am not bashing VHC, in the least....Rather, I think more patience is required on the part of investors.
Would be nice if Android world would take a license...But why take a license when there is still a chance that the Apple decision gets overturned.
Would agree that the likely news is the fuel cell explosion....Yet, the contract size tht Plug announced with WalMart is just 1600ish units.....Not exactly the same thing as an automotive OEM placing an order for 500K modules....Nevertheless, it is positive news.....The holy grail still remains widespread adoption in the auto sector.....
Even more impressive than the 15% price spike is the tremendous volume of 1.9MM shs, well over 5X avg volume of 360K.....Somebody or (bodies) knows something, or thinks they know something.
Certainly bears close watching.....New contract with an auto OEM? Speculative juices surrounding a TSLA combination....Take your pick and throw whatever you want out there...But the volume suggests something is up......
MXWL has forever chanted that they are "energy agnostic"----that an ultracap can be teamed up with virtually any energy system to provide a comprehensive module/package that can better balance energy with power (on demand).
Let's see what develops next week.
Not sure I deserve any kudos...Others have been following/recommending WRES more intensely than I.
I think the catalyst for this up move has probably been the improved fortunes of the natgas market...Still seems like the company has been stymied in its M&A efforts...And there still seems to be no developments with the Niobrara....Oil pricing is strong, but oil has been close to $100ish for quite some time now..I think the kick higher in natgas has been the trigger as WRES does have some exposure via its recent CBM wells drilled in 2013...Yet, the ironic thing is that they drilled these wells in order to hang onto the deep Niobrara rights, not necessarily because the IRR on these gas wells was all that sexy back when they drilled it in a $3/4 pricing environment.
Either way, WRES does have solid reserves and Mr Market is now valuing them higher on the back of brighter outlook for natgas these days...Congrats to all the longs...Maybe that M&A deal is still do-able
Trust me, nothing is happening between TSLA and MXWL.....Panasonic also makes ultracaps...No reason for TSLA to partner with Panasonic to build lithium ion batteries and NOT use them for ultracaps, assuming that TSLA is even considering using ultracaps in combination with lithium ion batteries...In short, MXWL's ultracaps have not turned up in anybody's electric drive train yet...No reason to think TSLA will suddenly be the one....if MXWL's ultracaps were the answer, the stock would have long ago skyrocketed...Instead, it is earthbound with a de minimus mkt cap of $250MM
I agree...TSLA mkt cap this morning is 32 BN...MXWL is $250MM 128X...If MXWL ultracaps were THE killer app that makes lithium ion battery packages the "real deal", I would expect that TSLA would use its high flying currency and offer to buy MXWL at a 50% premium for a total buyout of just $375MM...Alas, the share price and volume of MXWL does not show one whiff of such a scenario....So, if MXWL ultracaps are so well positioned to assist lithium ion batteries, one would expect a visionary technology genius such as Musk to have some interest in them...Alas, not....In fact, Panasonic seems to be the darling du jour for this venture.
Not saying that MXWL shares are not value here...simply pointing out that thisTSLA news does, in fact, bear some relation to MXWL...Namely, the hottest company out there in the lithium ion battery space is not even bothering with MXWL.
For well over a decade, three different CEOs have proclaimed the massive opportunity that awaits ultracaps in all kinds of systems....And, more than once, they have proclaimed that the automotive sector represents the "holy grail" of opportunities for ultracaps as the electrification of the automobile continues apace.
Yet, for these 10 years, Maxwell (and others) have barely scratched the surface of automotive wins.
Now, we hear that TSLA has outfoxed the likes of BMW/Mercedes etc to be the clear leader in electric cars...And now we hear TSLA/Musk proclaim tha they are on the verge of huge cost breakthroughs on lithium ion batteries....
If TSLA can achieve this without ultracaps, then what a waste of ten years...If, however, TSLA is somehow working with MXWL, what an achievement that would be.
The lackluster volume and price of MXWL, however, suggests the former and not the latter.
If ultracaps truly do have a place in the future of electric car drivetrains, I would think that a "genius" as smart as Musk would have figured this out by now...If so, TSLA could simply buy MXWL and hardly have to burp....TSLA is increasingly being viewed as a disruptive tech company, not just a DeLorean new car manufacturer....If they are a disruptive tech company, and they choose not to utilize ultracaps, that is saying a lot or a little about the technological whizbang nature of ultracaps
Meanwhile, MXWL still trades in the single digits.