No kidding. I am sorry I did this one, and sorrier still I did not cash out in the $5s when I had the chance, though that seems like so long ago I can't remember exactly when it was. Good times are always just around the bend with this company. And something tells me they always will be. I am long so would love to be wrong. The Street just hates this company, and I suspect that it's because of the perception that it is a legacy business that will go the way of the desktop computer. I know the story is not that simple, but Mr. Market evidently does not believe the more complete story. And that is all that matters, because stocks are only worth what people think they are worth. I continue to believe that there is potential for nice gains here but the company is in show-me mode and for one reason or another it just never shows. I am still holding, but the opportunity cost of having a sizeable chunk of change in this company is killing me. Sorry not to have anything more intelligent to offer. Even Longtime must be grinding his teeth over this one.
I believe the answer here is no, it won't affect STKL. That's because (I believe) Dean Foods owns Alpro and hung onto it in the WWAV spin-off -- or so I surmise. Hope someone will correct me if I'm wrong. This from the wikipedia entry for Alpro:
In June 2009 Vandemoortele sold Alpro for an estimated US$455 million to Dean Foods, the largest dairy company in the world, which markets the "Silk" soy milk brand in the USA.
wooglin (and others): You seem knowledgeable about this stock. Your opinion, please. What kind of boost would STKL get from the sale of the minerals division, which I believe execs in the last conference call implied is possible this year?
I see that company, which trades on a Canadian exchange, has a market cap of about $40 million. STKL owns, I believe, 66 percent of it. So at today's market cap their stake in the minerals company is worth about $26 million. But that's less than 4 percent of STKL's current market cap. That doesn't move the needle a lot.
But if the sale demonstrates to the Street that STKL is becoming focused on the fast-growing healthy eating category I believe the market would reward the company with a boost in share price. Agree?
Am not sure I understand: Does today's 8-K filing eliminate the preferred issue or does the right to appeal the judge's ruling still exist? Here's the text:
Item 8.01. Other Events
On March 5, 2014, the Board of Directors of the Company approved the exercise of the Company's repurchase option under the Voting and Transfer Restriction Agreement (the "Voting Agreement") with the trustee of the 2012 Retention Plan ("Plan") and Trust (the "Trust"). Pursuant to the exercise of that option, the Company will repurchase from the Trustee the 400,000 shares of the Company's 6.25% Series A Non-Cumulative Convertible Preferred Stock (the "Preferred Stock") currently held by the Trust in exchange for 975,848 shares of the Company's Class A Common Stock. The repurchase formula is the same ratio at which the Preferred Stock is convertible into the Company's Class A Common Stock. Despite the favorable decision by the United States District Court for the Southern District of Indiana on February 28, 2014 in the litigation related to the creation of the Trust and the subsequent amendment to the terms of the Preferred Stock, the Board recognized that the plaintiffs have publicly stated their intention to appeal the decision. Thus, the Board determined to exercise the repurchase option prior to April 2, 2014 (the date on which shares in the Trust are to vest for distribution to Plan participants) in order to ensure that the value distributed to Plan participants is both equivalent to the value that the Board intended to be distributed when it adopted the Plan and equivalent to the value that Plan participants were advised they would receive when the Plan was announced.
I think you spoke for many -- you spoke for me for sure. I suspect our management here is not all it should be. You've only to look at HAIN and WWAV, for example, to see what's possible for companies in this sector. I will continue to hold but my (painful) experience has taught me that management issues equals sell. Because I'm fairly new to the stock, though, I'll wait and see.
Apparently correct. Marketwatch reporting this:
INDIANAPOLIS, March 4, 2014 /PRNewswire/ -- Judge Sarah Evans Barker of the United States District Court, Southern District of Indiana, has ruled in favor of Emmis Communications EMMS +4.87% in a suit filed by dissident preferred shareholders.
Exactly. WWAV went onto my radar after a Cramer rec late last year. But what pushed me to actually buy the stock was when I began having problems buying my almond milk at the grocery store where I shop because it was always out of stock. When my own experience verified what I saw the CEO tell Cramer on Mad Money, I knew it was time to buy. The healthy eating trend is real, it is here and going nowhere but up. And anyone who thinks that an additional 30 cents or 50 cents a quart (because of an almond shortage) is going to kill demand from people who've abandoned cow's milk, then he doesn't understand this market.
I had no idea you, like LT, are a big player. I shall work harder in the future to understand your always interesting but often impenetrable posts. Consider if you will having mercy, at least at important moments, on those of us who don't speak PJ-ese.
The fact that LTF ignored your Jan. 23 post suggests that you are probably correct and he's clearing out and (understandably) not anxious to pipe up about it. I've done well piggy-backing on LTF's picks but this one is an exception. Though my position is rather small and I do expect to get out whole eventually. Time is money, though.
I should have trusted my instinct on this one, which was that I should not invest in a company whose chief product is, or whose most important products include, devices to allow motorists to break the law with impunity. I know, I know -- don't mix emotions and morality with investing ... radar detectors are legal and help level the laying field with "over zealous" cops yada yada. Others are entitled to their opinions. But for me, this was an example of a time when sticking to principles would have actually been the financially prudent thing to do.
But I made so much on ZLC last year that I can't stop smiling -- and thinking charitable thoughts about LTF.
That is likely because LEE, except for ancillary businesses, is a pure newspaper play, unlike GCI, which is in broadcast TV as well.
LT: You must be happy today. So am I. What's your take on today's news and its effect on your price estimate (above) later this year of $4 to $5?
I am long WWAV so naturally I think it's a good choice. But if it's truly under the Wall Street radar you seek, have you taken a look at STKL? Disclosure: I am long that one, too.
As I see it, the preferred shares are a bigger issue than Hungary.
Yep, that would be my guess. Big short squeeze. Makes it tough to pick an exit point, since valuations could reach the stratosphere as the door with the 'Exit' sign above it jams up. That's a high quality problem, though, and one I'm glad to have.
I'm not sure what kind of gains qualify for the oft-used stock market term "breakout" but with a second consecutive day of hefty increase and big volume (it was 4x average today according to Yahoo) I'm thinking sumpin's up with ROIAK and I'd call it a breakout. Then again I'm just an English major. Investopedia defines "breakout" thusly. Maybe someone schooled in charts can say whether ROIAK meets the definition:
Definition of 'Breakout'
A price movement through an identified level of support or resistance, which is usually followed by heavy volume and increased volatility. Traders will buy the underlying asset when the price breaks above a level of resistance and sell when it breaks below support.