Their cash flow looks good, but if I/O demand drops off the cliff with this weak Chinese data, they might cut the dividend to preserve cash. I remember when they increased the dividend to $.625/qtr., stated in the quarterly conference call that the dividend was safe and then proceeded to cut the dividend. I don't believe that the dividend will be cut this time, but stranger things have happened.
Now is the time to play hardball with Indonesia. Layoff 30,000 Indonesian copper miners of force a settlement
With the possibility of less cash flow from both the Congo and Indonesia, what are the odds that the dividend will be cut?
I also saw that corporate officers all took a salary cut.
I am hoping for some good news coming from Indonesia, but the 1st quarter's numbers are not going to be good because we are not shipping copper at full capacity from Indonesia. This needs to be resolved sooner than later or we are going to take another hit
You have been on this board at least 2 years. Do you think that our recent fall from 14.50 to 13 is a result of concerns over Chinese growth?
I also see that CLF and FCX(copper) have been tanking.
I still expect the dividend chasers to push the stock up be April's ex-dividend date, but what are your thoughts?
Cramer is in the business of selling books and selling his investment advice business. It is impossible for someone to have an expert opinion of every stock, but if you see his Mad Money program, he leads you to believe that he is an expert and answers every stock question with an emphatic buy/sell rating on the fly. You must do your own due diligence and do not rely on others. If you don't, you could lose a lot of hard earned money
on tv about 2 years ago right before the dividend was raised to $.62/qtr. The stock was trading for about $60. Cramer and the CEO spoke in glowing terms about the company. Ever since then, the stock has been in a downtrend. I lost money on the stock, got back in and sold for a small profit. I am no longer own the stock, but the shares are being hammered too low at this time. I hope things work out for the longs. This company has been around a long time
If we ever get back to $38, I will out the door with you also. I've also been a shareholder for over 2 years. Old Jim Bob made a fortune on the oil/gas acquisition; yet, there still is no news from Davy Jones. Indonesia is forcing us to build a smelter to refine ore and we don't have the capital to do so because it was committed to oil/gas. I hope that something positive gets resolved in Indonesia and we get a pop. Until then, the S&P goes up and we go down
I agree. The potential always looks great and I like the dividend, but the share price just can't get going back to the $38 area. When it does, I am going to take some off the table. good luck
I thought this morning's conference went well and we got a pop following its conclusion. On Feb 14 we hit an intraday high of $13.96 and volume was about 2.1 million shares. Today, we just are not seeing high volume purchases and we may not see even 1 million shares traded. I am happy that we moved up earlier in the day, but do not like lower volumes on a good news day. Where are the big volume buyers? I am still hoping for a pop to $15 when the NDA is submitted
The problem is that it has trended downward this year from the 130's to 117. Many are concerned that Chinese demand is slowing and RIO and BHP, etc are adding more supply which will have more downward pressure on I/O62 pricing. Unfortunately, there is a lot of negative sentiment for industrial commodities at this time. Last year we saw the same thing, but prices firmed and went up. My only hope is that we are near a bottom. If we go back to 2012 lows around $90/ton, that would hurt a lot. Let's hope we see I/O prices heading up instead of down
I expect (hope) that the yield players will push up the price to $15, and I'm gone. If not, I will sell cov calls and wait until things improve
I see a couple of negative factors:
1) The Brazilian economy is not doing well
2) There is a fear that with new I/O supplies coming into the market (RIO and BHP), that the price of I/O will go down.
3) The fear that Chinese demand will decrease which will have a negative impact of the market
I do not know if these are the reasons for the poor price performance relative to RIO, but the money managers are not pushing the price up. Especially on a day like day where the DJIA is up 200+ points and we are up pennies...not good. I'm holding for the ex-dividend week and will decide to sell it or keep it
I, unfortunately have to agree. The few days volume has been below average. I thought that following the CC, we might get a bump up to 13.50, but we will have to wait for news on the NDA to push us up. I only hope that another analysts like the Brean analyst does not come out with some unfavorable commentary. The last time that that happened we tanked 25%+
In the meantime, I am watching paint dry as we await positive news