Freeport-McMoRan (FCX)

[eddy2]

So it cost $17 a share. Now divide that by thirty. Thirty times earnings after EBIDA.

You are making $.56 a share that is being put back into the pot. This reduces your return on capital. In other words more capital is required to earn the $.56/ share.

The madness is escalating out of proportion to a solid return for the risk you are taking. The safest place to put your money is in a bank. There are those who will argue differently on that. One being Sly.

They also carry an enormous amount of debt that is being turned over to take advantage of the thirty day grace period prolonging or extending the amortization period. This extension is not revenue but a debt. Don’t be fooled by this action.

Do your own DD, study the numbers and discover for your self what is happening. This will require going back Into the financial archives of the company. They are taking revenue exploded by not meeting there debt obligation that in turn increases the net revenue and decreasing the gross revenue due to the extending of debt.

This action will move equity into debt often noted in financial markets as shorting the market. This creates a dead cat bounce until the bank demands payment. The money will be moved into the coffers of the executives “ off balance sheet arrangements”.

An inquiry will be conducted into wether executive interest exceeds industry norms.

If there has been there will be a claw back of funds to settle the debt. The funds could also be forwarded into a replenishing of collateral fund due too depreciation of collateral.

EBIDA = earnings before interest depreciation and administration

EBIDA = earnings below,”all interest debt”and administration of collateral responsibility.

Can a company declare insolvency if collateral debt obligation is not met.


Depreciation plus collateral assets must equal debt plus equity
Your bottom line in the defense of liability charges.

Your house falls in market value to its debt either the debt must be reduced or collateral increased.

Remember collateral must equal assets plus amortization of revenue equal to the amortization of the debt.


Are these obligations met Sly? Your friend Ed.