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I own GasFrac which uses NatGas to instead of water.
While it seems crazy to use NatGas, I've been told by people in the know that its safe and environmentally its better as any thinglost will seep away just like the gas/oil they are trying to collect.
I invested in it based on two thesis:
1. Some early test users are claiming their recovery is better than water improving their ROI materially. Hopefully this is true.
2. Federal/State rules on limiting wastewater/usage. Unfortunately while the general thesis still may hold this damages it a little better as I expect states to follow this rule.
Trident Microsystems Equity Committee Files Motion for Rule 2004 Examination of NXP
http://thediligentinvestor.blogspot.com/2012/05/trident-microsystems-equity-committee.html
My comment: Based on my math I get FV for the stock in the $.40-$.45 range with their two large divisions sold. This and the idea of do they liquidate or beome a pure licensing company are the main issues that remain.
Enjoy Mr. McFadden's comments:
Trident Microsystems Equity Committee Files Motion for Rule 2004 Examination of NXP
http://thediligentinvestor.blogspot.com/2012/05/trident-microsystems-equity-committee.html
My comment: Based on my math I get FV for the stock in the $.40-$.45 range with their two large divisions sold. This and the idea of do they liquidate or beome a pure licensing company are the main issues that remain.
Enjoy Mr. McFadden's comments:
Thanks for the reminder. All I asked you to do was to attribute where you taking the comments from and to only link part of the article.
Posting the full article without attribution is generally a no-no. Without it people attribute those words to you. Would you appreciate it if someone did that to your work?
Whoops. My mistake on Einhorn. Was just down working out and realized it was Tilson who was short NFLX and then switched to being long recently.
I appologize for my mistake but I often confuse Tilson and Einhorn and which momo stock they are short on.
Einhorn considered them to be channel stuffing. I tend to believe him. If you look at the SEC inquiry from last year IIRC it stated that it could have been as much as $.06/quarter in gain. At the time they were earning $.10 so it was material at the time. Those topline growth number allowed the stock to grow at many multiples and allowed the company to use its stock to buy up other mfg plants allowing them a monopoly instead of using prescious cash. A good but risky move by them. Other than that I don't think Greenhorn thought it was a fraud.
IIRC, he is now long the stock. My wife recently became a convert to the Keurig and probably goes through 2-3 kcups a day. She loves the convenience with 2 small kids at home she can have a cup ready in two minutes vs her old steep. Add in its easy to do hot chocolate for the kiddos and its a winner in our house even though you pay something like $50/lb of coffee. I'm seeing them more and more in small business offices as well. I'm personally will buy some but not yet.
Anybody have any thoughts on the sodastream. I think they have their target market all wrong by being in Bed, Bath and Beyond and therefore have held off. They need to be selling in urban cities. When I lived in NYC I dreaded a walk of a few blocks from the Bodega with a 12 pack of Coke, a gallon of milk and a 6'er of beer. I replace the 12 pack of coke with a little bottle of syrup. Winner!
Their success in Europe has been in countries with extremely high taxes on either soda (sugar) - Sweden or high can deposit costs. Pepsi and Coke work very hard to slow that growth here in individual states as their consumption per person drops considerably.
Must have a been good weekend if it takes 2+ days to recover from a 3 day weekend (Sat-Monday).
I don't have L2 but I watched the tape for about an hour at the end of day yesteday. It was strange as the there was a bid of 1 share at $.40 and a ask @ $.45 that would fluctuate between 20-50k shares. Then all of a sudden a trade would go off at $.42 for 15k shares when there was no bid or ask there earlier.
I threw out a bid for 1k shares at $.42 and it didn't even show up. It got filled 15minutes later with another fill. My work has added some restrictions so that I cannot pull my L2 quotes at work anymore. I am still trying to find a workaround but haven't found one at this point.
Looks like I was right. I just bought 5k more shares @ $.10 but someone else has bought a bunch right @ .10 and .13.
I'm going to bump my own message here.
I posted over on the DINIQ board my math so that people don't have to spend as much money as PACER as I do.
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=75079260
I think I am being conservative with math but you never know in these stocks. I may be missing something but a plan should be out by early June.
The b/a has been pretty wide again and was sitting at $.19/$.25 last I looked but somebody hit the $.19 and then the bid @ $.13 today. The last time this happened the seller continued hitting the bid on and off for a few days. It is how I bought some at $.15 and $.17 after the guy sold. I thought I would throw it out there as some may be interested.
This is not a 100x bagger like some touts but I can easily do the math to get to a double in 30 days. That said, do your own due diligence, etc. That said anything can happen and it can go to zero if someone is greedy, etc.
Wonder where that guy went? Looking at the tape today somebody desperately wanted to unload. Last time that happened it caused the pattern in your note. Wonder if we will again.
I may buy more if I can sell another illiquid security I won.
I deleted my Prior Post #172 as I tried to clean it up (easier to read). The numbers are the same.
Trend- The Abbotsford amount of $1.3M was not the actual proceeds to the company. The sale to the company was $725k for Furnishings, fixtures and equipment plus inventory. I know the article states $1.3M but that is not what they paid DINIQ per PACER.
WallStreet61 - Forgive TrendTraderz for being on autopilot. He bought 50k shares at $.0016 for a total of $80. Him logging onto Pacer to check sales would cost him more than his investment. I went back and checked all his numbers and I'm not as optomistic as him but I expect a double from here.
Property Sales:
Goshen, Indiana - $550k
PA Property turned over to WellsFargo - $0
Haleyville Property- being leased via DINIQ - $0.
Red Bay, Al - nothing yet
Cash $1.0M
AR - $1.3M
Physical Property (fixtures etc) - TTrenz found online. His estimate was $200k +200k
Inventory - Haleyville $380k
Inventory - Goshen, Ind - $375k
Inventory - Abbotsford, Wi - $725k
RV business Goshen, In - $155k
Net Customer Deposits (was included in sale @ Abbotsford)
Total Assets - $4.854M
Schedule of Liabilities - $3.5M
Wells states they are owed $400k
To be conservative Total Liabilities - $3.9M
More positives to come -
Superior business in NJ - filing earlier this week states that business will be sold for assumption of lease plus something else. Assume they get the inventory value for the inventory + FFE that is $115k.
Red Bay, AL property (filing states $550k)
Red Bay, AL inventory (filing states $269)
In summary, what I've seen here is the properties are selling for Inventory. The one building in PA is a definite zero.
Re Hayleyville Property: I don't know how to value the lease of the Haleyville AL building as the lease states that DINIQ is going to be the leaseholder and they will make payments to Wells. Not knowing the taxes, etc for the building I figured they would need 8-12 years there to break even to pay back Wells. I struggle thinking that means they are turning it over for $0 value to Wells. I think my $0 is conservative but I don't know how to value it otherwise.
We know they are liquidating and not reorganizing as they are selling the customer lists as part of these deals. My simple math of A-L puts my downside at around the current share price with some upside and we'll know in a month. worth my gamble imo.
I've been keepung track of everything. I'll post it tonight when I get home.
So I spent some more time working on this last night and I am happy that I did. While I don't disagree with TrendTraderz there are a few things here that are confusing to me.
They have three divisions: RV (Indiana), Mobile Home (Haleyville, Al and leased Bossier City, LA) and the Hospitality (hospital/hotels) Division mainly in Abbotsford, Wi with the Red Bay, AL property listed as supporting the Hospitality division and not the Mobile Home division.
The Asset Purchase agreement for the RV division to Ascot (IN) and I believe the sale to Haleyville Draperies (AL) and DI (WI) I know included the sale of current customer contracts and I would assume some sort of NDA to protect the buyers although I didn't see that language. Add in the fact that these guys have sold everything except for building in Red Bay, AL but they sold the FFE in there. Everything has been monetized other than this and some inventory in locations that I don't know where they are so I assume are $0. So why not chapter 7, why Chapter 11? What are their plans?
It's very difficult to obtain shares. The bid/ask is very wide. On Thursday or Friday it was .17/.30 with 5k shares at .30 and the next 5k at .40. Kind of hard to pay for pacer when you don't even know if you can build a position.
My best investment ever was via following a companies job postings. Its not always reliable as companies sometimes even post jobs as they burn cash (for startups) but sometimes if you know the company well enough you can put 2 + 2 together.
Several years back Continental Airlines spun off their regional flying in a company called ExpressJet. A year or two went by and during negotiations for the next cost plus contract Expressjet overreached and took control of 69 aircraft per some terms in their contract thinking this would help them in their negotiations as Continental couldn't afford to lose 1/3 of their regional lift. Negotiations stalled and news was that they were going to start flying those for AMR. The drop dead date was Jan 31st and on January 25th ExpressJet posted on its website hiring for 30+ station managers that would only make sense if they were doing their own flying. This meant there was no deal with AMR, they were still cold with Continental and this was going to be a big money loser. I spend the next two days buying various levels of puts and timeframes to take advantage of this. Turned $2k investment into $30k in about 2 months.
After watching what you guys saw and only having 20k @ 0.04 I beat whomever it was buy buying up the 15k @ .19. Wish i had more but not at this price.
If you look at the % of citizens that use to infant formula from breastmilk as the country GDP/person rises you can easily see the value.
I got tipped to this when Mead Johnson was spun off in an IPO and its been very good for me. A core holding for me.
Dew-Sorry that I sent this to you as a private message was meant for the public. My appologies.
I think we are rangebound until a plan is filed. Anytime shares dry up the spread widens but its not moving up.
Congrats if true. I sold mine before the end as I didn't want to play the uncertainty. Congrats to those who stayed in.
Should have let me know. I would have bought those from you @ $.16.
They may have not known a thing. Over Easter weekend heard the tale on a smaller scale. Family member has a $15M line at a Harris Bank (BMO) after they bought M&I. Been there for 20 years, good credit, no issues. Line is used for payables and they just increased him from $10M three months ago due to expansion in his business, plan to double in size.
Guy he deals with called him on Friday, appologizing but they were pulling the entire line not just the expansion but their risk guys called and wanted it in. Not due to his fault, issue, etc, he had just signed with contrustion company and was shopping for new trucking equipment. Spent all weekend freaking out.
For most small companies I cannot figure out why anybody does business with these big guys. I rather be in a community bank at a slightly higher rate but with similar fees and a less liklihood of some guy 1000 miles away cutting me off at the knees.
Sold half mine for $.25 today. Don't have a pressing need for the cash but I'll take $.25 cents. My math told me fair value was in the low $.20s and I could get to $.40 if I really stretched my estimates but I sold the 5k shares @ $.25 when I went to sell at the bid and they got hit at $.26 instead and immediately kept 5k shares for bid @ $.25. I'll hold the rest to see what happens.
I had a note that the bonds were due on 8/15/2012 but I cannot find in my notes where I had that from.
It looks good but the problem is with such a small float 3M shares that the B/A is crazy. As I sit its at .10/.40. The only info is on PACER as you don't want to spend $50 for a stock that you cannot buy in size.
You still around on this?
The bid for all of March was sitting on .17 and I noticed today that it hit $.25. The current B/A is .25/.88 with 5k on both.
No news that I can find. No trading on FINRA, etc.
I may try to sell what I have and move on.
FRZ was the old ticker. Its now RDDY.
I agree with you though on there not being a play of the common in all probablility.
Been stuck in a conference all week. Can't pull up L2 on my phone. Is the B/A still .12/.30
Docket #2050 - Certification of Counsel Regarding Proposed Order Approving Tolling Agreement Among the Debtors, David H. Brooks, the Children of David H. Brooks, Terry Brooks, and Jeffrey R. Brooks Filed by SS Body Armor I, Inc.
http://dm.epiq11.com/PBS/Document/GetDocument/1723978
This is from last week. A good sign in that it appears that there may be some sort of settlement in the works. No real other details.
Docket #2050 - Certification of Counsel Regarding Proposed Order Approving Tolling Agreement Among the Debtors, David H. Brooks, the Children of David H. Brooks, Terry Brooks, and Jeffrey R. Brooks Filed by SS Body Armor I, Inc.
http://dm.epiq11.com/PBS/Document/GetDocument/1723978
This is from last week. A good sign in that it appears that there may be some sort of settlement in the works. No real other details with regards to timing beyond what is listed or amounts.
Thanks EI. I knew parts of the story and knew you would chime in if you saw it.
I think there was an actual trade of 3k shares yesterday 10 minutes before close at .0003 for a whopping cost of $.90 plus commissions. I figured someone trying to paint a tape and drive hype via some twitter feed, newsletter, etc.
Its all bs. The commons have been at .003 range for a while. At the end of the day yesterday it went all the way down to .0003 for a 3,000 share (total cost of $.90) and today it went back to .003. The increase must have set of some peoples charts and then you get this on here.
The case here is this:
There is a trustee or something (I cannot remember) who is attempting to sue 5 or 6 banks for fraud on the MBS that they sold them. If they get something like 20% reurn on the face value of what they have sued for Senior Noteholders will get something back. Then there are billions in preferreds that would have to be paid back @ 100% before equity sees a dollar. I think even if they got 100% of their claims in court common equity gets $0.
Do your own diligence. But I bet Jamon owns 0 shares before today and bought some on the rise this morning trying to play a runner back to its normal.
Sorry. You explained it better than me in my hasty attempt. Yes, you can get the check but it has to be made out to both you and the broker or with some sort of designation. Reading your message only it looks like you were advising that you can get the check in your name and simply deposit it.
If it is wholly in your name you can work it out with the IRS but I'd rather avoid that hassle (been there done that). I'm 15 months into an issue with the IRS where the agent issued a check to my mother from my fathers IRA.
The check would have to be mailed to your broker and not to you directly.
Its a sub of GECAS I believe. Makes sense since they a major leasor of commercial aircraft and engines.
I will not chase. Repeat after me. I will not chase.
Having just glanced at stuff it makes sense but I will not chase and I have to do my own DD. Will have to wait until this weekend.
Just remember that studies have shown that people who short in general have Higher IQs than ones who don't.
OT - Question about Brokerages
What brokers do you guys use? I used to primarily use fidelity and ThinkorSwim but since ThinkorSwim being bought out by TD Ameritrade I'm not a big fan.
On two different stocks this morning, both OTCs, I submitted buy orders on TD Ameritrade at the ask, waited 5 minutes and submitted the same order on fidelity. Both fido orders filled within 30 seconds and the Ameritrade ones are still open.
Since I also have been trading more Canadian Securities I'm thinking about moving to interactive brokers.
As of right now I see the B/A at .041 / .13. At a spread that wide how does one buy?
Geez, I just noticed that those buys were at .0016 not .016 like I initially thought.
Are you telling me you bought 1.6% of the company for $80? Nice. I spent that on a crappy dinner last night for the family.
That was in the file for sale of the business for $500 or $550k. I never saw a resolution to that specific point so let me know if you have.
I though the stalking horse bid on the building was $500k not $1.2M?