Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Be very surprised if an ec is not appointed. Many large shareholders won't go down without a fight.
Yep, Popper. Good sign, imo.
You're welcome. Glad to hear you didn't get hit too hard. It is a calculated risk to invest in companies in bk. There is alot to be settled in court yet, which will affect the value of the common shares. I am in also to see what happens. I think there is potential here for a nice run based on the asset value in the filings.
Also, as wallstreet mentioned this morning, there is some large instiutional investors holding shares that will not go down without a fight.
Good luck.
When the company emerges from bk, there will be new shares issued for the new company. During the bk process, it will be determined what valuation the current common shares are worth. When that happens, the common shareholders will be awarded compensation for their shares in the form of cash or new shares in the post bk company.
The valuation of the current common shares is what is in question. In the bk filings, their assets outweighed their liabilities by about $ 500 million. Based on the current float, that works out to over $5 per share. Obviously it is trading significantly lower than that. It will take quite a while for them to work through the bk process, and during that process the stock will trade under the pcxcq symbol.
Anyone that states the commons are worthless now have no idea what they are talking about. This is determined by the market until the bk process is over.
Two positive signs, imo - bonds over $ 40 and volume already exceeded yesterday's full day volume in an up day.
You wouldn't have bought that many if you didn't have confidence that there is value in the shares. We have about 200k. I don't have any dynegy.
Agree. I think they went into this before they were actually under water. Alot of instituional holders in this company. They will not go away easily.
I have been watching, and trading Dynegy for awhile. They never really dropped much when they filed, and are actually going up. Litespeed definitely sees a bargain there.
Good to see you on the board. I remember you from the CEMJQ days. I respect your opinion and experience with the BK's.
Well, we will have to agree to disagree. I am going with the published float in the company filings, until I see something different from the company.
See Wallstreet's post. It provides a link to their latest filing.
I think there was heavy selling and, or shorting over the past three months. The share price reflects that.
Thanks, wallstreet. That is right there in the filing. I think there is definitely a good opportunity for these shares to increase from where they are trading now, when details start emerging. Wouldn't be suprised equity will have representation too.
That is about where I had it calculated. Definitely in excess of $5.00. Going to be interesting to see how this will play out. Definitely worth more than where it is trading now.
Regarding the outstanding shares, I tried to find the outstanding shares again to doublecheck. Yahoo finance, where I saw the outstanding figure I gave of approximately 92 million, no longer has PCX listed, nor do they have the key statistics for PCXCQ. Couldn't find it under Fidelity either.
Went to Google. According the their last quarterly report, which was end of first quarter of this year, the outstanding diluted shares was 91.85 million.
http://www.google.com/finance?q=PINK:PCXCQ&fstype=ii
I am interested in finding out the accurate number of shares outstanding, as that has a direct affect on the valuation of our shares. This is all I can find. If the number of shares has grown, they had to have done it since the first quarter report, and I cannot find anything published regarding diluting the shares.
I don't want to argue about it, but please provide a link where it states a different number of shares outstanding, and I will definitely check it out. I just want to find out what is accurate.
Thanks
Don't think insiders can sell during bk, nor can company issue additonal shares. So, float will stay around the 92 mil mark until they emerge from bk.
8.25 bond up to 39.375. Was 34.50 on Monday.
I believe it is around 92 million.
Higher is even better. Someone stated they had seen the judge rule in other cases, and thought her to be fair, I believe. Another judge ruled in her abscence to allow them to draw from the financing.
Appreciate it, Wildbilly.
During the bk process, they cannot issue new shares. The share float will remain fixed. The only new shares that may be issued would be when the company emerges from bk. At that time, any valuation of the old shares will have to be paid to the existing shareholders via a cash distribution or new shares of the emerging company.
The valuation is what will have to be argued during the proceeding, and will be what is remaining once everyone is paid. That is why the bonds are interesting to watch. Investors know the bonds will be paid before shareholders.
Based on the 500 million of assets above liabilities, alot would have to be lost for the shareholders to get zero, imo.
Someone correct me if I am wrong, but I do not think any insiders employed by the company can sell during the bk process.
You're welcome Stanner. Hope it works out.
They filed for bk on Monday. Down 90% from Monday afternoon.
Corporate bond prices are typically a good indicator of where the stock price is headed in many bk situations. Two days ago after close, the 8.25 bond was 34.50, it has been as high as 38.625 today. Some investors must feel the bonds will get more than 34.5 cents on the dollar. I invested in CEMJQ a few years ago in bk, it traded in a range from .03 to 1.78, and we used the bond prices as an indicator of confidence in how the company would emerge from the bk.
The assets were larger than the liabilities in the CEMJQ case, as are indicated in the filings for PCXCQ. The math works out to be over $5/share. This could create a great opportunity for trading here. Already down 90% from Monday afternoon. Would not be suprised at all that the stock price follow the bonds. Can't say this will be like CEMJQ, Pilgrim's Pride, AMR, or some others that have done well in BK, but will not be suprised if it is higher than the current prices soon.
This bk has just started. PCX is a large company. This will take months, if not over a year for the whole process to be settled. A very good chance an equity committee will be appointed since there are some large institutional holders. This could be a great opportunity over the next several days/weeks to make some $ off of this situation. Time will tell.
All the above in my opinion. BK investing is not for everyone.
Appreciate it. We will see what happens.
Good Morning, jaxstraw. I remember you from the CEMJQ days. That was a heck of a ride there. I know there are no guarantees, but according to the filing, there is a significant difference between the assets versus the liabilities, similar to CEMJQ. I know we used the bond prices as an indicator to the direction of the stock price, while they were in the bk process. Thinking of maybe trading this one.
I don't remember where we tracked those bond prices, and haven't been successful looking on my own. Do you have a link to where we can track the bond prices? Thanks
I am trying. I think I am getting a handle on it.
USU - If I am reading the chart correctly, the Full Sto is crossing the 20 the way we want it to for it to continue to move higher, plus the outlook released by the company is very positive for growth. So, 1.25 + should definitely be realistic.
Hope so. Sounds extremely positive. Sounds like you made some good purchases there.
Augusta - You see USU news after close? Expecting huge revenues. A/H price up approx 25 %.
kraigger, appreciate it. I have been reading your posts also. You seem to have a good handle on it.
Thanks
Going to miss IAL. He responded to every question and chart request I had. I have saved his lessons to my favorites and continue to refer to them. Hope after he has a break, he will be back. Good board here.
Thanks for letting us know.
I could see how that could happen. Thanks for the tip.
Thanks, Legend. I am just trying to find some bottom plays. Thought this one might be decent. That is a huge gap due to some bad news they released.
ANTH - Legend has come off of bottom of 1.44 on Friday to 1.76 today. Sto's are showing uptrend to me to continue of off bottom. You have an opinion? Thanks
ANTH - Augusta, you have an opinion on this one? Looks like bottom to me. Thanks
Thanks, $tockfather. You guys are doing a great job. I am sure IAMLEGEND will keep it going for you.
Have a good summer.
SATC - Thanks, Legend. I will keep it on close watch.
SATC - Good afternoon, Legend. Thanks for all the lists. Lots of good plays there. Wondering if you had an opinion for SATC? Earnings are due out on 5/9, and they have come some off of their 52 week low recently. From what I have read, it appears they may be on the upswing, but would like your opinion, if you have one.
Thanks
Think last earnings statement was good, so hope that continues.
You were probably smart. I have had the same luck with after hour earnings lately also, namely PEIX and BIOF, which I didn't think either were that bad. I have since sold off both a few weeks ago.
From looks of them, it was the right move.
She read all the books. She wants to wait until they have all run so she can watch them back to back. Honestly, I liked the first season OK, but they have a lot of characters to keep track of. I told her this was good, but I liked Spartacus better.
ZOOM - I have a few thousand shares I bought on Thur. Wished I had sold Fri morning around 1.90, but if we stay under 1.60 today, I will hold through the close. I am in at 1.19.
You holding?