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Leasing company success...¥¥¥¥ debt will be paid down...Sprint to be profitable. ..Thank you Son
I listened to the cc by Son and he said no selling sprint it will be a money maker. He also stated what he says is what Happens.
Long on Sprint
Here is the link to the CC for those of you who would like to hear Son..
Softbank Conference Here!!!
This is a post from another board speaking on Son and his comments about Sprint in August. However, IMO the stock is rising right now because hedge funds are setting this up for a short in anticipating a negative financial report from Sprint on November 6.. I say they are going to be surprised.. IMO..onto the conference call repost below:
At 1:17:20 of the August 6th 2015 CC, Masa Son Says that Softbank Mobile creates about 500 Billion yen per year of free cash flow (that is about 4.1 billion dollars with the current yen up to in excess of 6 Billion dollars with a stronger yen). He goes on to state that Sprint can generate that much free cash flow.
At 1:18:25 he goes on further to say that once Sprint achieves efficiency that Sprint will be able to generate profit much larger than what Softbank Mobile is generating today.
At 1:19:00 He goes on to say that Sprint and Softbank Mobile will then be the two sources of cash in the entire Softbank Group.
Based on the above, and the fact that for Softbank to take cash from Sprint, it would have to be via dividend, that Sprint could support a very substantial dividend. See the Tandem post entitled "SPRINT - cash DRIVER for Softbank"POSTER greekmonster101 from Yahoo
Don't take my word for it, listen to what Masa Son himself says, the recording/video is freely available on the Softbank investor website. Listen to the whole CC, tons of info in there about Sprint debt reduction, about how Sprint compares to the pervious Softbank 2006 Vodafone acquisition and subsequent results, and much more color on the leasing Company plans, on the strength of Sprint ARPU and revenue versus Softbank Mobile and much more. It's a must listen event.
Jim Cramer reveals how "He" and hedge funds shorted stocks...See using below link.
Jim Cramer Shorting Stocks
I initially didnt think a buyout would be in the works, but I believe Son could be setting the float up for a potential buyout and from a company he already has lined up. IMO
$9 billion buyout for the float would fetch $15 a share
Like to see some news or filings on Softbank/Sprint. This is still a good play, Softbank is in it to win it.
Questcor Buyout Shocks Short Sellers 2014 Story
Here is a buyout that occurred that broke alot of short sellers in 2014. After reading this story I am liking the idea of an arranged buyout of sprint..
Story from The Motley Fool
I assumed we would of seen another SEC4 form last Friday...Nothing... and the volume this week has been really light.
I am predicting .01 to .03, some analyst are predicting (.83). I say they are way off and sprint will surprise.
Regulators didn’t favor the merger but John Legere also probably wanted to be in control post-merger and that made it difficult to come to some structure that could have been more accepted by Softbank or regulators.
I don’t see the latest merger idea with TMobile and Dish going any smoother. John has a big ego…IMO
IMO..Softbanks intent is not to exceed 85%, but if they were to hit 85% or above the delisting could be done by the exchange due to liquidity of shares. They would just be moved to the OTC
The lower float could benefit Softbank if their intention is to go private and offer a premium to the float shareholders, but I don’t think going private is there intent.
In one of my previous post I made the point that Sprint isnt participating in the 2016 spectrum auction despite needing the low frequency spectrum to truly compete.
That is why I believe they already have their eye on a merger/acquisition with a company that does or will be acquiring the spectrum. I dont believe it is with ATT, VZ or TMUS. I believe there would too much push back by regulatory agencies and could takes up to 2 years....Again IMO
There's more moving pieces than just the buyback.
Tally so far based on the SEC4 filings 161,537,786 shares bought back at $713,866,216. My estimate is about another 39.5 millions shares they will purchase.
The dollar amount they allocated was 968 milion for the buyback and that would easily get them to 85% --or the float down from around 800 million to 600 million
Correction... we should see a SEC4 on Friday NOT Thursday. Softbank normally shows 3 consecutive trading days in a filing, so today would make it 3 days, filing tomorrow for purchases made on Tue, Wed & Thu.
They are rebounding and they have a plan that is being executed. There are a lot of cynics, but sprint will rebound. Alot of positives going on...With that a short squeeze as softbank reaches close to 85% ownership the float will come down to 600 million.
Biotech's are taking markets lower
Softbank has purchased stock every trading day since September 15th according to the SEC4 Forms..
We can safely assume they are buying today!!!
Date Shares
9/15 – 1,874,060
9/16 – 3,702,223
9/17 – 1,877,789
9/18 – 5,836,397
9/21 – 2,841,135
9/22 – 4,656,999
9/23 - 2,469,570
9/24 – 2,819,064
9/25 – 1,800,280
9/28 – 6,184,941
9/29 – 6,231,700
9/30 - 6,231,700
10/01 – 5,043,132
10/02 – 5,550,444
10/03 – 3,934,144
Softbanks holding is 3,309,776,442 shares out of the 3,968,000,000 outstanding.
As Softbank moves ever so closer to the 85% ownership they understand this creates liquidity problem for its shares in the market.. They will butt right up against the 85% delisting rule. There intention isnt to get delisted, but they understand shorting the stock becomes harder. This will setup for a short squeeze, exponentially so if coupled with great news JUST MY OPINION
Another purchase by Softbank 14,527,720 shares purchased at an average price of $4.17, worth $60,598,918 SEC FORM HERE
Tally so far 161,537,786 shares bought back at $713,866,216. My estimate is about another 39.5 millions shares they will purchase.
Short interest is 21%
Some interesting facts that I believe point to a higher stock price. As much as $10 in the next 2 months. 95% of headlines don’t give you all the pieces, but include adjectives such as cash strapped, struggling, last place, desperate. But I believe that is only to mislead the average investor…
1.Softbank is buying back almost $1 billion in shares back and have almost completed the buyback. Ultimately lowering the float to 600 million
2.Softbank has stated they are all in with sprint
3.Sprint has hinted at an acquisition- I believe because they have opted not participate in the spectrum auction in 2016 they may have a company in their sights that does have the spectrum. You can’t truly compete without this spectrum. (they know it)
4.Sprints recent aggressive pricing has lured customers away from its competition
5.Softbank has formed 2 leasing companies to help Sprint in their phone pricing
6.Churn rate is lower than 1 year ago and is projected to continue down
7.Sprint is focusing again on customer satisfaction and easy to understand price plans
8.Sprint CEO has been given an incentive by Softbank to get the share price to at least $8
9. 2.5 billion dollars in cuts IS NOT desperation it’s good financial responsibility. Trim the fat so you can get to the meat. This will and has contributed to the recent price increase in shares.
I believe Sprint is setting the standard…. UP is where I see this stock… brace yourself.
Does anyone have Level II and if so who is the Axe of the MM's trading Sprint?
Sprint trades is blowing past the 3 month average volume with still 2 1/2 hours to trade...
Softbank is finishing up its buyback...they are getting ready to blow the hatch.
IMO--in addition to SB buyback, there maybe some institutions picking up a large amount of shares..They smell the release of the sharks coming after blood.
I could only speculate but Masayoshi Son, Chairman & CEO of Softbank expressed his disappointment in the sprint stock price and stated it was way undervalued and said Softbank is all in with Sprint.
Shorts truly believed Son would dump Sprint and when they didnt....the battle began.
They are up to something and I believe they are going to drop a whammy on the shorts.
Another purchase by Softbank 18,648,341 purchased at an average price of $4.00, worth $74,586,350 SEC4 FORM HERE
Tally so far 147,010,066 shares bought back at $653,267,298
Alot of large purchase went through at $3.85, Softbank is buying up the shares.
I dont think we will see $5 this week, but what we will see is Softbank pick up additional shares at these levels. If they purchase the remaining shares at these preice that would get them to the 85% ownership and they will do it for less than the $968 million buyback allocation. (for about $935 million).
Alot of short pressure going on.. Headlines such as "Sprint (S) Stock Closes Down on CEO Merger Comments" Really, just a few months ago analyst were stating Sprint needs a merger but wont get it>
Then on September 11th "Insider selling Sprint Stock" Okay -they didnt mention Dow Draper only sold 15,280 shares to pay taxes, but still held 303,000 shares.
I am reading the articles and it is apparent that their only intent is to put downward pressure on the stock. I can only believe that when Softbank is done with the buyback we may see some others who may share their holding numbers with us...IMO
I can only see myself buying more of this stock at these levels I believe it is a bargain I cant pass up.
Another Softbank purchase of 7,088,914 shares at $4.36 a share valued at $30,939,582 on September 23rd. SEC4 Form Here
This brings Softbanks share holdings to 3,276,600,381 which equals to 82.58% according to the filings.
The better question you can answer is what led you to purchase and or hold on to your 15 thousand shares?
A little stock comparison-- not to be used exclusively in making investment decision, but to provide a snapshot on the competitors shares.
As you can see Sprint and Tmobile has the highest insider holdings while Verizon and ATT have less than 1%. Sprint has the lowest float 17% of outstanding compared to ATT and Verizon where the float represents 99% of the outstanding. Tmobile's float represents 34% of their outstanding.
When a squeeze happens I wonder which stock would benefit most from it.
SEC4 form shows Softbank purchased another 13,334,531 shares on September 18th. Trade valued at $59,126,318. SEC4 Form
So far Softbank has bought back 121,272,811 shares since August 7th spending $547,741,366 of the $968 million allocated for the buyback. Bringing the float down to about 680 million shares from 804 million. There is about 80 millions shares for them to buy to reach the max 85%.
At 3:01 p.m. a purchase of 3.8 million shares were purchased.. Softbank is buying up again.
Softbank purchases another 7.5 million shares at $4.77 per share..
SEC4 Form filing link
I am still looking for any additional SEC4 filings... if we dont see any this week, especially with the stock price then I BELIEVE a large deal is working for a merger...IMO
Softbank has stepped back from the buyback and the shorts are in play.. I believe Softbank has deal working for Sprint...it is probably killing Son to have to watch and keep from buying more shares back....I seen an announcement or the hint of one coming in the next few day... Of course IMO.
Say it again..Volume is indicating that the buyback has stopped midstream, even during the buying opportunity that exist...There is a deal going on and I have a feeling we will get wind of it soon...IMO...
Long and Strong for Sprint
that is incorrect...the float was at 804 million prior to the announcement, it is now about 700 million. They would need to purchase another 100 million shares to own 85%... as of date they have purchased 100,500,000 shares and spent $453 million of the $968 million allocated for the buyback. (According to the SEC4 reports)