Danaos Corp (DAC)

[grantastic]

btw I first bought DAC in 2008 and I've made a few profitable swing trades over the years. So I have history.

I was ready to buy again ~2 years ago when it hit $3.50 - $2.50 but another poster warned me how their ships market values were WELL below their book values. He was shorting the stock (I never have) and that's when I realized the end-game for DAC is not a happy story.

The massive P/E was a mirage which drew in a lot of naive investors (myself included), by luck I always got out when it "felt" like the stock had peaked. I never thought DAC would fall below $3. (That's lower than the price which Costas invested liquidity in 2010)

But if even the founder & 80% shareholder overpaid for his recent shares by 3x, that's pretty scary to me. He badly mispredicted the coming shipping rates by dumping DAC's spare cash into even more self-serving shipping expansion (Gemini Ventures)