Replies to post #2387 on Navios Maritime Holdings Inc. (NM)

[investorwisdom]

In my opinion Navios is not a play on BDI rates, going forward thier earnings will be affected by current rates as contracts expire and must be renewed, but as far as spot rate, they only keep a small percentage of the fleet employed in that market at any given time. Navios is financially responsible. And looks to me like they are more concerned with building a shipping empire than guessing the future spot rates, and trying to jostle the ships and contracts to meet those expectations, I see them as more focused on slow steady growth, V.S. risking it all for a quick buck in the spot market like DRYS, OCNF, EXM etc... Navios is now the leader in the Dry Bulk Market going forward, and getting bigger as the other shippers are forced to dilute shares. The very prude investing methods are now propelling us to the front of the shipping sector, with ambitions, knowhow, guts, and resources to get it acclompished. Navios clearly setting the new standard for how shippers should run thier businesses.

[investorwisdom]

Angeliki has said it time and time again, short term variations in BDI rates have next to no financial impact to Navios earnings. If the BDI goes up or down, short term is not important, because they lock the rates in above break even, to support the expansion of new ships. It is clear to see that this plan of slow and steady growth will surley pay off in the long run. Once the ships are paid for, that is when I think they plan on taking more part in the spot rate market. So yes this is a long term play, but if you can hold this long term like I will, you will be rewarded greatly, they will have a modern fleet of ships with no mortgages, the long term goal is for the business to be all profit, and then they can start paying $1 share dividends all the time.