Short interest in TLW now down to 3% - the bears have surely moved on from TLW now - suggests there is genuine support for the price around here?
@ paul1945: what's the point in selling now? Seems to me to be just locking in losses... also, how will you know when to get back in? You could miss a leap upwards and compound your aggregate loss in so doing, over the long term.
$800 m worth of bonds contracted - $150 m more than target. That has to be a massive vote of confidence in TLW - SP has to re-rate from here surely??
Bought at 399 to average down to 480p ... will be holding for the long haul ...
Short interest in ISAT is down from 8.29% at the end of Nov to about 4.61% as of yesterday. It suggests the falls that happened in the SP have rewarded the short sellers sufficiently at this stage, the motivation for shorting probably in anticipation of a dividend cut. However, the shares reacted before the event leading to the ridiculous yield of 9% etc. In any event, it looks like the shortsellers packed up their stalls and have started to move on to some other target. At the remaining yield of almost 4% dramatic further drops in SP seem unlikely so could see more short covering now and the SP gradually appreciate a bit and find a medium term level in the absence of any significant news. Agree with Boyobach that it doesn't reflect very well on mgmt that they didn't "see this coming" and continued with a disproportionate interim div. but better late than never.
Good decision to cut the dividend even if it will cost me a few quid in the short term. The in-flight wifi opportunity is huge and there are significant barriers to entry so if it can get a solid foothold in that by investing more now I'm all for it. It'll still be yielding close to 4% if the stays around here which is fair compensation for having to have patience. It's encouraging to see them talking about hiring people with new technology skills also - if they are going to be leaders in the IOT/M2M they will need talented engineers who are in ever-increasing demand but ISAT has a lot of advantages if it can get the right personnel.
One report y'day suggested SKG would be open to offers of €40+ ,,, hard to see Intl Paper upping their offer by that much especially if they had to make more of it in cash as opposed to shares ???
Actually, another thing to take into account is that Intl. Paper, although its recent return-on-equity no. is decent (>20%) its return on capital is not great (5%) and according to a cursory analysis I just saw, it may be over-valued by as much as 40% based on discounted cashflow method of valuation. Therefore, it would be in its interests to use as much of its equity to pay for SKG as possible if it is that much over-valued. If correct, the share component should only be valued at 60% which brings the effective offer per share down to around €32.33. Maybe that is why SKG are so insistent that it is indeed, opportunistic...
Sold about 25% of mine @ 34 as planning to hold SKG long-term but had target of around 33 to slice some off the top. Price is out in RNS this eve. from Intl. Paper who claim it amounts to €36.46 per share but only €22 of it is in cash and the rest in Intl. Paper shares...think it would be a lot more attractive with a larger cash component but still Smurfit board are facing it down... you would wonder what it would take for them to recommend... Obviously hostile approach from the tone of the Intl. Paper RNS. Either way, v. happy with getting €34 for a tranch of them and will buy back in if it drops back below €30 again in the event improved bid doesn't materialize... at least now we know what other people thing of SKG's potential/valuation.
