Page 2 of 3 FirstFirst 123 LastLast
Results 11 to 20 of 22

Thread: Is the RS going to happen???

  1. #11
    Newman is offline
    Mentor
    Newman's Avatar
    Joined: Jun 2007 Location: Dallas Texas Posts: 1,162
    Quote Originally Posted by SiriusXMInvestor
    How can a stock be trading below its material value?
    Here is a potential explanation: The stock is priced for REORGANIZATION, not bankruptcy. If the company files for bankruptcy, the debt holders get paid off first. If the material value is not enough to pay off the debt, then the shareholders get nothing. Of course, this does not take into account "intangible assets" which would include the spectrum, which is said to valued at atleast 3.2 billion I believe it was. In total bankruptcy, this spectrum would be sold off (with the approval of the FCC), and then any left over funds would go back to the shareholder. This almost NEVER happens.

    HOWEVER: That would be in bankruptcy. If they reorganize, of couse they cannot sell off their satellites and the spectrum, because then they would be out of business. Thus, if they reorganize, the shareholders get left with JACK, the debt holders get repaid the some of what they were owed, and the company comes out with new shares and sells them for financing.

    THAT is how the common stock and be priced lower than material value of a company. Look at the company bonds: They have always remained valuable and a good trade, while the common stock plummets.

  2. #12
    Greenland is offline
    Enthusiast
    Greenland's Avatar
    Joined: Jul 2008 Location: nation's capitol Posts: 119
    <--- maybe this is how Mel should've acted toward his marketing department when he took over as CEO.

  3. #13
    Greenland is offline
    Enthusiast
    Greenland's Avatar
    Joined: Jul 2008 Location: nation's capitol Posts: 119
    <--------- this is how he's been since the merger.

  4. #14
    Greenland is offline
    Enthusiast
    Greenland's Avatar
    Joined: Jul 2008 Location: nation's capitol Posts: 119
    <----- these are two thoughts sitting on my shoulders.
    " buy more ! " " greedy bastard ! "

  5. #15
    homer985 is offline
    Senior Member
    homer985's Avatar
    Joined: Mar 2008 Posts: 485
    Here is the statement given by NASDAQ regarding the suspension of the $1 bid requirement...


    "United States and world financial markets have faced unprecedented turmoil recently with the number of NASDAQ-listed companies trading below $1.00 per share increasing from 64 on September 30, 2007, to 334 on October 9, 2008. NASDAQ believes this temporary suspension will help restore investor confidence and allow companies to focus on running their businesses, rather than satisfying market-based requirements that are largely beyond their control in the current environment"


    I just did a search of companies still under $1 and the number as of today is 261. That is still a very large number with approximately 40 days until NASDAQ revists this. I believe that if the number under $1 remains over 200 of their listed companies -- then they will extend the suspension for another 3 months or so beyond January 19th.

    Furthermore, with two (2) 180-day compliancy periods, Sirius is still over another year away from being "delisted".... which pushes it into 2010.

    And finally... if they are "delisted" they are not kicked out of NASDAQ to the pink sheets, or whatever... Sirius is already qualified for the smaller NASDAQ "National Market" (they're current on the "Capital Market"), if they so choose.

    This whole issue with the delisting... it's not that it is overblown -- it's just very largely misunderstood.


    And FWIW, if NASDAQ extends the suspension of the requirement -- I believe it will be doubtful that Sirius will RS in the CURRENT situation.



    ---------

  6. #16
    Siriusowner is offline
    Addict
    Siriusowner's Avatar
    Joined: Nov 2008 Location: The Oil Patch, Texas Posts: 922
    [QUOTE=homer985;7581]Here is the statement given by NASDAQ regarding the suspension of the $1 bid requirement...


    We know the rules but no matter what they do, they need to get their act together before they get delisted, IF they are notified by NASDAQ.

    They have a year for this one...

    I know that once they get delisted - IF they get delisted which is what they are trying to avoid at all costs, EVEN OURS (OTC, Pink Sheets, the national market, etc... ARE NOT the NASDAQ and they know it) - things will start snowballing towards BK, which will be even worst...

    Still, I feel there are plenty of similitudes with the TITANIC...
    Last edited by Siriusowner; 12-08-2008 at 10:44 PM.

  7. #17
    Siriusowner is offline
    Addict
    Siriusowner's Avatar
    Joined: Nov 2008 Location: The Oil Patch, Texas Posts: 922
    Quote Originally Posted by Greenland View Post
    <----- these are two thoughts sitting on my shoulders.
    " buy more ! " " greedy bastard ! "
    So, you are , and you do not know if you are but I know you are basically therefore why don't you act and wait for the shareholders meeting before doing anything, uh ?

  8. #18
    Greenland is offline
    Enthusiast
    Greenland's Avatar
    Joined: Jul 2008 Location: nation's capitol Posts: 119
    Quote Originally Posted by Siriusowner View Post
    So, you are , and you do not know if you are but I know you are basically therefore why don't you act and wait for the shareholders meeting before doing anything, uh ?
    you hit the nail on the head. good thing for me i saved loads of money after spending my happy hours at home with the xbox instead of bars dor the last 2 years and i managed to save money. now i'm trigger happy on a few of my stocks , except this one.

  9. #19
    homer985 is offline
    Senior Member
    homer985's Avatar
    Joined: Mar 2008 Posts: 485
    Quote Originally Posted by Siriusowner View Post
    OTC, Pink Sheets, the national market, etc... ARE NOT the NASDAQ and they know it
    First a correction on my part -- Sirius already trades on the National Market... but if they do not meet the requirement for continued listing, they could get dropped down to the Capital Market on NASDAQ.

    Regardless, I'm not arguing with you or your point -- but I do have to make a factual correction to your post. The NASDAQ Capital Market is very much NASDAQ and there are hundreds of companies on it, that most would not even realize the difference between the two.

    Here's a couple examples -- looking at them, most would never know that they trade on a different part of NASDAQ...
    http://finance.yahoo.com/q?s=AXAS
    http://finance.yahoo.com/q?s=NPLA

    Anyhow, this gets way off the point here... I'm not arguing over the intent in this thread -- just keeping it factual.



    --------

  10. #20
    TSavery is offline
    Head Honcho
    TSavery's Avatar
    Joined: Jun 2007 Posts: 524

    siriusxminvestor

    I have covered several aspects of what is happening with this equity. However, while this stock does appear to be heavilly manipulated, there is no "smoking gun" as to who it is and why. Everyone has seen the closes get painted, everyone has seen the odd duck trades.

    What has been transpiring could have an explanation as simple as.....There are people who know they can profit from it. While it seems simple, go to your nearest wholesale club on a sunday morning. Watch the AARP aged people walk in and eat from each and every sample tray. They spend $4.00 in gas to get $1.00 worth of free samples. How did the crowd get so big? One person told another, who told another.

    Look what happened to oil. It kept going up. People just kept jumping on it.

    Isthere an intent to wipe out shareholders by the company? I'll say this, if there is, a class action will happen.

    Mel has serious money riding on shareholder value appreciating. Not only with his own shares, but with 30,000,000 option shares. There are many factors at play here, but as yet I can not subscribe to the company going bust onpurpose.
    Tyler Savery
    Satellite Standard Founder

  11. Ad Fairy Senior Member
Page 2 of 3 FirstFirst 123 LastLast

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •