http://siriusbuzz.com/forum/showthread.php?t=1241Quote:
Originally Posted by Siriusowner
Printable View
http://siriusbuzz.com/forum/showthread.php?t=1241Quote:
Originally Posted by Siriusowner
http://www.marketwatch.com/news/stor...ml&dist=pfbeta
At the beginning of the decade a number of internet and next-generation technology companies raised money through venture capitalists and IPOs. Many of these companies had little, if any, revenue. Most had relatively high expense structures.
As these firms quickly ate through the cash on their balance sheets and continued to have poor sales prospects, the term "burn rate" was coined. If was defined as the amount of cash a company had on its balance sheet divided by the firm's monthly expenses less any revenue. An operation with $12 million in cash less short-term debt and a $1 million a month "burn rate" was expected to be out of business in a year.
At this point, GM (GM) and Chrysler would make any burn rate risk lists as would a number of retailers who had awful holiday seasons and are facing repayment of debt or revolving credit facilities. That is why Pier 1 (PIR) is trading at $.40 and shares of Dillard's (DDS) are off 80% over the last year.
The use of the term has almost disappeared but it is likely to re-emerge now and refer to companies which are more mature and part of the mainstream economy. With credit nearly impossible to come by, operations with high debt and negative operating income are going to be defined by how long the capital they have access to will last.
Sirius XM (SIRI) is the most well-known company with a burn rate problem. It has about $1 billion in debt due this year, and has been running an operating deficit which is shrinking but may not go positive before the company becomes insolvent. At the end of its September quarter, it had $360 million in cash. The modest cash position and high debt accounts for a $.13 stock price.
Another company which is almost certainly to be taken under by its burn rate is Charter Communications (CHTR). With $21 billion in debt and interest coverage that is overwhelming its operating income, Charter may not make it until the end of the quarter.
The newspaper industry is being crippled by the burn rate problem. Big chains Journal Register and Gatehouse are already at the edge of insolvency. McClatchy (MNI), the country's third largest newspaper company may well have debt service problems this year. Even The New York Times (NYT) is facing a $400 million debt payment later this year and does not have the cash on hand to cover it.
Unless the credit markets unlock at a furious pace, there will be a lot of well-known companies going into bankruptcy this year.
Douglas A. McIntyre
SIRI's 3 billion in debt is nothing compared to CHTR's 21 billion in debt......things could be worse.
Face it, the only worst thing is BK.Quote:
Originally Posted by Demian
Looking at the charts, all of the indicators (RSI, MACD, ADX, AROON, etc.), not to mention the convergence on the trend line and the resistance level of .13 and the support level of .11 all say the same thing for tomorrow morning - and that is "Out of the gate sideways or slightly down INITIALLY". However that could take a quick change bullish or bearish. So it will be a really iffy start and possibly really mixed up for a bit until bulls and bears pick a direction to go. As far as the falling wedge....well it really isn't defined that well at this point, so I have some disagreement there, but am willing to have some optimism, but a few more days should clarify the wedge, hopefully.Quote:
Originally Posted by Demian
Also it made a bullish crossover about 10:30 this morning and then made a bearish crossover about 11:00 a.m., but the convergence and divergence stayed relatively parallel and close until the closing where they were almost identical.
The strength levels in the ADX and RSI are tending to go slightly in the right direction, but still are weak, but not in the worst position.
So, I say for tomorrow, sideways to slightly down at the beginning and then a possible very very quick adjustment either direction. It will be interesting, because it could take off any direction because the numbers are just too close. This is just a prediction from reading the chart for a couple of minutes and using typical chart sense. When we can get 3 days of good positive divergence, then we could be on our way. With a good three days, it could be a great indicator to buy, but let's see what happens.
Rest up and back into the battle tomorrow!
so this is the second time that they've diluted shares as of late. are they just going to dilute the shares little by litte until the feb debt is paid off? or are they going to dilute the shares until theyre down to a certain amount where they will be able to refinance? what do you guys think the strategy is here?
Ficonnaci agrees, sideways or down. Probably back to .1275 to 0.13 at closing. Whenever it comes back up, it needs to do so with a bang and close above the downtrend line.
Fundamentally S&P downgraded SIRIUS and each time a rating agency upgrades or downgrades it is better to jump to the other side once the news settle.
Quote:
Originally Posted by m4svt
Little by little. There's not need to do them all at once.
With standard chart protocol, yeppers! BUT, who knows...have a great evening!Quote:
Originally Posted by Siriusowner
You all can't be serious talking about trend lines between 11 & 13 cents. Zero = no financing or $1.00 with financing & the trends means nothing. People have been talking about downside resistence from $9.00 to .12. I can tell you one thing, 0 is the bottom.
And I own shares and tempted to buy 10g's worth right here, I have to laugh at this thread.
You have a very valid point! Considering the finances of the company, you have an extremely good point, and I personally agree with you!Quote:
Originally Posted by sxminvestor
As far as where the stock goes tomorrow, that is the prediction above, not about the stock with financing or no financing involved, or the projected success or doom of this company. Personally, I am very interested in charting and make purchasing and selling of all of my stocks on many variables. Charting is one of them and finances is another. Financial reports are important to me.
I have money side-lined, but I like to find a good entry point before putting it into a stock, because there are other stocks that I am looking at or buying all of the time. I have to use my money as wisely as I can to make money, or to me there is not any sense in investing.
Sharing a prediction is not a bad thing, nor is throwing $10 g's when you feel the time is right. We all do and think about investing in different ways.
Nice to meet you!
Have a great evening.
http://www.cnet.com.au/hometheatre/0...9294031,00.htm
CES 2009 preview: Home audio
By John P. Falcone on 06 January 2009
"With federal approval of the XM/Sirius merger, the unified company can begin touting its consolidated programming offerings and — perhaps — begin to discuss hardware that can access content from both XM and Sirius satellites. But the fact that the company is now a penny stock will weigh heavily, as will the troubled US auto industry — the sales from which traditionally drove satellite radio subscriber growth."
The trend means nothing now because it already reached bottom...but from $9.00 to .12 there is only one trend... down and that is when support meant s*&t.Quote:
Originally Posted by sxminvestor
Support = Bottom, Resistance = Balance sheet and Debt, once those get fixed, the resistance will disappear and we won't have to worry about support. BUT remember Wall Street is all about perception and a perception that those will get fixed will lift the price of the stock. And amazingly that is what is beginning to happen, otherwise the price of the stock would be already in the single cent digits or 0.
If you trade 1 block of 1000 shares, he is right, there's not need to over analyze the stock. However, if you trade 10 blocks or 100 blocks then you do need to have a sense of where the price is going, don't you think ? I mean throwing 10 g's at a penny stock... you really have to have the guts, a bottle of cheap scotch and 1 or 2 strippers dancing in your lap...Quote:
Originally Posted by billhart22
There is no way I am going to buy that low volume gap up this morning....
I'm waiting for more direction...
This is just off the top of my head, but I will throw this out there....
SIRI hasn't closed up 3 days in a row since last December - so that's a lot to ask with no news, but if it does close up for a third day - it could mean a real reversal....or not.
Prediction - SIRI closes at .13 today...
Yes, we all thought it will be down but Tripping made a good point, this would be the 3rd day up not the 4th and stocks go up or down most of the time following Fibonnaci's sequence. 1 day up, 2 days down, 3 days up, 5 days down, 5 days up, 3 days down, 2 days up, 1 day down, etc .... Rarely the go 8 days in a row up or down but they do...from time to time. 4, 6, & 7 are not part of the Fibonnaci sequence. Still, this is just one indicator, the 15 day moving average was crossed yesterday (it has not happened since July 2008) and stochastics were close to the oversold side. Three indicators showing the stock will move up today and may continue doing so + the S&P downgrade + the new year + perception...All we need now is volume today... on the dark side you have dilution... How many shares have they issued so far ?Quote:
Originally Posted by Demian
Siriusowner,
I was the one that made that point about SIRI not being up 3 days in a row for weeks and that this would be the third day. You said SIRI had already been up 3 days in a row and Tripping corrected you.
Looking at the volume picking up and strength of the current channel, I decided to buy in @ about 13 and a half cents....
That was my plan.......to see more direction. I saw it and liked it so I bought more - adding a few more thousand shares to my position. Not as much as I had bought at .12, but I have been scaling in...
SIRI still might go to .13 today, but I see more risk being out than in right now - and especially at this level...
http://biz.yahoo.com/prnews/090106/ny55826.html?.v=1
Press Release Source: SIRIUS XM Radio
Renowned Chef Bobby Flay to Host Exclusive Five-Week Series of Shows on SIRIUS XM Radio
Tuesday January 6, 11:09 am ET
I am going to comment on the volume today because it is picking up and there has been over 30 million shares traded so far today. It's looking like SIRI will finish the trading day with above average volume. If SIRI continues it's uptrend with this kind of volume, it is more confirmation of what I think may be a reversal in progress...
What about asteroids hitting the satellites?Quote:
Originally Posted by Siriusowner