Yesterday panorama questioned a post I made on another thread, and he put the suggestion that having an extra 50 to 70 Million shares added to LNG’s register wasn’t diluting to share holders.
I replied by explaining that it dilutes the future earnings of share holders; however anyone who is trading this company wouldn’t think about the dilution to future earnings because they are keen for the quick profit.
I realise there are a lot of holders who trade LNG, but my issue is that some constantly ramp the company with factless comments in what seems like an endless desperate effort to suck people into buying, for their own gain, not for the benefit of new or naive investors.
I know the HC is a forum for traders as well as investors, but it would be good if ‘these’ traders had their own threads so investors could discriminate between the comments.
Perhaps rather than just seeing attempted ramping, we would see more transparency and perhaps even some actual helpful analysis, because a few seem unaware of even the basic fundamentals of the companies and industries involved.
pan then went on to say that I exaggerated when I commented on LNG’s executive’s salaries when I actually posted a lower amount that only included their base salaries (not including their short, long term, and retention bonuses).
It just goes to show how some posters (rampers) don’t even pay any attention to the facts reported, and it seems to happen all too often!!!!
I took quite a big hit to my AJM share portfolio ($25K) because, rather than spend the time researching the company’s financial position, I relied on ramping comments of poster’s on those threads for my info (and obviously spending too much time keeping abreast with LNG and a few other holdings). I just had to cop it on the chin, I knew they were having trouble with one of their offtakers, and I knew they needed to raise capital, but rather than listen to comments pertaining to the AJM’s real position, I let myself get distracted by rampers commenting in similar ways as they do here, lesson learned!!!!
DELLIOT9 mentioned that IDG paid a premium ($0.50) per share, but I guess it depends on how you look at it, here’s a couple of scenarios.
Firstly, I think IDG are now entitled to share rights themselves which leads to more dilution!! Some say fair enough if they get us the BTA’s. Ok I will accept that if it indeed happens.
But secondly, regarding IDG paying $0.50 for their shares, let’s look a little closer at two different scenarios.
1) IDG bought at a time when LNG was bleeding cash and no certainty of ever signing BTA’s, so IDG got their 9.9% worth of shares for $0.50, hardly what could be called a ‘premium’!!!!
2) If LNG had signed even just one or two BTA’s (as GV has speculated since 2016) you could reasonably say our shares could have been worth $1.50, in which case IDG has bought 9.9% of the company’s shares for a 60% discount, not a fark’n premium!!!!
This could be something that a TA or trader could post because surely it’s up their ally.
Also I’m always happy to get advice and be corrected by posters I know have good knowledge in these areas like Sivart and doctornoh.
As always, I appreciate all the facts and information Frankie posts on the deals that are getting done and the trends within the industry, I just wish you would post here Frankie so I didn’t have to sift through all the other stuff to get to it!!!!
Finally pan, that’s why I call you ‘trader pete’!!!! How about adding some integrity to your posts!!!!
MB
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