Author Topic: SSW - Seaspan  (Read 141309 times)

kab60

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Re: SSW - Seaspan
« Reply #450 on: August 29, 2016, 06:21:51 AM »


Uccmal

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Re: SSW - Seaspan
« Reply #451 on: August 29, 2016, 10:09:21 AM »
I am underwhelmed with Seaspan at the moment.  My plan is to shrink the relative size of my SSW position by redeploying the dividends into other stocks or to pay debt. 

The balance sheet and what is going on are hard to follow at the moment.  They have scrapped two relatively new smaller ships in the past couple of weeks for far less than the purchase price minus accumulated depreciation. 

Now, they have had to capitulate to Hanjin.  On a cost benefit analysis it was obviously better to reduce rates for Hanjin for the 8 or so ships chartered than to try to recharter or scrap them.  Lets hope their bigger customers dont see this as an opportunity.  No details were given on what kind of deal was reached - probably a deal to charter for longer and add newer ships.

Layering onto this had been several preferred share issues at rates from 7 to 8.5%  to pay for ships.  I am guessing the plan is to buy in the Carlisle Group partnership which will give them more ships which to my mind is a dubious objective.  As they have grown in size they have become more and more at the mercy of the industry dynamics as a whole. 

Not saying that they are badly run.  I just think it is a partial pyramid scheme that only works properly if container shipping demand grows over time.  Of course I knew this and have indicated it a few times on the board.  So, in summary, shareholders are totally at the mercy of the shipping cycle now, amd I womt be adding any shares.
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Uccmal

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Re: SSW - Seaspan
« Reply #452 on: August 30, 2016, 07:43:30 AM »
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kab60

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Re: SSW - Seaspan
« Reply #453 on: August 30, 2016, 08:07:13 AM »
Strange. I was surprised I couldn't find a statement debunking the story yesterday. Rate cuts or not, I don't like this part;
However, Seaspan is willing to help in other ways, said Mr Wang. That could involve, for example, investing in a revamped Hanjin Shipping should a new ownership structure take shape, or ordering ships on behalf of the South Korean line.
But nothing could be decided until the outcome of the current crisis is known, said Mr Wang.

gurpaul88

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Re: SSW - Seaspan
« Reply #454 on: August 31, 2016, 01:03:14 PM »
Any thoughts on Tsakos Energy Navigation Ltd  (TNP) (oil and gas shipper) been hit pretty hard this year, preferred's have rallied quite a bit while common continues to slide.

kab60

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Re: SSW - Seaspan
« Reply #455 on: September 03, 2016, 02:36:29 AM »
Don't know that one. In this space I prefer SFL, but I have no position. They have drybulk, containers, drilling rigs and crude carriers - but most of all they seem to have good management. But not without hair.

argonaut

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Re: SSW - Seaspan
« Reply #456 on: September 03, 2016, 06:40:40 AM »
I owned SFL (not currently) for several years starting after 2008... It paid a nice div and the CEO seemed to manage the down turn well (and continues too)...I sold out recently when it hit 18-19 because I had other stocks with more upside the STL at that level... Just my .02

lessthaniv

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<IV

Uccmal

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Re: SSW - Seaspan
« Reply #458 on: September 13, 2016, 06:22:53 AM »
http://www.bloomberg.com/news/articles/2016-09-13/hanjin-s-fall-is-lehman-moment-for-shipping-seaspan-ceo-says



Thanks <IV.  I am hoping the pricing for the Carlisle group buy in reflects the loss of ships under contract to Hanjin via CGI.  Otherwise, over the long term this bodes well for Seaspan through higher prices.  It amazes me how much supply each of these ships carries ( billions of dollars). 
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Uccmal

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Re: SSW - Seaspan
« Reply #459 on: November 02, 2016, 08:39:10 AM »
3rd Q earnings out.  I should have dumped the whole posiiton when it was plus $20.00.  Hindsight is 20/20. 

200 Million writedown on older ships.  I dumped more than 50% of my position after the earnings.  The rest I will leave alone for now.  Management is trying to talk the stock up by diverting the focus on the capacity that is being scrapped worldwide, while they keep ordering > 10000 TEU ships.  The problem is that SSW makes up a good portion of the capacity.  So, they will have more writedowns coming. 

It was good while it lasted. 
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