I’d guess at a common stock buyback and investments in mining small caps, which are crapped out. I’d go so far as to say that Jonathan Goodman has not put a foot wrong - but the most difficult part, which is restarting growth, is yet to come.
Quote from: petec on May 11, 2020, 10:18:33 AMI’d guess at a common stock buyback and investments in mining small caps, which are crapped out. I’d go so far as to say that Jonathan Goodman has not put a foot wrong - but the most difficult part, which is restarting growth, is yet to come.Why do you guess common buyback over prefs? I'd imagine an SIB for the prefs before a common buyback, given that it decreases cash outlay going forward. I *hope* something is in the works with respect to their capital structure. I'm expecting that COVID is also forcing them to put more capital into some of their bigger operating businesses.
Quote from: doc75 on May 11, 2020, 10:31:13 AMQuote from: petec on May 11, 2020, 10:18:33 AMI’d guess at a common stock buyback and investments in mining small caps, which are crapped out. I’d go so far as to say that Jonathan Goodman has not put a foot wrong - but the most difficult part, which is restarting growth, is yet to come.Why do you guess common buyback over prefs? I'd imagine an SIB for the prefs before a common buyback, given that it decreases cash outlay going forward. I *hope* something is in the works with respect to their capital structure. I'm expecting that COVID is also forcing them to put more capital into some of their bigger operating businesses. The preferred shares are permanent capital with no covenants and a reasonable rate. I wouldn't SIB them, maybe pick them off a little by little. The common however - that I would SIB a boatload - say $75 million buyback at $1.50 per share? That could retire half the shares outstanding.
Other safer prefs IMO, many of which trade around $10.