Author Topic: PDER - Pardee Resources  (Read 81157 times)

awindenberger

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Re: PDER - Pardee Resources
« Reply #190 on: May 16, 2020, 02:13:29 PM »

They also really need to have a come to Jesus moment over the investment in the DC Solar ponzi scheme. Instead they say this:

"Due to substantial uncertainties, the Company is currently unable to determine the financial impact arising from this complex situation, however, the impact could be as much as $7.2 million, which includes related tax impacts. As mentioned previously, we are pleased with the performance of the balance of our alternative energy assets,which have proven to be reliable, low-risk investments."

So the same management team that invested $7.7 million in a ponzi scheme thinks its other solar investments are "low-risk"? Great.

Solar investments on the whole are generally extremely low risk once construction has been completed. Getting caught up in a massive ponzi scheme that netted Berkshire Hathaway as well seems like bad luck rather than a series of poorly evaluated solar investments.


Foreign Tuffett

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Re: PDER - Pardee Resources
« Reply #191 on: May 18, 2020, 05:50:24 AM »

They also really need to have a come to Jesus moment over the investment in the DC Solar ponzi scheme. Instead they say this:

"Due to substantial uncertainties, the Company is currently unable to determine the financial impact arising from this complex situation, however, the impact could be as much as $7.2 million, which includes related tax impacts. As mentioned previously, we are pleased with the performance of the balance of our alternative energy assets,which have proven to be reliable, low-risk investments."

So the same management team that invested $7.7 million in a ponzi scheme thinks its other solar investments are "low-risk"? Great.

Solar investments on the whole are generally extremely low risk once construction has been completed. Getting caught up in a massive ponzi scheme that netted Berkshire Hathaway as well seems like bad luck rather than a series of poorly evaluated solar investments.

You are aware that DC Solar built mobile solar generators, right? It wasn't building utility scale solar projects, which is what you seem to be implying. Google "dc solar mobile solar generator"

Yeah, maybe PDER's other solar energy investments are all money good, but my point was that management does not deserve the benefit of the doubt given its recent history of very questionable capital allocation.

trying to improve

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PDER - Pardee Resources
« Reply #192 on: May 19, 2020, 07:05:19 AM »
I find the corporate governance, as it relates to the Board of Directors at Pardee, upsetting.
My understanding is that there are 9 Board members and the total compensation they receive is around $1.1 million to $1.3 million for 2019. That is for a company with a market cap around $85 million.  In terms of diversity, the board appears to be all male, all Caucasian, and an average age of ~ 67 years old.  The youngest member of the Board is 50 and he is the son of the Non-Executive Chairman of the Board.
This, for a company that has under performed the market by a significant amount over the past 10-15 years.



txvalue

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Re: PDER - Pardee Resources
« Reply #193 on: May 22, 2020, 08:06:33 AM »
Over the past several years there has been no revenue growth, and EPS has cratered over the past 10 years. They have a very well compensated team but made essentially no capital investments from 2016 until now.

If their resource markets are challenged there have to be acquisitions to be had for distressed prices right? If you expect a bounce back why not buy land/timber, oil/gas, even Met coal instead of these ag investments? Is the fortress balance sheet being preserved just to make sure employees can continue to get their annual raises?

This is basically an OK asset wrapped in a package that siphons off a lot of cash each year while bragging that the employee count is lower than years ago because of their efficiency. I think management is coasting off past success that was achieved mostly before the current CEO arrived.
« Last Edit: May 22, 2020, 08:44:51 AM by txvalue »

mjohn707

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Re: PDER - Pardee Resources
« Reply #194 on: May 22, 2020, 10:08:37 AM »
This probably won't go up until we all hate it.  Who's the last guy (or gal) holding out on us?
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bizaro86

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Re: PDER - Pardee Resources
« Reply #195 on: May 22, 2020, 11:50:54 AM »
This probably won't go up until we all hate it.  Who's the last guy (or gal) holding out on us?

This is probably true.

More quantitatively, if you mark ag at zero, DCF the coal with a zero terminal value and put reasonable multiples on timber/gas/solar and then deduct the G&A at a very high multiple you get a conservative value. This is pretty cheap now on an asset basis. But 20x their G&A is $136 MM...

And the G&A is by far the most secure line item on their income statement imo.

writser

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Re: PDER - Pardee Resources
« Reply #196 on: May 22, 2020, 12:11:43 PM »
This probably won't go up until we all hate it.  Who's the last guy (or gal) holding out on us?

hi.
I'm sorry if I have offended you. Please contact this forum's safe space coordinator to work thing out.

@thewritser

mjohn707

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Re: PDER - Pardee Resources
« Reply #197 on: May 22, 2020, 02:36:16 PM »
This probably won't go up until we all hate it.  Who's the last guy (or gal) holding out on us?

hi.

Well we should all report to @bagholderquotes probably
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Spekulatius

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Re: PDER - Pardee Resources
« Reply #198 on: May 22, 2020, 03:33:49 PM »
This probably won't go up until we all hate it.  Who's the last guy (or gal) holding out on us?

I have got one share left. Hanging on with my fingernails.
Life is too short for cheap beer and wine.

mjohn707

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Re: PDER - Pardee Resources
« Reply #199 on: May 22, 2020, 03:59:33 PM »
This probably won't go up until we all hate it.  Who's the last guy (or gal) holding out on us?

I have got one share left. Hanging on with my fingernails.

We need a new share class for long-term baggies a la CSU.TO perhaps
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