US Plastic Lumber Corp (USPL) Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : US Plastic Lumber Corp (USPL)

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: JB who wrote (147)	11/16/1999 11:05:00 AM
From: JB	Read Replies (1) of 164

It looks worse then I thought!! I have a copy of "Short Alert" (704) 543 4880 They say this about USPL 1) Pl is poor subsitute for wood. Sags and retains heat, HD has picked up the product to make them look environmentally friendly. 2)The cost is two-and-one-half times a comparable structure made from wood 3)Market is extremely competitive with plastic/wood product a better product. Capacity is expanding rapidly. There is also imminent threat of low-price imports from Mexico. 4)Company trades at 55.6 estimated 1999 EPS and 17.2X tangible book value. After company sells its environmental unit multiple will be 16X trailing sales and 237X trailing earnings. 5)Company is cash flow negative. 6)Huge dilution from 11.9 million deep in the money options and warrants. 38% of shares outstanding. 7) Huge insider selling, including the complete liquidation of Chairman of the Board's position for $19 million. If these statements are true it looks bad for USPL. I think that in the money options and warrants are already in the diluted share count, any accounting experts out there who could comment on this? If PL is all USPL had I would be concerned with number #3, they also sell a composite. Any thoughts?

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next