G'day all - hi Shel10, just want to add that while WCG main thrust and asset is the pipe with a substantial revenue base, she is also providing her stockholders some other perks
williamscommunications.com
This investments may be relatively modest, this does provide a glimpse of the mind of management, who is acting like the 1st class corp, taking strategic stakes in emerging markets, domestic and oversea.
On the stock front, I was too busy at work to watch the action on Friday - I am not a trader anyway - I think the reversal is set in place. It is especially encouraging to see a higher low. I have only a small position, so I am tempted to add a little in the coming week [the only thing holding me back is that it is a thanksgiving week and traders tend to cause an unusual movements of stocks.
The only thing that puzzles me in your post is the reason as to why WCG so slow out of the gate. Since it is essentially a new listing, whence comes the profit taking angle? The same goes to the tax loss angle? Except for traders who decide to pack it in after not getting the desired result, it is hard to imagine investors would dump the stock rightaway for tax loss writeoff.
However, there is one other possibility. Except for the dotcom anomaly, there is some minor hedging for a partial spinoff like this. I am not at all surprised if some of these folks long WMB but short WCG for that reason. I think it is a minor problem for the stock in the short term only, even if it is so.
best, Bosco |
