Looking for thoughts on this analysis:
This is pure conjecture on my part, but it seems to hold some water.
INEL is clearly for sale. One of their larger private investors has twice published public letters calling for their sale, but has continued to hold their stock. Would YOU buy them (the company, not just the stock)? Sure, they're great at losing money, YEARS of experience! But they ARE also a $3.6 BILLION Fortune 400 company. These generally don't just dry up and blow away.
So, let's say you're the new owner. What's your first move? FIRE THE IDIOTS that put the company in the state it's in! Right? Change the guard! Put someone with serious turnaround skills in place and clean house. This company CAN make money, BIG money. Obviously, the people placed would make a big difference, but just making these changes would be considered POSITIVE news, right?
The lawsuit settlement didn't seem to faze anyone. That was posed as an earlier reason for the stagnation, but it hasn't panned out. It's done, it's a known, quatifiable issue. No more uncertainty (we know how much the Street loves that!)
Even if they liquidate everything and close their doors, they're still worth at LEAST $4, right?
So, any takers? I'd really appreciate the learned analyis of those wise pickers of other winners like IZP! : ) I'm a new investor here and I'd hate to start with a "learning experience!" ;-)
Thanks in advance! |
