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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Michael Burry who wrote (7451)	6/7/1999 11:09:00 PM
From: jeffbas	Read Replies (3) \| Respond to of 78648

On SCS, my issues are lack of a catalyst for a higher price (which I have also noted for the manufactured housing group) and the Barron's effect isn't quite all gone yet. It was trading at 15+ when the news broke. It pays a 2 1/2% dividend. The insider buying is impressive! However, it seems that insiders own 91% of the stock (based on InsiderTrader.com data). I would think that would be a turn off to institutions and add the risk of going private at an inadequate premium if the price drops too much. Therefore, I doubt it will readily command a good P/E. Perhaps James, who also likes it, could comment on this aspect of the picture.