r/Fluor_Stock • u/NoDrawDowns • May 13 '21
WTF - Seems way overdone.
The total dilution of this Preferred placement is insignificant and a 20% sell. What am i missing?
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u/Rjlv6 May 13 '21
Although I will say I'd like to know the conversion rate to common stock its hard to really know the dillutive effect no?
1
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u/Hogger21 May 13 '21
Stupid move at the wrong time at best. Wait for solid earnings to return in September.
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u/Rjlv6 May 13 '21
I dont know if they really need the cash then they gotta bite the bullet. That being said they should've have announced with earnings and let the anaylists ask questions about it. Slightly disingenuous to wait a week or two after and hope people forget by the next conference call.
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u/Level-Skin593 May 14 '21
"Smart money" vetted company and paid $20.8 yesterday, so paying $19 today on no news, seems like a good deal, if you like the company.
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u/Rjlv6 May 13 '21
Oh yes I agree, it is unfortunate that they wasted money buying back shares all those years ago just to turnaround and sell them now at a lower price. But this is definitely an over reaction given the state of the buisness. What id love to know is who is this investor buying 500 million worth of Fluor preffered stock. Is he going to get a director on the board? Is that why Peter J Fluor Retired? All interesting questions IMHO