Regal Partners Ltd V.RPL

The numbers for RPL.............................

[bankerboy28]

RSI is 38.71..oversold...small short position (0.20%)...in the last three months institutions bought 23.63 million shares while only selling 6.04 million...P/B is .49 and P/CF is 4.40...price targets are low $1.55 mid $2.17 and high $4.00...the numbers are actually really good...with the exception of the debt being high and the dividend percentage being high..

the management are very confident that the 23 cents is acheiveable even if oil goes back to $75...the dividend has not changed..its just the price going down that increases the percentage so high...

really though they need to reduce the dividend to 12 cents or about 9% payout and take the extra cash and paydown debt...the only other reason why I can think after the new directors have not done anything to recommend this is that a takeover is in the works...it does take some time...if takenover then the dividend is gone to zero....the aquirer would have good assets and production and potential and get the debt under control....RPL management mistake was 1.increase debt 2. pay a dividend...should have stayed growth company and not have steak dinners on a hot dog budget by overspending.....BB28