Danakali Share Discussion Threads

[forfaiter] 09/7/2002 14:15

Slip sliding away..........all the Way to 35/37p if your lucky......could be lower...LOL

[miata] 09/7/2002 13:45

Re 6144

42 Million shares have been approved by shareholders as purchaseable by employees. The prices vary between schemes eg issue price determined by closing price on last business day of month in one and lower of %of price at start of offer period and % of price on purchase date in another.

[easykill] 09/7/2002 13:27

oaks

were do you think the share is going in the next couple of days/weeks ?

just seeking your opinion, thansks.

[oaklandsway] 09/7/2002 13:22

Miata
weighted average exercise price of outstanding options, warrants and rights is $5.77 per ADR. How many shares available for employee at under $3?

[tizo] 09/7/2002 11:56

MARKET COMMENT
I Wouldn't Short This Market While Buffett's Around!

By David Kuo (TMFDragon)
July 9, 2002




Shorters or short sellers are traders who sell shares that they don't already own. They do this by borrowing shares in a company that they believe are overvalued. They then sell those shares in the market. The shares are borrowed from their brokers but as with all borrowed goods the shares have to be returned to the lender at some later date. So shorters will hope that they are correct in predicting that the company is overvalued and also that they will be able to buy the shares back at a more favourable price later on. But to do that they need to firstly be sure that they are right with their valuation and secondly that the market collectively also agrees that they are right. It's a risky strategy with gains that are limited but losses can be almost infinite.


Yesterday shorters in the alternative telecom company Level 3 (Nasdaq: LVLT) were caught with their trousers down around their ankles. Level 3 is not a particularly well-known company here in the UK, though we did take a cursory look at its business in this Rule Shaker article in November last year. It's not an especially bad company but it has been caught up in the general downturn of the telecom sector. As such its shares have been a target for those who view the company as being overvalued. In fact shorting technology and telecom shares has been quite lucrative for many traders who see shorting almost as a kind of one-way bet. Everyone hates techs and telecoms, right? Especially following the collapse of Global Crossing, KPNQwest and WorldCom. So let's short shares in anything telecom-related.


However those who were shorting Level 3 shares hadn't quite banked on Warren Buffett lurking in the background. The Sage of Omaha yesterday, along with two other investment companies, pumped a total of $500m into Level 3. News of Buffett's interest and also those of Legg Mason and Longleaf Partners sent shares in Level 3 soaring 85% when the US markets opened. Even shorters with stop-loss protection in place would not have been able to get out fast enough to avoid being taken to the cleaners. The shares did finally settle down by the close of business, up just 51%. The events at Level 3 highlight some of the inherent dangers of selling short. Shorting involves the use of borrowed money and you are essentially selling something that you don't own. As such it is very easy for losses to get out of control and just one mistake or piece of bad luck can prove fatal.

[crawford] 09/7/2002 11:52

MIATA,
if the employees are in ESPP, then they have no choice what day they buy on. The employees will pay, say 20% of their salary into the ESPP scheme, then every six months (after results) the shares are issues by the company on their behave at a 15% discount to the market. They then either keep them or sell them on.

So I think you are right in the fact that small sales could be from employees.

[chestnuts] 09/7/2002 11:39

Miata i don't have a hotmail address but here is my email and maybe we could make contact [e-mail] please email me straight away then i will remove it later

[miata] 09/7/2002 11:30

The volatility is ongoing (even the 1996 scheme runs to 2004). It is a complex interaction.

If you use Netmeeting and wish to discuss it further verbally post your hotmail address. If you go to msn.com and join hotmail and download netmeeting you can talk over the web. Address noted.

[chestnuts] 09/7/2002 11:22

Miata isee what you mean and the mm are making full use of this to get the stock cheap by the normal person on the street like myself not knowing this so how long will this go on for and the price should increase shortly when the mm get greedy is that what you are saying .
When do you see the run up start to the interims

[miata] 09/7/2002 11:14

Whatever the price gets to, say $4, if the employees can buy at say $2.80 then the price will fall to $2.80 (albeit temporarily) - that is what I mean by depressed by ESPP.

The fact that the employees buy at all at the set price means they have confidence that it is worth that now and in the future - that is what I mean by support.

[chestnuts] 09/7/2002 11:07

Miata could you elaborate on what you mean supported and depressed by ESPP do you think its tree shaking by mm getting ready by mm to buy back?
thanks in advance

[miata] 09/7/2002 10:33

I think it is both depressed by and supported by the various ESPP schemes which amount to a whacking potential total of 42 million shares. I guess the employees think that both the short term (or they would wait to buy later) results and long term potential are good (or they would not invest).

[chestnuts] 09/7/2002 10:10

Miata what do you really think is happening to dnk is it market sentiment or are we going down the pan

[miata] 09/7/2002 09:26

Chesnuts, which post number was Sophiegirl? I havent seen a post by her on Yahoo for ages (she seemed to get fed up with impersonators).

Note that we are in a new offer period for the S423 ESPP and 85% of the price of shares at the start of the offer period (Jul 1) is a low price (about $2.80ish ). Also note that there are 4,470 employees who can buy at this price and (dont hold me to the accuracy of this) from memory only about 6,300ish shareholders in total. So you will have noticed the large number of buys of small blocks at the same price yesterday.

[david2000] 09/7/2002 09:15

Bought in for the first time in months this morning. Managed to get in at 47p. Over done reaction to Xerox IMHO. fingers crossed.

[chestnuts] 09/7/2002 08:27

Good morning everybody what a ride this is i came across a post last night on yahoo from some body called Sophie girl and she was saying alot of the trades were amongst the mm themselves who were shorting the stock themselves can anybody confirm this or deny it she said it was on level 2?
If this is true this is one of a hell of atree shake .

[newstarter] 09/7/2002 08:09

Morning all - as always, not for the faint hearted !!! Testing stuff this, but still holding

[dazz17] 09/7/2002 00:36

lol........car'nt be bothered to go into all the technical detail's but the ta not looking to good on us danky ......hence no rise friday to me it's wait and see for now......but waiting to get in at the equivelent of $2.00 if prudent to get in if it get's there

good luck you holder's????

[357aman] 09/7/2002 00:02

He is a like his mentor "ff"!!

[easykill] 08/7/2002 22:49

good to see they failed and thats why they rushed to close. Very optimistic that it will now climb to $3 and upwards from tomorrow.

[redhill] 08/7/2002 22:45

I got the impression it was shorters closing their positions they had taken an hour earlier when there seemed a concerted effort to force the price down to 2.62.It all happened in a matter of minutes and seemed preplanned.IMHO

[tizo] 08/7/2002 21:29

Easy kill do you know what sort sort of legislation they have in the states regards deramping.Any advise will be much appreciated they get away with murder other in the USA regards manipulating the share prices.

[easykill] 08/7/2002 21:23

70,000 traded in 3 minutes

Last 3 minutes was a lot of buying over 70,000 traded in the last 3 minutes closed at $2.80

[telbap] 08/7/2002 20:15

looks like a $2.7ish close on the nas....BB i can guess your comments on this, but what are you backing them up with...all I read is de-ramping, no real reason why...would like to hear the reason behind the de-ramp