Inmarsat Share Discussion Threads

[andyj] 13/2/2018 23:58

Actually it is not completely nonsense to say there are more buyers than sellers. For each individual trade of course they are matched equally, but if the queue of sellers outweighs the queue of buyers on SETS, then of course sellers become more aggressive in the price they are preparing to sell at, buyers become more cautious and the price falls.

[costax1654x] 13/2/2018 22:18

By the looks 400p is the sort time target!Hopefully not below

[rcturner2] 13/2/2018 19:08

Every trade has a buyer and a seller, what changes is the price they are prepared to trade at. It is nonsense to say there are more buyers than sellers or vice versa.

[w1ndjammer] 13/2/2018 17:26

well it was nice to get some sub 420

WJ.

[the original goldbug] 13/2/2018 16:23

It really begs the question if there are ‘more buyers’ why is the price going down? The buyers are shorts, not new bulls which is what is really needed to change the trend.

We now have less shorts and a lower price and there are less guaranteed buyers (that is to say shorts having to cover) in the future.

As stale bulls are selling at a higher rate than new longs and shorts covering,the price is going down. It’s not rocket science (forgive the pun).

[al101uk] 13/2/2018 15:59

"Why is the stock making new lows on declining short interest then?"

Declining short interest is a positive because it means there are more buyers in the market. As a holder that's what I want: more buyers, less sellers.

Your convoluting the argument over short interest with where the share price is going, which are not necessarily the same thing. Across the market there are probably more sellers than buyers, but that doesn't mean the reversal of short interest is a negative. In fact the short covering is positive because without it the share price would likely decline faster.

[the original goldbug] 13/2/2018 15:57

If all the shorts have covered, where’s the all the new buying going to come from!?

Now do you see my point?

[andyj] 13/2/2018 15:37

I think it becomes self fulfilling, people see the value of their assets declining in value and move on. Plenty like JDW and RMG have gone the other way, where fundamentals don't support the strength of the price, but people keep buying as it keeps going up.

[the original goldbug] 13/2/2018 15:22

Really!?

Why is the stock making new lows on declining short interest then?

The reason for the fake breakout a few weeks back was that it was a short covering rally and there was evidently no sustained buying.

Shorts, somewhat perversely, provide buying support and are also a source of liquidity.

[bluemango] 13/2/2018 15:13

Declining overall short interest is positive because

1. It is a sign of general market return to more positivity and a signal that the worst is perceived to be over. Share price still declining is therefore likely to be a delayed reaction with more positive sentiment yet to filter out to wider market, probably waiting for results in three weeks' time,

2. Near term it should mean additional buying power, altogether admittedly there doesn't seem to be much sign of it at present!

As mentioned a while ago, a similar situation to this was seen with Berkeley.

[zcaprd7] 13/2/2018 15:02

Tell that to carillion owners!

[the original goldbug] 13/2/2018 14:54

Less shorts means less buying power in the future, so declining short interest in this case (where the total short interest is not excessive) is not really a positive.

[bluemango] 13/2/2018 14:46

Marshall Wace drop below 0.50% short again.

Aggregate short 4.69, still well below the peak reached end of last year and despite the dire sp, the overall shorting trend still seems to be to close positions rather than increase.

[andyj] 13/2/2018 14:00

A 10.41% yield? Seriously?

[w1ndjammer] 13/2/2018 13:46

About Ligado
LIGADO NETWORKS provides mobile connectivity throughout North America over a next-generation satellite system. For two decades, Ligado has provided its partners in federal, state and local government as well as in public safety and transportation industries with reliable and pervasive mission critical connectivity for emergency response, remote monitoring and asset tracking activities. As demand grows for new mobile Internet of Things (IoT) devices, Ligado and its partners are working to develop a hybrid satellite-terrestrial network to deliver ultra-reliable and highly-secure connections. Ligado Networks is headquartered in Reston, Virginia.

[w1ndjammer] 13/2/2018 13:46

OOOooops double post

[wskill] 13/2/2018 13:40

Alphaville talking nonsense then well done to the shorts for this misinformation I am sure they have been rewarded .

[al101uk] 13/2/2018 13:00

"If Ligado, the 5G project in the US that pays USD125m pa for ISAT’s spectrum, was to consider a suspension of its payments to Inmarsat, we believe Inmarsat would have no other option than to drastically cut the cash dividend"

What does that even mean, if people stopped taking drugs then Glaxo would have problems, if people stopped using the internet, then google would have to re-think it's financing.

So, you google Ligado, Inmarsat and you get this:

"Ligado will make aggregate payments of approximately $108m, $111m and $118m to Inmarsat in respect of 2016, 2017 and 2018 respectively, payable in quarterly instalments. Over that period, up to approximately $35m of additional contracted payments will be deferred. In 2019, Inmarsat has granted Ligado a full payment deferral in an aggregate amount of up to approximately $132m. All deferred amounts will be increased by agreed amounts and repayable on 30 June 2021 or earlier in certain circumstances. Payment deferrals will stop from the date of FCC approval of Ligado’s spectrum for terrestrial use. From 1 January 2020, no further payments will be deferred and quarterly payments will recommence at the level of approximately $136m per annum, escalating at 3% per annum, in accordance with the existing terms of the Cooperation Agreement."

So where exactly is the unexpected unforeseen fall in free cash flow coming from?

[balbains324] 13/2/2018 12:48

Explains the free fall...thanks

[cashandcard] 13/2/2018 12:20

steeplejack,


Thanks for that. Interesting, would explain the continued share price pressure over last several months.


Cash