First Ship Lease Trust

It is getting interesting as there is only one view.

For those pessimists that are so confident that FSL is worth less than 5 cents, you are more than welcome to short the counter.

FSL made some silly mistakes earlier and paying the price now. I'll give them awhile to set the ship straight again.

This is not forex market.. no need to short...just wait patiently to buy at 10 cents or below...

THis is the age of yield and growth counters...no growth and no yield, just wait for price to drop..

(04-07-2012, 09:08 PM)sgpunter Wrote: For those pessimists that are so confident that FSL is worth less than 5 cents, you are more than welcome to short the counter.

FSL made some silly mistakes earlier and paying the price now. I'll give them awhile to set the ship straight again.

is nol considered a blue chip

how much is FSL actually worth? it has been restricted from giving out dividend until June 2013?

Now that cash flows have stopped, it's probably worth as much as the value of its ships - the market value of its ships in this case, not book value.

Once June 2013 passes, then one can re-assess the Trust again.

(Not Vested)

(24-07-2012, 02:05 PM)Musicwhiz Wrote: Now that cash flows have stopped, it's probably worth as much as the value of its ships - the market value of its ships in this case, not book value.

Once June 2013 passes, then one can re-assess the Trust again.

(Not Vested)

Let's assume that i earn 40k per year, but for some reason, i have to shoulder a loan of say 500k that charges an interest of 5% per year, so i work very very hard, save hard, such that i spend only 15k a year, the remaining i use it to pay off the 25k interest incurred.

I would still give myself a valuation of ZERO.

I think FSLT is in a very similar situation. It is interesting when people can still carry hopes that the situation can improve with such high debt and almost all cashflow is now used for debt/interest repayment. Where do u see the cash set aside to buy ships? Will it still be around after 10 years without doing a rights issue?

Anyone who has posted here on this object had been/has been working in Shipping Industries? Thanks.

FSLT is being crushed by its debt. At 14 cents today, i still think it is grossly overvalued. At the very least, the managers of FSLT are far better than those you find in indiabulls which has yet to pay a single cent to shareholders. Some of these foreigners are really good at ask for money during IPO but dont really add value to shareholders.

Will first ship lease trust end up like OMEGA NAVIGATION ENTERPRISES ?

On 4 aug 2012, OMEGA NAVIGATION ENTERPRISES FILES CHAPTER 11 PLAN OF REORGANIZATION

http://info.sgx.com/webcorannc.nsf/Annou...endocument

PS: Unless you really know the industry & company & management inside-out, it always makes more sense to invest in companies that are CONSERVATIVELY FINANCED, using debt for growth always sounds cool (who doesnt like to use OPM), but when they run into trouble, they usually dont survive.

yes. it is grossly over-valued... Not even worth 5 cents... Wait patiently, it will come to that level