Larry Berman CFA, CMT, CTANortel ASNTEL.TOWEAK BUYFeb 08, 2006
Great stock to trade. The closer it gets to $3, you get more interested and the closer you get to $4, you get less interested. Struggled over the past year to get to four. Range trader.
If you own the stock, you are playing that there is some value in the assets they own. The company is not a going concern. Have a huge deficit hole in their pension plan. Individual parts of the company may be better being sold off.
Has about $4 per share in cash. They are thinking of selling an asset that would raise about another $1 billion, which would add another $2 per share in cash. However, the overall quality of the balance sheet is as bad as he has ever seen it. Speculative.