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Lane
Lane, JD, CFP, MBA, CRPS
Category: Finance
Satisfied Customers: 9482
Experience:  Law Degree, specialization in Tax Law and Corporate Law, CFP and MBA, Providing Financial & Tax advice since 1986
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my favorite stock just sent out notice of a meeting/vote on

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my favorite stock just sent out notice of a meeting/vote on wether to issue more stock certificates for public sale up from 10million to 35 million. Will this move cause the value to go down on the shares I now own? The company is Chenniere (LNG).

NPVAdvisor :

Hi, lots to alk about here, but lets start with what may be obvious

NPVAdvisor :

SURE, there's always a dillutional effect (in the short term) when the supply of something is suddenly increased

NPVAdvisor :

However, this is a company that is on the cutting edge of an alternative fule thatb is really showing some promise

NPVAdvisor :

Som think that this move is just a show of strength ... that given the excitement around the liquefication of natural gas

Customer:

i purchased shares at $10 is now 20

Customer:

wondering if it would be wise to pull out before vote on 2/1

NPVAdvisor :

Very nice ... my bet is that things may level out now ... both because of this AND the populararity .... (not new any more)

NPVAdvisor :

Depends on whether you're a short term trader or a long term investor

Customer:

more on the long side

NPVAdvisor :

They're doing what entrepreneurs do capitalizing on change

NPVAdvisor :

You go ion at a good time

Customer:

yes i know

NPVAdvisor :

but again, not inly are they capitalizing (exploiting) change

NPVAdvisor :

they are creating it

Customer:

that is good ,right?

NPVAdvisor :

yes

NPVAdvisor :

THe capital avai;ability of old line oil companies

NPVAdvisor :

but innovation

NPVAdvisor :

I know you know this but they built the first plan in '64

Customer:

would the devalue equal that of the increase 35tp 10?

NPVAdvisor :

(plant)

NPVAdvisor :

If so, now we're talking the stuff of crystal balls, I think only in the very short term

Customer:

ok thank you

NPVAdvisor :

I think if you ride our this POTENTIAL devaluation that is just a mathematical phenominon

NPVAdvisor :

You'll capitalize on the kind of thin Buffet and Lynch talk(ed) about

Customer:

and maybe buy more on the cheap...

NPVAdvisor :

truly making something for which demand will only grow over time

NPVAdvisor :

and being a pioneer with economies of scale

NPVAdvisor :

YES

NPVAdvisor :

that's exactly what Buffet would do

Customer:

lol

NPVAdvisor :

once he commits to the fumental; value

NPVAdvisor :

look for the buying opps

NPVAdvisor :

Just so many unknowns today

NPVAdvisor :

but growing population and dependence on technology....pretty predictible

NPVAdvisor :

Onfinance guy's opinion, but showing some guts thriough the next couple of months when the feint of heart leg go mugh be rewarding

Lane and other Finance Specialists are ready to help you