Where's whydidibuy?

Let's see. We had this conversation late Friday afternoon when I bought MPG at 2.72. (And it's all in good fun!)

whydibuy said...

This Palmoni makes no sense. Pretty much a mindless wildman when it comes to stocks. Why would you ever buy mpg when the mpg-pa preferreds are entitled to receive full value and accrued div paid in full before the common gets squat?? Seems to me the preferreds should be at par ( double from current price )with accrued divs on tap before even considering the common. You would even have a better chance of some capital recovery when mpg files for bk since prefs are ahead of common in the capital stack. P.S. I own neither, both issues will be worthless in bk.

May 7, 2010 1:21 PM

Palmoni said..."everyone" knows what you are talking about in regard to MPG's preferred--except for the people that buy the stock. I know that on many occasions you come up with these cogent arguments, but for the most part, they won't make you money. The play on MPG is the equity value of the properties they own, and what that will be worth will be in 2012. The stock is a trading vehicle--I picked it up at 2.72 this morning.
So let's see who makes money--you shorting it at 2.72--or how about taking the price right now at 2.90? Short it here, and let's see who is left standing

May 7, 2010 2:31 PM

Earnings came after the close, better than expected, and the stock is trading up to $3.41. Why buy MPG? Let's see. To make 25%+ in a couple days?

 

Another "As Advertised!!!"