None of the claims are untrue but the conclusion that the stock is worth 60$ is downright bizarre. ATT is doing everything to bring down the debt, sell assets, consolidate operations and rightsizing the functions. BUT how does one get to 60$ when the company assets ( including goodwill which is highly inflated) worth 500B and has a debt of 200B and share holder equity of 190B. So if the company were to go tits up, the assets are liquidated and the debtors paid which leaves 300B$ for 6B shares or 50$ per share, with a proper goodwill impairment taken into account, the Its probably worth about 40$ per share, a bit more valuable dead than alive. 60$ is L U D I C R O U S don't know what they are smoking.
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Actually thee is genius to that report. I just started reading some of the sections on how T handles acquisitions and its spot on
all I smell is what The Rock is cooking
Wasn't RS previously the CFO (SBC)??? So,,,,,,, he possesses a 'Head Chef' hat,,, and possesses some 'cooking skills'??? Can anyone smell the 'smoke in at&t's e-suite kitchen'??? 'Smells like' maybe some of 'Enron's seasonings' are in what's brewing, 'cooking', and stewing in t's kitchen???,,,,,, perhaps??????
Don’t underestimate Paul Singer. Randy is about to experience hell on earth with or without GS.
"That’s why you pontificate on a lay-off board instead of run a multimillion dollar hedge fund"
Whoever wrote this clearly drank deep of the Wall Street koolaid. Running a hedge fund means saying things that are only seen as true on Wall Street like stock buybacks are a good thing. Elliott got the flaws absolutely correct. Their recommendations, however, are ridiculous. Shedding more people (except executives) is a bad idea as is devoting any money at all to stock repurchase. Typical destructive Wall Street nonsense but they have the indictment of Randall and his sycophantic choir exactly right.
This can probably be best described as part of a Bain Capital k–ling plan
Well, consider this.
They just bought into T to the tune of ~$3B. It is in their best interests to hype their "plan" to push the stock up so they can sell it at a profit. They have absolutely lost their mind if anyone is going to believe a jump to $60 / share in 1-2 years.
Again though, if they can get enough folks to buy into it, and raise the price at all, they'll profit from it.
Elliot Management is described as a vulture fund: 'The term "vulture fund" is a metaphor which is used to compare these particular hedge funds to the behaviour of vulture birds “preying” on debtors in financial distress by purchasing the now-cheap credit on a secondary market to make a large monetary gain, in many cases leaving the debtor in a worse state'
Hedge fund interest is a sure sign of selling the profitable parts piece meal to recoup the investment then sell whats left in hopes of making a profit. This influx of cash isn’t about save the company.
They were saying on CNBC that $60 is a bit of a reach. But remember, Elliot is making a sales pitch to fellow stock holders.
That’s why you pontificate on a lay-off board instead of run a multimillion dollar hedge fund