Cliff's Announcement and Company Transition

When are they going to release earnings? Last year the reported on the 21st of this month. Its been pushed to monday according to yahoo but so far USA hasn't said anything about time and date.

 

It's been a rough quarter so I suspect the company is having some issues getting this quarterly done and released. I am sure it will be released in the upcoming week. I agree it will be an interesting read.

 

They haven't even announced when they will release so yea Im pretty certain its not good.

 

They stock has tanked so much I wonder if that has something to do with the delay. Not sure if you noticed but Cliff has increased his stake by about 5000 shares. For the past year they have lost significantly more money than wall street expected them to. I sense they are going about it very carefully trying to figure out a way to not cause the stock to lose even more value.

 

While Cliff Beckham is an idiot at running a trucking company, he is very smart and prolific at playing company politics and seeing a good way to make money for himself. If I had $15,000 to spare I would buy 5000 shares. I fully believe USA Truck will soon be bought out. When that happens the stock will increase in value. Cliff could very easy double or even triple his investment here. Did you see where the market value of USA Truck is only $32 million now? USA Truck is carrying more debt then it's current market value, this has got to be a worry for the Bank. Who knows maybe happy days are here again!

 

Its hard for me to see where USA truck would be a bargain for a company to buy out. Any company that buys them out would have to assume their debt as far as what I have heard. The debt load I believe is what keeps them from turning a profit. Cliff has been talking about a strategic plan for 2 years now and it has yet to play out in any sense. For you personally I would stay out of USA stock untill they turn a profit or at least start meeting or exceeding wall street expectations. The number one thing that drives stock price is investor sentiment and profits drive sentiment.

 

USA Truck is way undervalued, this is one of the reasons the board spurned Celadon. The company debt can be assumed and handled very easily considering there are tax benefits on that tax year. The primary stumbling block would be how much it would take to get the major stockholders to sell and if they would sell. If in the future it looks like the company is about to fall on it's ### then these shareholders might sell for what they can get. Most of these questions will only get answered by the passage of time.

 

Consider the message it would send if Cliff Beckham or any insider sold any part of their stake right now. They won't sell so long as they are trying to bring this company back in the black. If USA were to go down or looked like it was going to go down selling would be considered insider trading which we all know is illegal. They will lose their money before they sell it to prevent losing it. Celadon would have been a perfect merger of two mid size companies. USA should have taken the deal last year. It would have made it better for the drivers in my opinion.

 

NO, you are not reading the insider trading law correctly here. Insider trading is only illegal if the company officers are using non public information when buying or selling stocks. Let me use an example, lets say Crete has an offer of $7.25 a share on the table and 2 weeks later USA Truck for some reason were to lose a major account. If this information was not made public and the company officers bailed out then that would constitute insider trading and would be illegal. If however this account loss was public and the board elected to accept Crete's offer and advised the shareholders to sell based on a bad prospect of major losses if they don't, that's not insider trading and is 100% legal. By the way if I did my math right the company officers and board members do not own the majority of stock.

 

Thats what Im saying. Yes if the info is public right now and available for anyone to trade on its legal. If Cliff or any insider were to sell shares right now while the stock is tanking it would send the message that they don't feel its a good stock to be holding. If they sold because they knew things didn't look good but everyone else knew that as well then they would be legal. We agree as far as im concerned. Although if you truly believe USA is so undervalued then start snatchin it up. Its lost over 70% since march. Insider holding has increased 10% but half of that alone was Cliff increasing his stake.