INSTITUTIONAL OWNERSHIP OF DYNEGY SOARS

MSN Money ^ | 06 August 2003

[MeneMeneTekelUpharsin]

Amazing. When things are going bad for companies, the media is all over it. Small investors are frightened and quite often sell their shares at a loss. At the same time, when things are turning around for a company...the pundits are unusually quiet and the big boys quickly accumulate shares at the lower prices.

Dynegy was having a lot of trouble with debt post-Enron like many other utilities. With the difficulties came articles from The Street.com and others to effect that Dynegy was having a losing streak on earnings. Things are beginning to pick up as Dynegy is slowly, but surely, restructuring and securing necessary financing and refocusing on core operations. No wonder then that a major institutional holder, Vanguard, Inc., has recently bought an additional 76,557,912 shares accordign to MSN Money at the following link:

Click here for MSN Money link showing institutional ownership of DYN.

Now, why would Vanguard buy THAT MANY shares of a company if no prospect of viability existed? Several other institutional holders have increased their share holdings of DYN by 100%. Why would several institutional holders buy that many shares of Dynegy? According to some media outlets like The Street.com and Forbes, Dynegy is not a company to hold. Maybe not, but that doesn’t explain why Vanguard bought 76 million+ shares and other bought millions. Makes a fellow wonder, doesn’t it?

[MeneMeneTekelUpharsin]

Wall Street is a dirty game with crooked players. Period. I always wondered why certain elderly men I've talked to through the years have told me that. Now I know why. The small investors are constantly fed lies and robbed (legally) regardless of the facts, truth or news. A company can be doing well, making headway, and the Wall Street boys will ruin the stock. Or, stock in a company that doesn't have a chance with ten lifetimes of time will soar to incredible levels.

[MeneMeneTekelUpharsin]

FYI...comments?

[Mind-numbed Robot]

Some say the stock market is like a casino. Perhaps it is more like a horse race or boxing match, your only chance is to correctly guess which way the crooks are going.

[Dog Gone]

I don't think Wall Street is crooked. The fact is that institutional investors have better information that private investors. Their analysts meet with the companies and get presentations that you're not invited to.

If that bothers you, put your money into a fund managed by those institutional investors.

[MeneMeneTekelUpharsin]

Yes, you have a point. No argument here.

[MeneMeneTekelUpharsin]

ROFL. Nicely put. Here's another relevant story about Dynegy on CBS Market Watch:

Click here for Market Watch story.

Share price has dropped dramatically today probably based on that news. It's been up and down in pretty wide swings today.

[Dog Gone]

I've made a killing in the power stocks that got hammered after Enron went down, but Dynegy isn't one that I wanted to touch. It's been a fun stock for day traders, but I don't have time for that, and I think the company's prospects are iffy, at best.

[MeneMeneTekelUpharsin]

I've made a killing in the power stocks that got hammered after Enron went down, but Dynegy isn't one that I wanted to touch. It's been a fun stock for day traders, but I don't have time for that, and I think the company's prospects are iffy, at best.

I appreciate your comments. Which ones have you dealt with?

[Dog Gone]

Williams, Calpine, and Reliant Resources. I even thought about Mirant, but fortunately had reservations like I do with Dynergy.

[litehaus]

Well.............wish me luck..Still own it --AND at a profit still................

[MeneMeneTekelUpharsin]

Williams, Calpine, and Reliant Resources. I even thought about Mirant, but fortunately had reservations like I do with Dynergy.

I believe Calpine is a good company. My only problem with them is they operate out of the State of California and are subject to the whims of California government (i.e. worker's comp., etc.) which might lead to their ruin. California government seems to mess up everything they touch, including California in general.

[MeneMeneTekelUpharsin]

Well.............wish me luck..Still own it --AND at a profit still................

If you got it when it was sub-$1.00, you are one lucky dog. It seems to have a chance (and with the change of CEO to Bruce Williamson even more so) of surviving. Found out later that the MSN statistics quoted above are incorrect regarding Vanguard. They didn't buy that many shares. However, several major funds have recently invested in Dynegy having bought shares they never owned before. So, that says something.

[MeneMeneTekelUpharsin]

Well.............wish me luck..Still own it --AND at a profit still................

You dog. Some people have all of the luck. They got some pretty good news today:

Click here for S&P upgrade of Dynegy.

That is a lot better news than what came out on Mirant when it was supposed to get some of its debt settled. It will be interesting to see what happens Monday, I guess.

[MeneMeneTekelUpharsin]

Calpine and Reliant have both dropped dramatically in the last couple of weeks. Apparently, there is no need for additional generation. Investing in these companies is a good way to lose money.

[MeneMeneTekelUpharsin]

Here is a fascinating message board post from a very knowledgeable poster (Bob Grush) on the Dynegy message board. This individual is constantly attacked by those who claim the stock is going to drop in price. He must be pretty close with his comments, because someone has tried to ruin his computer:

Message # 363886

To Whomever On This Board

Is sending me this...

I do not know what this is but my system says it is a virus,

w32.klez.h@mm

these are the two senders of this to my computer

kreynolds@landam.com
eriley@trinityumc.net bobg

This would seem to indicate to me that the "Bob Grush" character is giving valid information and someone wants him to shut up. An entire book could be written about the information wars on the finance message boards. The Feds are so slow about such attempts, probably NOTHING will be done.