Great Northern Iron Ore Properties (NYSE:GNI)

all the way to ZERO

20 yr trust agrmt ends in three yrs

Not clear how they will recover.

This is a Foolish play upthumb and not recommended for those who really care about thier CAPS accuracy! ;)

If I had made the call at $60 when I first set my limit order, I wouldn't be quite as Foolish, but even $60 in reality is too much for this Trust. There are several of these high dividend trust plays that confuse investors and bring in speculators. The one/two punch sometimes drives these way above their intrinsic value. The clue is that a Trust has limited life left and limited investment is made to change the depletion rate. This trust will expire and liquidate in about four years. The dividends appear high, but it exceeds the payout rate as the trust fades. I see some cycles the next year or so as uninformed buyers jump in and as speculators, (such as myself on this CAPS play), play the low volume equity between dividends. I don't know if this wil get back to $100 as it has several times, and it's barely worth a CAPS play, but I enjoy watching these and if it hits $100 I will remember to bank and flip.

Upthumb not recommended.

This stock is a death trap. From Rueters:

"Great Northern Iron Ore Properties (Trust or GNIOP) will cease to be a going concern and all shares will be cancelled, on April 6, 2015. According to the terms of the Great Northern Iron Ore Properties Trust Agreement, created on December 7, 1906, the Trust terminates 20 years from April 6, 1995, that being April 6, 2015. On April 6, 2015, GNIOP, by its terms, will dissolve, and all of its trusts will be terminated and shares will be cancelled. At the end of the Trust on April 6, 2015, the certificates of beneficial interest (shares) in the Trust will cease to trade on the New York Stock Exchange."

The total value of dividend payments and residual value is about $60-80. You were warned!

expires 2015

Trying to pick up some free points due to inevitable decline.

citron

It dissolves in 2years

garbage

magic formula

This is probably worth much less (around $50). TMF Deej provides profound commentary and I decided to go with it.

This royalty trust is ending its operation in 5 years.

Short Watchlist - part of the terminal trust triumvirate with WHX and BPT. Will try to short in RL if it gets back to $135-140. Anyone shorting these or selling puts in RL?

Maybe make a few bucks off the dividend until the termination of the trust in 2015.
http://www.gniop.com/termination.html

I missed CAPS-shorting this one at over $130, but it looks like I am getting a decent chance here. Rising iron prices could hike the dividend to make this less profitable, but that would be a pretty rosy picture.

The company goes out of existence in 2015; how could it not under perform the market. Even if the dividend stream continues this is a losing investment.

Ok everyone jump on the haterade bandwagon, because this one is not good. Nice research by TMF Matty A here:
http://www.citronresearch.com/index.php/2010/12/
Pretty much explains it, this stock goes away in a few years, and even by very optimistic estimations there's no way you're gonna get $100 for it. Price/Book is 14 here, not so good for a stock that's gonna be liquidating.

The Mining industry supposed to grow 22% from 2006 to 2016