St Joe stock appears to rebounding, why?

[Matt J]

Expect JOE to reinvent itself as it becomes cash heavy, acquisitions such as the Arvida deal (not necessarily that direction) launched JOE into the development business bigger-time without the pangs and pains. As the years toll on, there will be regionally strong developers who have the infrastructures, market positions and raw land in areas south from most of JOE's holdings.

There is also the potential mix of placing debt and equity on properties that they have no development stake.

I'm not sure how the Arvida deal ever worked in JOE's favor. That was a lemon from day one.

 

[AAbsolute]

I'm not sure how the Arvida deal ever worked in JOE's favor. That was a lemon from day one.

Didn't that deal give JOE some construction control?

 

[TheSheep]

I'm not sure how the Arvida deal ever worked in JOE's favor. That was a lemon from day one.

Aside from the (argument) over whether or not JOE netted profits from the merger, JOE got

1) Access to ALCOA money
2) Instant recognition in southern FL
3) A ton of talented people
4) The learning curve of Weston
4) Pete Rummell

You have to remember, JOE until mid 90s was a Dupont spinoff, a one trick pony (excepting Florida National and a dodgy railroad ops), Rummell saw the vision of Seaside in Seagrove (Waterxxx later) and ran with it.

Dupont -> St. Joe -> Arvida -> JOE

 

[Cil]

Aside from the (argument) over whether or not JOE netted profits from the merger, JOE got


3) A ton of talented people

Many of whom are now laid off.
Rummell did okay for himself, though.
He's working for Jack Nicklaus now.

 

[Camp Creek Kid]

Rummell saw the vision of Seaside in Seagrove (Waterxxx later) and ran with it.

But that is ALL he saw and when the market slowed, St. Joe was left with nothing to sell, nothing to do, and no direction, which is why Rummell is gone (with most of him employees). Those few employees who are left to pick up the pieces have 800,000 acres of timberland and wetlands that they are struggling to find a use for.

 

[TheSheep]

But that is ALL he saw......

You must have thought I was speaking of Peter Rabbit.

Rummell was charged not with preparing JOE for our present misgivings but in turning a Mississippi barge ship sized company into something more akin to a cruise ship. There is no doubt he succeeded in spades in doing so.

One can look at his wake, which is Rummell's legacy, or to bow but in doing so, I supplant you are positioning him more as Rabbit than Rummell.

 

[AAbsolute]

Many of whom are now laid off.
Rummell did okay for himself, though.
He's working for Jack Nicklaus now.

Real talented people can adapt and adjust. If the world wants what they are offering they'll never miss work. The way I read history those talented people created some great spaces with double the money they needed and 3 times the rework.

 

[Kurt]

Because they are being bought by Disney. I heard this a few weeks ago and figured if it was true the stock would be on the rise. I looked at the ticker and didn't see any change so I dismissed it as rumor. It may well be but think about it.

If they tried to acquire any large amount of land like they did secretly in Orlando 40 or so years ago people would know and prices would go through the roof.

What a coup for Disney. For the price of a relatively cheap stock they get tens of thousands of acres dirt cheap on which to build a park and housing, at the beach, next to a new international airport, a port for cruises, close to midwestern and southern drive-in markets, etc....

It is supposed to be announced in October.

Or it could be because they are advertising on this site.

Hmmmm...

The St. Joe Company (NYSE: JOE) Reports Land Sale Contract Termination

Jacksonville, Florida - (October 14, 2008) - The St. Joe Company (NYSE: JOE) today said that the previously announced contract for the sale of 67,365 acres of non-strategic rural conservation land in Liberty, Jefferson, Gulf and Franklin Counties has been terminated. The sale was to have closed in two transactions for a total price of $130.4 million, the first transaction in the fourth quarter of this year and the other in the second quarter of 2009.
"We are now able to return these parcels to the market," said JOE's president and CEO Britt Greene. "While this particular buyer had sought large contiguous conservation acreage, we are now able to offer this acreage in smaller parcels to other interested buyers. With no near-term need for the proceeds, we plan to continue our orderly disposition of these non-strategic assets."
"We are continuing to execute our strategic plan, while keeping JOE lean and efficient to better withstand these difficult market conditions," said Greene. "With our strong balance sheet and cash position, we are prepared to withstand this prolonged downturn and will continue to prudently manage our inventory and assets to preserve long-term shareholder value."

 

[Cil]

Real talented people can adapt and adjust. If the world wants what they are offering they'll never miss work. The way I read history those talented people created some great spaces with double the money they needed and 3 times the rework.

Yes. My husband has landed on his feet.
As for double the money and 3 times the rework, that has never happened to my spouse--you paint with rather a broad brush.

Hmmmm...


​

Hmmm indeed. Very strategic. ;-)

 

[TheSheep]

Originally Posted by AAbsolute
Real talented people can adapt and adjust. If the world wants what they are offering they'll never miss work. The way I read history those talented people created some great spaces with double the money they needed and 3 times the rework.

Yes. My husband has landed on his feet.
As for double the money and 3 times the rework, that has never happened to my spouse--you paint with rather a broad brush.

Exuberance of a youth wasted from AA? AA has two problems, uno the use of the word "never", two-o, the reading of history attempting to replace being part-parcel of it. The real time experiences of JOE are never :shock:, er, often not eluted properly in history. Congrats on your Hubby landing adroitly on his hooves.