I've lost my ass on TAL as well. I wish someone would explain it to me. I understand that lease rates are trending down. I understand that new containers are lots cheaper than they were a year or two ago due to steel prices. I understand that used containers don't have as much value when sold off. But...... the stock has dropped from 58 to 14 in roughly 21 months. How far down does it need to go? It's already at 70% of book value, with a PE less than 5. And the yield is near 20%!
During the last call management did not seem worried that future dividends would need to be cut. In fact they indicated that the dividend was better covered in the next (this) quarter than last.
Is world trade coming to an end? I don't think so. After things get bad, they tend to get better.