What happened 

Shares of DryShips Inc. (NASDAQ:DRYS) continued their decline in December, falling 16.7% for the month. The decline is bad news for investors but was fairly small in comparison to a year in which shares fell 99.9%. 

So what

The big financing news of the month was a $125 million credit facility backed by four tankers as collateral. The company also sold a Panamax vessel for $8.5 million. 

Dry bulk tankers in a port.

Image source: Getty Images.

What investors are still concerned about is DryShips' five stock splits during 2017, which amounts to a 1-for-7,840 stock split. There's no reason to think shares won't continue to be diluted and that's the real reason shares fell during December. 

Now what

There may not have been a big news release hitting DryShips' shares in December, but investors were still quickly selling the stock. Given CEO George Economou's long history of destroying shareholder value and enriching himself through a public company, I have no reason to believe the stock will recover. I don't think December's decline is the end of DryShips' tough sailing and before long another dilutive event or value-destroying move will hit shares. 

Travis Hoium has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.