There are outsized risks when your only producing asset suffers an unexpected shutdown. This risk is magnified when this unexpected shutdown causes damage to a key piece of equipment. This is basically what happened to CVR Partners (NYSE:UAN) and was likely the cause of its post secondary Q2 2013 weakness. CVR Partners' last declared quarterly distribution was for $0.583 per unit, which at current prices equates to about an 8.40% yield.
(click to enlarge)
For those not familiar with CVR Partners, a brief overview is warranted. You can also read my May 2013 article on the stock, which provides a more detailed look. CVR Partners manufactures and produces ammonia and urea ammonium nitrate, also known as UAN....
|FREE||SA PRO MEMBERS|
|IDEA GENERATOR||X||Exclusive access to 10 PRO ideas every day|
|INVESTING IDEAS LIBRARY||X||Exclusive access to PRO library of more than 15,000 ideas|
|SECTOR EXPERT NETWORK||X||Exclusive access to all sector experts for direct consultation|
|PERFORMANCE TRACKING||X||Track performance of all PRO stock ideas|
|PROFESSIONAL TOOLS||X||Professional Idea Filters to zero-in based on industry, market cap and more|