New Capital
Contrarian, deep value, long/short equity, special situations

Genie Energy - Undervalued With Likely Boost After Today's Q2 Results

Genie Energy (NYSE:GNE) is due to report Q2 results today. These results should be materially better than the Q1, as last quarter was negatively affected by the factors outside company's control. However, investors seem to disregard this and Genie Energy's share price has declined 36% since March 2014.

I got first interested in Genie Energy due to arbitrage situation covered in my previous article. But the more I read about the company, the more interesting it got from the long term investment perspective. Majority of GNE shareholders seem to agree with me, as hardly anyone participated in the common-to-preferred exchange, despite preferred trading at 10% premium and offering a very safe 8% dividend yield.

Genie Energy's background...

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
FREESA PRO MEMBERS
IDEA GENERATORXExclusive access to 10 PRO ideas every day
INVESTING IDEAS LIBRARYXExclusive access to PRO library of more than 15,000 ideas
SECTOR EXPERT NETWORKXExclusive access to all sector experts for direct consultation
PERFORMANCE TRACKINGXTrack performance of all PRO stock ideas
PROFESSIONAL TOOLSXProfessional Idea Filters to zero-in based on industry, market cap and more
"In just the first month of using PRO, I used it to generate two ideas which were actionable for me. As a result of these two positions, I have earned more than 20 times the annual subscription costs for PRO."Michael Yagemann, Greenbridge Capital
"I am pleasantly surprised with the scope of small and mid-cap coverage PRO offers. You can't find that any where else."Patrick Rice, Mainstay Capital Management
You may cancel at any time for any reason, and receive a prompt refund for membership on months paid and not used (max. 6 months). Details