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Albert Alfonso

 
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  • Kimberly-Clark: Get Ready For The 'Halyard Health' IPO [View article]
    The quote comes directly from the press release. Basically, think of this spin-off as a dividend, so no change in value until it is effective. I'll add the other paragraphs to clear up any confusion.
    Oct 27 06:28 PM | 1 Like Like |Link to Comment
  • How Does Ellington Financial Achieve Its Massive 13% Yield? [View article]
    1401_Invest,

    EFC has covered the dividend easily for both Q1 and Q2 2014. We'll have to wait and see for Q3. So far, it seems that net interest spreads actually rose during that period.
    Oct 26 04:18 PM | Likes Like |Link to Comment
  • How Does Ellington Financial Achieve Its Massive 13% Yield? [View article]
    Urbannek,

    EFC is an LLC and does indeed file a K1. So its place really is in a taxable account, IMO.

    The form however is pretty easy to fill out and much less involved than an MLP's.
    Oct 26 04:15 PM | 1 Like Like |Link to Comment
  • The Curious Case Of BreitBurn Energy Resource Partners' Failed Senior Notes Offering [View article]
    Blue,

    The market tends to overreact on both the upside and downside. Also, these stocks are held mostly by individual investors, which increases volatility. IMO, we are seeing both panic selling AND buying.
    Oct 23 02:43 PM | Likes Like |Link to Comment
  • Coca-Cola: Is This Dividend Champ Fizzling Out? [View article]
    Cape,

    KO has had a pair of bad quarters. I need to highlight that to not mislead my readers. As for its long-term future, I am bullish the stock and remain long.
    Oct 23 02:39 PM | Likes Like |Link to Comment
  • Coca-Cola: Is This Dividend Champ Fizzling Out? [View article]
    That is funny since I own both KO and MO/PM. Believe me, people will be smoking and drinking Coke in the future, though not as much as today.
    Oct 23 02:36 PM | Likes Like |Link to Comment
  • McDonald's - A Nearly 4% Yield Now On Sale [View article]
    Richjoy,

    From the few times I have gone to MCD recently, mostly for Coffee, the drive-through times are really really bad. Workers are way overworked and it seems that the restaurants are understaffed. I have actually switched over to Dunkin' coffee due to those delays.
    Oct 23 02:32 PM | Likes Like |Link to Comment
  • McDonald's - A Nearly 4% Yield Now On Sale [View article]
    Rudester,

    I agree. A new CEO would do wonders. Just look at what Indra Nooyi has done over at PepsiCo.
    Oct 23 02:29 PM | 1 Like Like |Link to Comment
  • McDonald's - A Nearly 4% Yield Now On Sale [View article]
    rdtuck,

    It depends. Some quarters, FCF covers both items. Other quarters, it does not.

    MCD has a pretty solid balance sheet, so adding debt is not really an issue, especially with rates so low.
    Oct 23 02:27 PM | Likes Like |Link to Comment
  • Update: American Realty Capital Properties Closes Sale Of Shopper Center Portfolio [View article]
    Yiwen Nni,

    The market did not like ARCP's Summer equity offering and is still digesting the recent moves. This is an income vehicle so do not expect a spike higher, rather a gradual multiple expansion.
    Oct 21 04:01 PM | 1 Like Like |Link to Comment
  • The Curious Case Of BreitBurn Energy Resource Partners' Failed Senior Notes Offering [View article]
    Bob,

    That is not at all what I said. Also, you are quoting out of context. I am discussing the BBEP/QRE deal and why I would vote "No", not the E&P MLP rout.

    QRE/BBEP have been linked since the merger announcement, with QRE trading at the exchange "price" of BBEP times 0.9856 plus a 5% or so discount.

    As for if QRE would have been crushed, absolutely it would have. Heck, even VNR, arguably the most conservative, got hammered. It was a market panic. I would argue that we are now seeing panic buying towards the upside too. Volatility sucks for income investors...


    Oct 20 10:41 PM | Likes Like |Link to Comment
  • The Curious Case Of BreitBurn Energy Resource Partners' Failed Senior Notes Offering [View article]
    ClubFord,

    You seem to be missing the point entirely.

    The value being offered by BBEP via its units "the currency" has come down significantly. QRE's current value is completely irrelevant as the market trades them inline with each other due to arbitrage.

    IMO, if this transaction were to occur, the "New BBEP" would be a less valuable company than the current QRE.

    QRE has more of its production hedged, a better distribution coverage ratio (1.10x versus 0.86x), and a higher yield.

    This is not to say that I dislike BBEP. Only that I like QRE more.
    Oct 20 06:30 PM | Likes Like |Link to Comment
  • Update: Atlantic Power - From Bad To Worse [View article]
    That explains today's pop...
    Oct 16 05:05 PM | Likes Like |Link to Comment
  • QR Energy: Don't Buy The Hype About A Distribution Cut [View article]
    Whitney,

    As a QRE unitholder, I am hoping for an adjustment in the exchange ratio. However, this is very unlikely to occur. BBEP is buying QRE in an all-equity transaction. There units have also been hammered unfortunately.
    Oct 16 12:42 PM | Likes Like |Link to Comment
  • The Curious Case Of BreitBurn Energy Resource Partners' Failed Senior Notes Offering [View article]
    Junky,

    Regarding the debt offering,

    The stated reason was to pay down the revolver, not to refinance any of the older existing debt.

    As to the use of the term "failed", BBEP tried to issue debt and did not succeed due to market conditions.

    Regarding the QRE exchange ratio,

    This is a mater of opinion, so not really worth debating much on a public forum. However, do note that I suggested selling QRE back in July in order to lock in profits. I still hold a "rump" QRE position, basically my profits from the initial premium.

    http://seekingalpha.co...

    I agree with you that both QRE and BBEP are equally undervalued. Also, fears of a distribution cut are way overblown. I actually have an article in the pipeline which discusses BBEP and its hedging policy. The stocks have thankfully rallied 10 to 15% as of this writing.
    Oct 16 12:18 PM | Likes Like |Link to Comment
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