Seeking Alpha

George Fisher

 
View as an RSS Feed
View George Fisher's Comments BY TICKER:
Latest  |  Highest rated
  • 25 Dividend Champion Investment Opportunities: Something For Every Retired Investor, Part 1 [View article]
    Chuck,

    Great combination of long-term dividend payers and fastgraphs. Thanks for the article.
    Aug 21 09:40 PM | Likes Like |Link to Comment
  • Exelon: Buy The Dip [View article]
    martin,

    "Are other utilities immune from the forces that are causing EXC to underperform?"

    The correct answer is "yes", and their past performance is in many cases worse than EXC. Below is a quote from an article about the merchant power business:

    "The merchant power sector has a much checkered past. Seemingly, much like the airlines industry, large merchant power producers cycle in and out of bankruptcy.

    Calpine has a large capacity of natural gas-fired generation and filed for bankruptcy in 2005 when natural gas skyrocketed to $12/MMBtu.
    Dynergy recently exited bankruptcy and was plagued by high cost, declining demand and low electricity revenues.
    NEG was liquidated in Chapter 7 in 2004 due to serious debt problems after borrowing heavily to expand its natural gas-fired capacity.
    GenOn was created after Mirant, exiting from bankruptcy after being spun out of Southern Company, merged with the merchant power business of Reliant.
    NRG went through its own bankruptcy in 2004.
    In Oct 2013, NRG decided to acquire Edison Mission Energy, a subsidiary of Edison International (NYSE:EIX) for a purchase price of $2.64 billion. The buyout will add nearly 8,000 megawatt MW of capacity to NRG Energy's generation portfolio and diversify its generation portfolio.

    From an article last Nov http://seekingalpha.co...
    Aug 19 05:38 PM | Likes Like |Link to Comment
  • Exelon: Buy The Dip [View article]
    It's Electric

    Thanks for reading and posting your comments.
    Aug 19 04:52 PM | Likes Like |Link to Comment
  • Exelon: Buy The Dip [View article]
    Robin,

    Thanks for your kind words. Your rephrasing is right on point. I appreciate your reading and posting your comments.
    Aug 19 04:51 PM | Likes Like |Link to Comment
  • Avista: Fully Valued Utility With Adequate Income And Acquisition Potential [View article]
    cymbalta,

    Thanks for reading and I'm glad you found it useful
    Aug 18 07:15 PM | Likes Like |Link to Comment
  • Avista: Fully Valued Utility With Adequate Income And Acquisition Potential [View article]
    DS,

    Thanks for reading and posting your comments. It looks like the dividend growth rate has cooled a bit but is still above long-term expectations for inflation
    Aug 18 07:14 PM | Likes Like |Link to Comment
  • Exelon: Buy The Dip [View article]
    jay,

    Thanks for reading and posting your comments.
    Aug 18 04:33 PM | Likes Like |Link to Comment
  • Exelon: Buy The Dip [View article]
    martin,

    Thanks for reading and posting your comments. I would suggest researching the underlying reason for their underperformance - both absolute and relative. I believe you will find a three way correlation between natural gas pricing, electricity pricing in the NE, and ExGen profitability
    Aug 18 04:32 PM | Likes Like |Link to Comment
  • Exelon: Buy The Dip [View article]
    BigT,

    Thanks for reading and posting your comments. I agree the EPA is having substantial influence over the utility sector and in reviewing the spread between demand and supply, the supply side will shrink as coal-fired plants are retired.
    Aug 18 04:30 PM | Likes Like |Link to Comment
  • Exelon: Buy The Dip [View article]
    gotincome,

    Thanks for reading and posting your comments. I agree that management has not stated their dividend growth plans nor anticipated payout ratios. This is my observation based on the low points of payout ratios over the previous 15 years.
    Aug 18 04:27 PM | Likes Like |Link to Comment
  • Royalty Trusts And The ETF Retirement Portfolio [View article]
    Aug and JP,

    Thanks for your replies. Further dd on my part is required
    Aug 18 03:55 PM | Likes Like |Link to Comment
  • Royalty Trusts And The ETF Retirement Portfolio [View article]
    Aug,

    What do you make of this from their recent SEC filing:

    "The Trust’s Indenture (the “Indenture”) provides that the term of the Trust will expire on June 1, 2021, unless extended by the vote of the holders of a majority of the outstanding units of beneficial interest."

    It would seem 2021 is 7 yrs. hence, and at 7% current yield, new investors would see a 49% return on their capital through 2012. But then the trust potentially disappears with a loss of capital of the balance.

    Thanks for the name to research
    Aug 18 11:19 AM | Likes Like |Link to Comment
  • Royalty Trusts And The ETF Retirement Portfolio [View article]
    Chris, I agree with Augustus comments and would like to add two other benefits. DMLP does not have incentive distribution rights IDRs and the GP is paid a straight 4%. In addition, management does not use hedging. This creates the situation where in declining markets, unit holders get less but in increasing markets, distribution rises. Unit holders have to willing to live through very variable distributions.
    Aug 17 02:23 PM | Likes Like |Link to Comment
  • Royalty Trusts And The ETF Retirement Portfolio [View article]
    Chris,


    First, I am not an accountant. There are two issues as I understand it with MLPs in an IRA: 1) UBTI and 2) recapture of depreciation.


    DMLP resolves the first by how it structures its NPI contract for exploration risk. The partner takes all the drilling risk and pays the NPI after it recoups its capital expenditures + 50%. I am uncertain as to the recapture of depreciation and how that is collected upon sale. I do hold some DMLP in tax advantaged accounts (have not sold since I first found DMLP in mid-2006), but not in sufficient quantity to attract IRS attention (or so I hope).
    Aug 17 11:56 AM | 3 Likes Like |Link to Comment
  • Royalty Trusts And The ETF Retirement Portfolio [View article]
    Thanks for the informative article. Many of these trusts own a royalty income stream based on the value and production of a natural resource. I prefer small-cap DMLP as a oil/gas royalty "trust" and net profit interest firm wrapped in a MLP structure. It is "perpetual" as it occasionally buys additional fields. Most of the land is fee owned, the company has no debt, and is structured to avoid UBTI. Depletion of reserves has not been a big issue, but it needs to be monitored. The majority of reserve replacement has been through organic growth.

    FD: long DMLP
    Aug 17 09:59 AM | 2 Likes Like |Link to Comment
COMMENTS STATS
1,443 Comments
577 Likes