More Wild Trading In Magnum Hunter Resources [View article]
It'd certainly give Crosstex a better platform for growth there, but I'm not sure if they would want gathering systems there, since it looks like they are focusing on building compressor and stabilization facilities there. I guess we'll see - If Magnum Hunter can take home north of $600 million for the assets I'd be pretty happy.
More Wild Trading In Magnum Hunter Resources [View article]
I think the problem was they should have hired more accountants. I agree this whole mess was avoidable, but as getting it resolved is the most important thing now.
The dollar (UUP +1%) is soaring across the board (not just against the yen, where it's now spiked through ¥100 to ¥100.56). The greenback is threatening parity vs. the aussie (FXA -1.1%) for the first time since last summer, and the euro (FXE -1.1%), swissie (FXF -1.4%), loonie (FXC -0.5%), and pound (FXB -0.6%) are seeing sizable declines as well. Commodities? Red. Gold (GLD -1.1%), Silver (SLV -1.2%), Oil (USO -0.6%), Copper (JJC -0.8%). [View news story]
Higher commodity production in the US will add a tailwind to the dollar for years to come.
Bond guru Jeff Gundlach warns that risk of rising interest rates extends beyond bond markets, citing MLPs in particular: "People are moving away from bond investments for obvious reasons but are going into things that are like going from the frying pan into the fire. Look at MLPs: If interest rates rise, you are going to get killed on a lot of these vehicles because they have a lot of leverage and a lot of interest rate risk." [View news story]
As long as the MLPs are not issuing floating rate debt, the buisness models should be fine. Unit prices will come down, since their yield should be viewed in relation to treasury spreads, but thats (to me) a well known risk. The wild card here is the tax implications from selling an MLP may prevent people who have been holding for the last few years from dumping shares at the first sign on an interest rate rise, since their cost basis after the distributions could be substantially lower than their original purchase prices.
Barron's Takes Another Swipe At Linn Energy [View article]
On Yahoo Finance you can do it for individual stocks, but not for a portfolio. I got so mad at something I read on there one day I spent an hour on Yahoo trying to figure it out haha
Magnum Hunter (MHR +3.3%) announces the acquisition of a new drilling rig for the Utica shale in Ohio, which raises its fleet to five rigs. Unlike traditional drilling rigs which are on rails and only allow limited movement, MHR's T500XD rig has a walking sub-base which lifts the entire rig six inches above the ground allowing it to turn and rotate. MHR also discloses a 15.3% passive stake in Penn Virginia (PVA +2%). [View news story]
I actually think PVA is more valuable after the EF deal, since they own so much contiguous acreage in the oil window.
Barron's Takes Another Swipe At Linn Energy [View article]
Basically the same, VNR also hedges production as soon as they make an acquisition, and both are looking for long lived, low declining assets. VNR has a higher distribution coverage ratio, and has been better at slowly and steadily raising the distribution. VNR is more gas, I think LINE will be more liquids after the Berry deal.
I own VNR, since they acquired Encore Energy (ENP) a little while back. I like its prospects better than LINE, and since the distribution coverage is higher, and the distribution growth is more stable.
Also Its kind of funny the motley fool has an article with basically the same headline out on LINE haha.
Magnum Hunter (MHR +3.3%) announces the acquisition of a new drilling rig for the Utica shale in Ohio, which raises its fleet to five rigs. Unlike traditional drilling rigs which are on rails and only allow limited movement, MHR's T500XD rig has a walking sub-base which lifts the entire rig six inches above the ground allowing it to turn and rotate. MHR also discloses a 15.3% passive stake in Penn Virginia (PVA +2%). [View news story]
They are not allowed to pay those dividends until they file the annual report, which is delayed until the new accountant gets its work done. They mentioned this is at least one of the conference calls. Its not that they don't have the cash, its that they are not legally allowed to make those payments at this time.
Barron's Takes Another Swipe At Linn Energy [View article]
Don't know how I got into the position of defending the company, but I guess its just because I like to argue. Can't argue with the technical indicators you mention, since the flat stock price is largely a reflection of the slow distribution growth, which is a reason I'm not a huge fan of the stock. Most companies like Line have high debt levels, so thats not a concern of fine, and I'm not sure where you get the CF projection from, so I can't argue with that. The distribution is high because the point of the company is to pay a high distribution, not because the units have crashed in value.
As for the reference to CHK, CHK never hedged commodity prices (this has changed in recent months, but not until after the huge drop), and spent too much money buying assets they needed to develop. LINE buys assets that are already producing, and hedges the commodity price at the time of the purchase to lock in the increase in the DCF. They are not the same business model.
Barron's Takes Another Swipe At Linn Energy [View article]
More Wild Trading In Magnum Hunter Resources [View article]
More Wild Trading In Magnum Hunter Resources [View article]
More Wild Trading In Magnum Hunter Resources [View article]
More Wild Trading In Magnum Hunter Resources [View article]
More Wild Trading In Magnum Hunter Resources [View article]
More Wild Trading In Magnum Hunter Resources [View article]
More Wild Trading In Magnum Hunter Resources [View article]
The dollar (UUP +1%) is soaring across the board (not just against the yen, where it's now spiked through ¥100 to ¥100.56). The greenback is threatening parity vs. the aussie (FXA -1.1%) for the first time since last summer, and the euro (FXE -1.1%), swissie (FXF -1.4%), loonie (FXC -0.5%), and pound (FXB -0.6%) are seeing sizable declines as well. Commodities? Red. Gold (GLD -1.1%), Silver (SLV -1.2%), Oil (USO -0.6%), Copper (JJC -0.8%). [View news story]
Bond guru Jeff Gundlach warns that risk of rising interest rates extends beyond bond markets, citing MLPs in particular: "People are moving away from bond investments for obvious reasons but are going into things that are like going from the frying pan into the fire. Look at MLPs: If interest rates rise, you are going to get killed on a lot of these vehicles because they have a lot of leverage and a lot of interest rate risk." [View news story]
Barron's Takes Another Swipe At Linn Energy [View article]
Magnum Hunter (MHR +3.3%) announces the acquisition of a new drilling rig for the Utica shale in Ohio, which raises its fleet to five rigs. Unlike traditional drilling rigs which are on rails and only allow limited movement, MHR's T500XD rig has a walking sub-base which lifts the entire rig six inches above the ground allowing it to turn and rotate. MHR also discloses a 15.3% passive stake in Penn Virginia (PVA +2%). [View news story]
Barron's Takes Another Swipe At Linn Energy [View article]
I own VNR, since they acquired Encore Energy (ENP) a little while back. I like its prospects better than LINE, and since the distribution coverage is higher, and the distribution growth is more stable.
Also Its kind of funny the motley fool has an article with basically the same headline out on LINE haha.
Magnum Hunter (MHR +3.3%) announces the acquisition of a new drilling rig for the Utica shale in Ohio, which raises its fleet to five rigs. Unlike traditional drilling rigs which are on rails and only allow limited movement, MHR's T500XD rig has a walking sub-base which lifts the entire rig six inches above the ground allowing it to turn and rotate. MHR also discloses a 15.3% passive stake in Penn Virginia (PVA +2%). [View news story]
Barron's Takes Another Swipe At Linn Energy [View article]
As for the reference to CHK, CHK never hedged commodity prices (this has changed in recent months, but not until after the huge drop), and spent too much money buying assets they needed to develop. LINE buys assets that are already producing, and hedges the commodity price at the time of the purchase to lock in the increase in the DCF. They are not the same business model.