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Mike Maher

 
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  • Rice Energy Acquires Chesapeake's Marcellus Package: Analysis [View article]
    Great write up. Rice appears to be one of the better operators in the area in terms of completions and well results. My only concern is the takeaway capacity in southwestern PA and large price differentials. The midstream players really need to start getting pipe into the ground at a much faster clip.
    Jul 15 12:22 PM | Likes Like |Link to Comment
  • Enterprise Products announces two-for-one stock split [View news story]
    so if you bought 100 units at $28, it cost you $2800 (BTW I was also buying around that price, on the Teppco deal, so nicely done). Right now those units are worth ~$78/unit or $7800, and pay $0.72 cents this quarter in distribution, which has been rising a penny per quarter. That will yield you $72 on those 100 units for the quarter.

    After the split, you will have 200 units (100*2), that you still paid $2800 for, and they will be worth ~$39/unit ($78/2), or $7800 (200*$39). The distribution for the quarter will be $0.72/2 = $0.36 per unit, and you have 200 units so you will still get a distribution of $72.

    DCF for EPD as a whole does not change - the split does not entitle you to a larger share of the DCF, as the split does not increase the % of EPD you own. The distribution was already growing - it has been for 10 years. The total distribution you receive does not change. Stock splits are for the most part gimmicks. You can make the argument (as Berkshire did when they bought BNSF) that they are needed for liquidity, but other than that, they serve little real purpose.
    Jul 15 11:53 AM | 1 Like Like |Link to Comment
  • Enterprise Products announces two-for-one stock split [View news story]
    So companies should split their stock to help the "average investor" who is trading stock options on an income vehicle like EPD? How many average investors are doing that, but lack the capital to trade options on a $70 stock?

    Or did you mean that now the average investor who wanted to buy more EPD, but only had $38 available, not $76, can now buy another unit?

    Come on. The split is a gimmick to trick retail investors into thinking a stock is "cheap." On companies like Apple, or Berkshire, it adds liquidity - but EPD isnt so highly priced that I would call it unattainable or illiquid. Maybe there should be concern they are trying to add to liquidity in order to allow insiders to start cashing out of some of their holdings without moving the unit price - has anyone considered that?
    Jul 15 10:29 AM | 3 Likes Like |Link to Comment
  • CONSOL Energy Announces Operations Update [View article]
    Those wells look very impressive
    Jul 15 09:38 AM | Likes Like |Link to Comment
  • Enterprise Products announces two-for-one stock split [View news story]
    Its a split - its not good or bad news. It adds a little bit of liquidity and makes the units appear less expensive to those who dont know any better.
    Jul 15 09:32 AM | 2 Likes Like |Link to Comment
  • Valero expects below consensus Q2 earnings, shares -2.2% AH [View news story]
    That's surprising, IMO. Very disappointing, clearly I've been wrong on $VLO.
    Jul 14 06:26 PM | Likes Like |Link to Comment
  • Kodiak Acquired - Who Is The Next Target In The Bakken? [View article]
    Since when is Rexx in the Bakken?
    Jul 14 01:52 PM | Likes Like |Link to Comment
  • CYNK Technology: Promoters Push Market Cap To $655 Million Despite $39 In Assets And No Revenue; 100% Downside [View article]
    I cant get a borrow either.
    Jul 10 11:19 AM | Likes Like |Link to Comment
  • Upcoming earnings not likely to provide boost for refiners, Barclays says [View news story]
    Ajayyy,

    VLO doesnt use condensate as a feedstock in its refineries. The company has come out and said that if there is less condensate blended with the heavier oils VLO's refineries are set up to process, that they will be able to run at higher productivity rates.
    Jul 10 12:41 AM | 2 Likes Like |Link to Comment
  • Ensign buys Washington-based nursing facility [View news story]
    Good data point on these sales
    Jul 7 07:33 PM | Likes Like |Link to Comment
  • Chesapeake -6.6% as drilling spinoff advances in trading debut [View news story]
    Its not down 6.6%, the CHK shares have been adjusted because of the spin out. I see it down $0.23 (0.82%) right now, not the $1.92 (6.6%) SA is showing it down.
    Jul 1 02:19 PM | Likes Like |Link to Comment
  • Penn Virginia: The Marl Holds Promise [View article]
    Yea that Devon deal for GeoSouthern is what I was thinking about too. We'll see how open PVA management is to doing a deal. Thanks again.
    Jun 27 09:47 AM | Likes Like |Link to Comment
  • Penn Virginia: The Marl Holds Promise [View article]
    Rich,

    Any comments on Soros and his 13D? Since he's pushing for a sale, I think the most likely buyer is someone with abutting acreage, basically one of your "read-across" companies. After all, PVA stock really took off when it bought adjacent acreage from MHR a few years back - i suspect because large contiguous blocks are easier to develop efficiently, and more attractive to larger peers. Given the potential for the Marl to be a seperate play, do you think its prudent to push for a sale of the company now, or further explore and maybe de-risk some of the Marl so PVA doesnt sell out on the cheap?

    Thanks,

    Mike
    Jun 27 09:04 AM | Likes Like |Link to Comment
  • Memorial Resource Development: An Interesting New Pure Play Cotton Valley Name [View article]
    Awesome. Thanks so much, and keep up the great work!
    Jun 26 10:12 PM | 1 Like Like |Link to Comment
  • Memorial Resource Development: An Interesting New Pure Play Cotton Valley Name [View article]
    Can I ask if the IRR numbers are from a company presentation or are those in house, based on your estimates? Those numbers look fantastic, wondering how this play isnt making headlines.

    Thanks
    Jun 26 06:39 PM | 1 Like Like |Link to Comment
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