Seeking Alpha

Douglas E. John...'s  Instablog

Douglas E. Johnston
250 Followers
18 Following
Send Message
Douglas E. Johnston is the founding partner and managing member of Quantalysis, LLC, a boutique investment analysis and risk management firm. In addition, he manages the Quantuon fund, a quantitatively driven investment vehicle. Prior to striking out on his own, Mr. Johnston was a senior member... More
  • EXCO Beats On NI But Fades On Rev? What Gives??? 0 comments
    May 1, 2012 10:47 PM | about stocks: XCO

    Confused? EXCO beat estimates on net income, earning 3c / shr adjusted, which losing out on revenue big time....the answer is simple - it is all about their hedges and accounting. The headline revenue number does not include the benefit of their hedges while the NI does...so the big decline in NG prices raised net income but reduced headline rev....with hedges accounted for, rev was $185mn -> in line....don't get too excited about the NI beat as there will be payback next few quarters as hedges ain't working no more. Best news is credit line was down to 1.1 and they got a bit more wiggle room on the covenant...so they can shop TGGT around w/o a fire sale....GL and listen in tomorrow AM!

    Disclosure: I am long XCO.

    Additional disclosure: i am long the common and their bonds

    Themes: Natural Gas Stocks: XCO
Back To Douglas E. Johnston's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Full index of posts »
Latest Followers

StockTalks

  • PDH follow up. q4 looking good. MB propane fut @ 74c PGP @ 57+, 30c dist. might be the under
    Dec 11, 2012
  • don't forget, underwriters have the 1m share option for PDCE at 26.50....
    May 22, 2012
  • nat gas inv jump 61 Bcfe....last gasp from some marginal producers Im afraid
    May 17, 2012
More »
Posts by Themes
dividend-ideas, dont-tag-as-pro, income-investing-strategy, long-ideas, Natural Gas, short-ideas
Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.