Seeking Alpha

Seadrill Partners (SDLP +1.1%) is initiated at Citigroup with a Buy rating and $30 price target...

Seadrill Partners (SDLP +1.1%) is initiated at Citigroup with a Buy rating and $30 price target based on applying a 5.3% yield to its cash distribution estimate of $1.59/unit. The firm says SDLP already trades at a hefty premium due to its fleet comprised solely of new and technologically advanced rigs and attractive cash flow payout structure.
Comments (1)
  • [Over 50 yrs inv.exp.Trustee non-profit Endowment Fund in Sarasota FL]
    John Fredriksen is your partner here = watch him move towards "infinite leverage" = cashing in original investments, then using the remaining funds, that is the balance of profits, to make more profits = known in Monte Carlo as "playing with the bank's capital", i.e. not your own.
    One my also call SDLP the small or 'average' investor's hedge fund = hedge funds usually accept only deep-pocket investors = here we need only not too many thousands of dollars to invest to get the chance for potential "hedge-fund returns".
    13 Nov 2012, 11:10 AM Reply Like
DJIA (DIA) S&P 500 (SPY)