Seeking Alpha

Carl Icahn ups his stake in Chesapeake Energy (CHK) to 8.89% from 7.56% previously. Shares +2.3%...

Carl Icahn ups his stake in Chesapeake Energy (CHK) to 8.89% from 7.56% previously. Shares +2.3% premarket. (13D)
Comments (6)
  • Hope he keeps buying and enables a higher floor to be put under CHK. I had previously thought the high 19/low 20 price was that floor and was feeling better about things until the recent slide. Have been long CHK but am in at the 24-25 average for all my shares. At this point I would just like to get back in that low 20 range and try to ride it out to recovery unless Icahn bails out sooner.
    20 Nov 2012, 09:03 AM Reply Like
  • whatever it takes to keep Chk solvent...we have 60 padsites mostly of Chesapeake in Arlington TX and we need them to drill right and that is expensive....for one they need to throw out those open hatch flowback tanks and use the gas buster/ventless, pressurized flowback tanks in urban drilling.
    20 Nov 2012, 10:17 AM Reply Like
  • I believe if you stay patient and add more to your position at these levels you will be rewarded handsomely. After this recent dip, I have taken long positions in the energy complex including GASL, ERX, EOG, OAS, WPRT, along with CHK. Am thinking that patience may be the key.
    20 Nov 2012, 10:37 AM Reply Like
  • At current 17.42, it's a good and relatively safe entry point, especially now that the negativity on Aubrey has been fully played out on the share price. You could cover-sell the Dec 18 call at 0.50 to capture some premium income and provide for some downside cushion.
    20 Nov 2012, 12:44 PM Reply Like
  • I find this news encouraging. While I try to remember that even the best investors are human and can make mistakes, CI doesn't seem the type to chase empty promises.
    21 Nov 2012, 08:12 AM Reply Like
  • CHK common stock is worthless. They have 32B$ stuck in leases where half will have to be written off. They have 41,000 wells that never were profitable and never will be. The best they had in Ellis and Roger Mills county they sold, yet they still have to drill 1000 wells. CHK is very close to what Enron was with the exception it does have considerable physical assets. But everything is mortgaged to the hilt. They NEED 8$ gas price to make it a viable operation. A good number of their rigs are now drilling for others to keep them employed. If only I could sell natural gas for 5$ like they do for future delivery, claim it as revenue when in actuallity it is a loan disguised as a gas sale. Common shareholders of this entity are bagholders at best.
    22 Nov 2012, 09:54 PM Reply Like
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