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  • Is National Oilwell Varco's Dividend At Risk? [View article]
    I would have liked to have seen a discussion re NOVs cash ($2.5B), LT debt($4.15B) and total assets ($31.2B) (all June 2015 numbers)with respect to their market cap of $14B. That might give some context to your thesis that the dividend is probably OK for some time, even though revenues and income will probably be challenged.
    Aug 25, 2015. 10:47 AM | 2 Likes Like |Link to Comment
  • Cree's Turnaround Offers Hope For Investors [View article]
    And, also at Home Depot, why the Phillips LED bulbs were about half the price of the CREE. I had previously bought several CREE and am happy with them; I am also happy with the Phillips.
    Aug 25, 2015. 09:29 AM | Likes Like |Link to Comment
  • EOG Resources - A Relative Safe Spot In An Industry That's In Turmoil [View article]
    Are not derivatives mark to market at quarter end.? Presumably they showed the unrealised gains on their hedging at the end of the first quarter, and since oil dropped from end March to end June, they would have had to reverse some of the gains.
    Aug 12, 2015. 02:12 PM | 2 Likes Like |Link to Comment
  • Pioneer Resources Has Great Hedges And A Great Balance Sheet - Why The Rush To Drill? [View article]
    Given the assumption that the price of oil will improve, hopefully sooner rather than later, and given that PXD has both the acreage and finances to drill the wells, then , using your wording " annuity" , when the price improves they will have all these additional wells pumping out money. At least, that's the theory.
    Aug 10, 2015. 11:11 AM | Likes Like |Link to Comment
  • Buy Forbes Energy Services' Maintenance Business For 41% Of Its Cash Balance [View article]
    Looking at the company statement regardingproperty and equipment, it would seem that a large proportion of the assets are mechanical equipment ( truck mounted etc). What is the average useful service life ? Debt $280 million, depreciation $55 million per year, 4 years till 2019; current cash $66 million. it appears that there were major equipment purchases in 2012, so that stuff is already 3 years old, with$20 odd million a year since then.
    I would suggest that a fair amount of their fleet could be ready for retirement or upgrading by 2019, so that will need to be financed at that time. In other words their debt position will continue to some extent after 2019 . That said, if their business continues to be cash flow break even or positive during this period of low oil prices, this might be a very interesting stock. But they are going to have retain most if not all of their cash flow for debt retirement, with new debt for new equipment. Does that leave a little for share buy backs ? Maybe.
    Jul 9, 2015. 01:35 PM | 1 Like Like |Link to Comment
  • Clean Energy Fuels Remains A Buy Despite Stock Price Stagnation [View article]
    @ Sneha. You touched on this in your article, but not enough.
    Natural gas is supplied to the transportation industry in two formats, LNG and CNG.
    CLNE is committed to the development of the LNG side, which involves significant investment, and offers better margins on sales of LNG. They are also selling CNG, presumably to boost their volumes, but this is a low margin, competitive business.
    As far as trucks are concerned, the growth appears to have been largely on the CNG side. Truck engines and fuel systems are configured differently for CNG and LNG. Converting from one to the other in the aftermarket is not a viable option.
    It would be interesting to see the breakdown of LNG and CNG volumes, with their respective profit margins, and the historical and projected growth rates for each. An breakdown of how much has been invested for each type of fuel would also be interesting.
    I suspect this might show why I am cautious about CLNE stock.
    May 19, 2015. 11:52 AM | 2 Likes Like |Link to Comment
  • Enerplus's Cautious Moves In Difficult Times Position It For Long-Term Gains [View article]
    Your diatribe against Enerplus is unwarranted. They are not involved in the oil .sands. While they do have properties in Alberta, two of their four core production areas are the Bakken and the Marcellus. The last I heard, North Dakota and Pennsylvania were still in the U.S. Nowhere in the SA article does it suggest that Enerplus is planning to leave Alberta. And while I don't like the new provincial government, I 'll wait and see what happens. I would suggest that oil and gas prices are a more direct threat.
    May 14, 2015. 12:02 PM | 1 Like Like |Link to Comment
  • A Few Thoughts On Pengrowth Energy [View article]
    What is the projected Capital $$ required for Lindbergh Phase 2 ? and the corresponding production ? i realise it's on hold pending a better price environment. (and presumably that Phase 1 is performing according to plan)
    May 12, 2015. 11:44 AM | 1 Like Like |Link to Comment
  • How Caterpillar Can Quickly Improve Its Financial Situation [View article]
    @Daniel; while selling the Resources segment may make financial sense to you, perhaps for the short term, this is the "Flagship" division. It is also cross linked to the construction industry which management said did very well last year. Presumably the Bucyrus acquisition product lines largely fall into this division, and I imagine they are still being integrated into the Cat organisation, with some synergistic savings still to come. Cat is also inextricably linked to their numerous dealers around the world that service the equipment, a big dollar revenue item to them.
    I would take issue with your comment under "Takeaway" ~~"By simply selling~~" SIMPLY ???????
    Mar 28, 2015. 08:24 PM | Likes Like |Link to Comment
  • Noble Corporation Could See 50%+ Upside Over The Next 12-18 Months [View article]
    Re paragraph Future Price of Oil you state "~~offshore drillers need the price of oil to be~~~ to be competitive"
    Drillers need contracts to be viable. I don't believe there is a magic number oil price that will suddenly make NE, plus RIG, SDRL, DO etc profitable again. E & P companies, including majors and NOCs, have to commit to capex in the offshore sector, to ensure the ongoing financial health of the drillers. Shale oil and gas is a competitive alternative especially in the North American geographical arena, and this could well delay the E & P companies from committing to new offshore capex.
    Mar 27, 2015. 08:16 PM | Likes Like |Link to Comment
  • Why Clean Energy Fuels Can Continue Beating The Market Despite Certain Challenges [View article]
    Natural Gas for transportation is used in two formats; ;Liquefied Natural Gas (LNG) and Compressed Natural Gas (CNG).
    My understanding is that CLNE has invested in both the LNG and CNG sectors, however LNG involves substantially greater investment, and provides better margins on sales. CNG stations require little more than a supply of Natural Gas,and some, not a lot, electrical power, and hence there is no "moat" and a fair amount of competition, thus margins on CNG sales are much less lucrative, especially if the CNG is supplied from expensive LNG. However the vehicle fleet sales you refer to in your article are all CNG vehicles.
    Can you provide a breakdown of the split between LNG and CNG regarding CLNE's investment, their sales, and margins ?
    Mar 27, 2015. 05:24 PM | 1 Like Like |Link to Comment
  • Seadrill Should Make An Acquisition [View article]
    In my opinion, the biggest competitor to deep offshore oil is North American shale oil, and that's because the response time of the shale operators is much faster than the deep sea drillers. When the price of oil goes back up towards the $100 level, the shale boys will be back drilling; the deep sea operators will be somewhat more cautious. And that will inhibit demand for deepwater rigs for quite some time. Who will survive ? I don't know, but I do not think any of the offshore drillers will be looking to buy anything until there are some contracts out there at decent prices. I really think we are seeing a shift in the drilling industry.
    Mar 21, 2015. 01:26 PM | 1 Like Like |Link to Comment
  • EXCO Resources: Weighing The Pros Against The Cons [View article]
    How much did each of the 425 bpd wells cost to drill and complete ?
    What are their hedges ?
    When is their debt due ?
    Mar 19, 2015. 04:01 PM | 1 Like Like |Link to Comment
  • AutoZone: Our Favourite Large-Cap Stock [View article]
    I have a problem with a company that "squeezes their suppliers" with an average 4 month payables. To be fair, AAP seems to do the same thing. Is this standard prctice in this industry ? If the suppliers squeeze back, their financing model goes out the window.
    Mar 14, 2015. 03:17 PM | Likes Like |Link to Comment
  • Tesoro Corporation: A Downstream Monster [View article]
    Any comment on refinery complexity (Nelson index) which you give as 11.5.? And the supply / mix of crude supply ? I would think the surge in shale oil availability compared with heavy oil sources might be to their advantage with some of their refineries. Grade and price surely must have a material effect on the crack spread.
    Mar 3, 2015. 11:31 AM | Likes Like |Link to Comment