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Rickcarino

Rickcarino
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  • Commodities Today: Devon's Attempt To Create Shareholder Value [View article]
    I think market interest, for now is mute, no positive response to valuable news of MLP. Market investors wait until pot is hot and stock is ready to fly. Investors like myself gets in early and waits.
    It could be some time until market finds its way but it will, usually late for us, when large cash flow enters in stock because they are in for large gain.They usually would wait for stock to fully ripe. If stock
    gives you dividend, if there is quarterly eps growth, it does not hurt to hold until stocks gets its way.
    Jun 8 08:57 AM | Likes Like |Link to Comment
  • Commodities Today: Devon's Attempt To Create Shareholder Value [View article]
    DVN Q1 - 0.66 cents vs 0.55 estimate.( beat by 20% )
    Q2 - est. 0.88, Q3 - 1.08 Q4 - 1.13
    If today's price is $56.73 based on last quarter Q1, what should be the price at the end of Q3 when it earns twice as per Q1 estimate of 0.55 ? Simple math ? Certain stock just under perform until investor wakes up and smell coffee. Production may be flat but revenue is not. Who needs high production in low price environment. Save it for later. Don't read into all write offs in previous quarters. Company soon may pay off debts and instead of buying back stock. Either way, big pop will happen.
    Jun 7 04:01 PM | Likes Like |Link to Comment
  • Devon Energy's (DVN +1%) move to transfer some assets into an MLP continues to be greeted with a yawn; shares are up today but in line with the sector. Peers such as Apache (APA) and Hess (HES), which also trade at discounted valuations, are seen to have more options and higher exposure to oil. "The catalyst to make the change at Devon is just not that obvious," says one energy investment banker. [View news story]
    Think about this. Why produce more when demand has not picked up. Wait one more year and Nat gas will fly. Demand will come from
    hundreds of nat gas station filling up commercial trucks and export facility will be soon reality and add 4 to 5% more demand every year from powering electric companies, add new housings come on line.
    It will be better pay little later. Patience will pay off. Most companies are emptying their supply at lower price now. Pay is much larger later. Also drilling expenses for oil wells must be paid from sale of your assets like what CHK is doing. You need to save your asset and keep your powder dry for now until price return makes you money. Be a long term investor with cautious company like DVN. I am holding my position since 1 year and when price deeps to $55 to $ 56 add little more. Company makes money and pays dividend, buys back stock, has lots of assets, What more do you want ? Leave all those analysts behind and just watch earnings, which is now producing more every quarter. All previous losses were just paper loss due to write offs. Sit tight and take a ride. Look ahead and go long term. There are yet no flashing yellow
    light on this one. Rest is just talk.
    Jun 7 03:24 PM | 1 Like Like |Link to Comment
  • Chesapeake (CHK -1.1%) swings sharply lower after its opening pop, as analysts question whether it got top dollar for the Permian Basin acreage; some had expected the sales to reap $4B-$5B (I, II, III). The deal has "helped them climb up the wall in this hole they've dug for themselves, but they are not there yet," Argus' Phil Weiss says. [View news story]
    If you are holding this stock, stick to it. I hold 9000 shares and was never worried about it. 14% shares are still shorted as of now. When these shorts are covered, pop will be worth minimum $5.00. I can see no sign of CHK going under. Short sellers are behaving as if company will not make it. Nat Gas price are firming up and by year end some 150 gas stations will be on line for commercial trucks that runs on Nat gas. Nat gas go up to $4.00 by year end and that will be twice the price when CHK was $13.00 bottomed out. Any one agree ?
    Sep 12 05:00 PM | Likes Like |Link to Comment
  • Chesapeake Energy (CHK -6.5%) is sliding on heavy volume. Reuters reports the SEC's Texas office has been demanding documents from Chesapeake as part of the agency's probe into the company's deals with CEO Aubrey McClendon. Meanwhile, Baker Hughes (BHI +9.4% - previous) reports the rig count for U.S. natural gas wells has fallen to 518 thanks to weak prices. That figure is down 45% from October's high, and represents a 13-year low.  [View news story]
    Natural Gas price is the only thing that really matter. All the rest is just
    noise. Aubaery and short sellers don't matter. CHK will be cash cow as price marches towards $5.00. I would think CHK will be soon $24 since gas price $3.08 is already 30% more compare to last quarter.
    CHK is 80% gas and 20% LNG and oil.
    Jul 21 12:44 AM | Likes Like |Link to Comment
  • Chesapeake: Short-Term Mess, Takeover Target [View article]
    I am an investor and follow Buffet theory. When every one fears, you buy the stock at bottom, knowing well that investment is long term and company will be there at end,. Like most large banks survived and sky did not fall.
    Jun 7 11:04 PM | 2 Likes Like |Link to Comment
  • Chesapeake: Short-Term Mess, Takeover Target [View article]
    Too much pessimism in this article and comments as well, While myself and Carl Icahn are accumulating this stock and market is pushing stock up due to slow short covering. Natural gas demand will rise steadily and once price goes over $3 , company will have string footing. Exxon won't be a buyer since they already bought Devon.
    At the footnote writer of article concludes that even though CHK is strong take over target, he rather buy XOM. This is completely not logical, since acquiring company will have to pay minimum of $35 just on asset basis value which means any one who invest below $18 will double their money. CEO Aubrey will never agree to be acquired but it will give enough time to investor to profit and exit. That is what my game plan is. Other than that I am long on this stock. Most who sold off the stock for loss, hates this stock. I believe
    in spite of all wrongs of Audrey, he is best dealmaker.
    Jun 7 10:45 PM | 2 Likes Like |Link to Comment
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