Worn out 123

Worn out 123
Send Message
View as an RSS Feed
  • How Do You Value Kinder Morgan After The Dividend Cut?  [View article]
    Precisely where I look for this stock sooner or later.
    Dec 16, 2015. 02:48 PM | Likes Like |Link to Comment
  • How Do You Value Kinder Morgan After The Dividend Cut?  [View article]
    Two years would be even better.
    Dec 15, 2015. 06:18 PM | Likes Like |Link to Comment
  • Seaspan: Mispriced For Your Gain  [View article]
    Correct on your second paragraph.
    Econ 101 you referred to is weak on this theory, however, as it only speaks to the shortest of terms. "One can eat only so much ice cream". Perhaps the commodity will be purchased in advanced and stored, however, how much storage is there? If it is finite then the sales will slow and price becomes of little consequence. $1.00 a gallon ice cream becomes ineffective once all freezers are full. Hence, while the effect holds true, in many, many instances it is temporary in nature. I dare say oil will have overcome it's low price advantage at $30.00. Lower price producing greater demand theory certainly has limitations.
    Dec 15, 2015. 12:26 PM | Likes Like |Link to Comment
  • Cutting The Dividend Now Will Increase Kinder Morgan's Value  [View article]
    At least!
    Dec 13, 2015. 01:44 PM | Likes Like |Link to Comment
  • Kinder Morgan's Death Spiral Puts The Unthinkable Squarely On The Table  [View article]
    I would hope the CEO would cease his growth mantra when it appears the stock price is plunging below $10. Have your people call my people when it hits $5. Ha,ha!
    Dec 13, 2015. 01:31 PM | Likes Like |Link to Comment
  • Kinder Morgan: Dividend Cut Sets Up Buying Opportunity  [View article]
    Try my venue. Buy and watch the gut-wrenching 5% drop ensue the same or next day for absolutely no good reason. It's seems like magic -- Black Magic! Then watch and wait as it remains down 1 - 8% for weeks and weeks before finally beginning a week long 10 - 20% climb, again, for no discernible reason. The market is SCHIZOPHRENIC! (I believe that is a quote from the Guru from Omaha).
    Dec 13, 2015. 01:21 PM | Likes Like |Link to Comment
  • Kinder Morgan Will Not Cut Its Dividend  [View article]
    Correct. However, did you read the part of the CEO comment where in he alluded to continuing growth? One might hope that with the current dividend a moratorium on growth would be expected to allow for paying down only a small part of the debt to be in order. If not, then how will the capital markets reopen to KMI? Too much expansion with too little funding has led to this point. Where could it lead the dividend next? I'm too old to wait 5 years for the next increase in dividend, especially if it would not be large due to a swollen growth capex.
    Dec 13, 2015. 12:41 PM | Likes Like |Link to Comment
  • What Is The Justifiable Price Of Kinder Morgan Preferred Shares Vs. Kinder Morgan Shares?  [View article]
    This company could cut the new dividend to cover could it not? Continuing growth has been mentioned by the CEO when he announced the current dividend which concerns me if no one else. I agree with the authors inference in his conclusion; "Under the assumption you really want to invest in Kinder Morgan . . . ." . I don't at this price. Too much risk for too little profit.
    Best of luck 2 U, Jeff1911m as I fear it may take longer for financial recovery.
    KMI has dug quite a financial hole for themselves and show little sign of stopping. I would feel differently had the dividend been set at $.01 six months ago with a promise of a moratorium on growth capex and increasing the dividend as the spot price inevitably begins to turn around which could be quite some time with Iran planning to increase production each year following the lifting of sanctions.
    Dec 13, 2015. 12:25 PM | 5 Likes Like |Link to Comment
  • Kinder Morgan: I'm (Almost) Ready To Go All-In, Just Waiting For A Dividend Cut  [View article]
    $5.00
    Dec 11, 2015. 10:08 AM | Likes Like |Link to Comment
  • Kinder Morgan Will Not Cut Its Dividend  [View article]
    Awwhaha! Good for you. Mistakes are a learning tool. Everybody makes them. No exceptions there. That's why they put erasers on pencils.
    Dec 10, 2015. 10:58 AM | Likes Like |Link to Comment
  • Kinder Morgan: Dividend Cut Sets Up Buying Opportunity  [View article]
    As close as $5 a share with zero funds for growth capex, anticipated long term low oil pricing, frozen out of capital markets, a low dividend, and expected rising rates on an enormous debt this company is lackluster.
    Dec 10, 2015. 10:52 AM | Likes Like |Link to Comment
  • How Do You Value Kinder Morgan After The Dividend Cut?  [View article]
    That's how I see it too. Hope I'm wrong, however, KMI continues to nearly ignore crushing debt in the face of rising rates. An injudicious course, IMHO.
    Dec 10, 2015. 12:53 AM | Likes Like |Link to Comment
  • Barron's: The worst is not over for Kinder Morgan  [View news story]
    Under ten dollars I will take another look at KMI as Kinder has been slow to acknowledge oil glut pricing. IMO, the dividend should have been cut to $.01 months ago if he expects to continue down the expansion trail since capital markets are now closed to him. Of course, even a temporary moratorium on growth capex would be too conservative for him, hence, the burning off of investors wealth.
    Another thought; with Iran ramping up oil production this oil glut could prove to be quite prolonged.
    Dec 10, 2015. 12:39 AM | 3 Likes Like |Link to Comment
  • Kinder Morgan: I'm (Almost) Ready To Go All-In, Just Waiting For A Dividend Cut  [View article]
    The great Kinder business model played out months ago. A GOOD CEO would have slashed the dividend with the first major drop in crude oil. A GOOD CEO would have put the brakes on growth capex for at least the duration of low oil prices (below $50 a barrel) understanding this would adversely affect fracking. Yet, months and months of stubbornness have left KMI investors holding the short end of the stick for years to come as even now Mr. Kinder refuses to fully address the debt of KMI. A $.01 dividend would be more appropriate if KMI is to again in the short term have 6 - 10% growth capex he continues to promise. This debt had better be paid down or common stock shareholders risk suffering even more loss. Congratulations Mr. Kinder, you have succeeded in delaying the inevitable consequence of "borrowing gone wild" while successfully turning KMI into the equivalent of junk bond status, already, IMHO. A recovery will take years following oil's one day anticipated subsequent price recovery.
    Dec 9, 2015. 05:33 PM | Likes Like |Link to Comment
  • How Do You Value Kinder Morgan After The Dividend Cut?  [View article]
    Put simply, the great Kinder demonstrated deceptive management practices. A sharp manager would have cut the dividend IAW 8 months ago with the falling price of oil and ceased his expansion efforts to pay down the enormous debt. If I were the CEO the dividend would be $.01 for the next year with the promise of increased dividends to follow (assuming an increase in the price of a barrel of oil, of course). Any more relaxed dividend/growth capex policy would make Mr. Ponzi proud.
    KMI has achieved junk bond equivalency status, IMHO.
    Dec 9, 2015. 05:11 PM | 2 Likes Like |Link to Comment
COMMENTS STATS
462 Comments
306 Likes