Entering text into the input field will update the search result below

Preferred Show The Way (UP LNG Shipping Indices Report)

Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.


  • UP indices lost 11 pts thanks to GLNG.
  • HMLP stabilised, preferred above $27.
  • A few words about Dynagas.

Values of UP LNG Shipping Indices for 30th August

UP Total Return Index -143.64
weekly change -11.41
UP Simple Price Index -405.26
weekly change -11.41
UP Preferred Simple Price Index -67.72
weekly change +2.27
UP Volume Trend Index 2917.37
weekly change -2192.23

(source: author)

UP indices finished 11 points lower, mainly due to Golar LNG (GLNG) earning call. It finished 5 % lower. Other stocks finished between +/- 0.5 %.

Volume was also lower, but still above average. The most traded stock was GLNG, while Höegh LNG Partners (HMLP) stabilized.

(source: author)

As I said this week is important for future of HMLP price, let´s look at it now. It wasn´t bad trading season last week. Price lost only 0.9 % and volume was only average. But price finished below last week and this area was full buyers in past. Now they only stopped the price but weren´t able to push it up. It seem to me like a consensus between buyers and sellers.

HMLP weekly chart (source: author´s Amibroker platform)

Similar situation was on both GasLogs. Look at GLOG chart.

GLOG weekly chart (source: author´s Amibroker platform)

During last three weeks (last 3 candles) there are only buyers tails ("shadows" below the candle).

The most rising stock of last week was Dynagas LNG Partners (DLNG). On Thursday it was trading at $1.37 on average volume, on Friday finished at $1.29. But we are still waiting for Q2 earnings and mainly to refinance news.

If you are asking who is trading this poor stock, here is a CNN chart (data to 6/30/19, but last updated on August).

(source: CNN)

At some discussion at the end of 2018 I was defending long contracts of this company and I still like this, especially when the revenue is slightly rising. Now spot players are trying to fix the contracts at about $84.000/day (sure, much more than DLNG has), but previous charters were at $50-60.000. And we have seen what these spot/prices done.

Back to UP LNG Shipping Indices. Whole market finished higher and UP indices lower, this is completely opposite to last week.

(source: author)

And preferred stocks rose again, but very little.

Dynagases were losing (not positive for my DLNG opinion), but GasLog (GLOG) preferred is above $27. Investors are feeling very safe with this preferred and similar to HMLP´s preferred. Look at daily chart, there is nice buyer´s tail.

HMLP-PA daily chart (source: author´s Amibroker platform)

(source: author)

Analyst's Disclosure: I am/we are long DLNG, GMLP, GLOG.

I also have small positions for study purposes in each of seven stocks included in UP LNG Shipping Indices.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.