No they aren't paying it with debt. They have $2.66 BILLION laying around in cash right now, so you are lying about that, too.
For years moving into this dividend period they were profitable. You are confusing two quarters of quarterly losses, one projected, to "losing money." The will not lose money this year, nor next, according to the very analysts you attempt to quote.
Earlier, I saw you complaining about this 7 cent projected "loss." That is for one quarter and is only $85 million. For a company this size, that is petty cash. They can take quarterly losses like that for eight years and still have cash in the bank and lines of credit stretching to the moon. Also, soon after this tiny 7 cent "loss" those same analysts you are quoting predict a return to quarterly profits. They will be profitable this year.
Yes, this is a downturn because of declining oil prices, but they have weathered far longer and worse downturns than this. They know a lot more about handling the dividend situation and low oil prices than you do, and have the capital and resources to meet the challenge.
All you need to know is to buy at these low prices, collect your dividend, quit posting on bulletin boards, and watch your investment grow going forward.
You're intentionally obfuscating reality with fallacy. Shame on you!
1. COP lost money in Q1 because their CapEx is top heavy (meaning most in Q1, and trickles down for reminder of the year, see Q1 ER and CC for detail); and compounded with that is oil price at lowest during Q1. Other majors saw a thin profit in Q1 because of their downstream business, while COP is pure upstream;
2. As a pure E&P play, COP gets hit harder than other oil majors when oil price is low, but it also means COP will appreciate more when oil price improves. We all know oil price increased by an average of $10/barrel in Q2 and continue improving. COP produces about 1.66 mbs/d, and that amounts to about $1.5B extra cash in Q2 alone. Then you need to add in the fact the CapEx in Q2 would have been reduced comparing to Q1. Considering their quarterly div is less than $1B, COP will have more than enough to replenish their cash reserve within the year.
If WTI stays above $60, COP will quickly run up above $70. Unless you think WTI can drop below $50 in near future, you'll never see COP below $65 again.
Iran will not have sanctions removed. That's dead in the water. Iran has been selling oil in the black market all along but would raise volume if they have broad market access. I have no idea where Brent or WTI will be next year,next month or tomorrow. Will play it where ever it moves. To place your but on COP future PPS is your gamble and investors human emotion will move to wherever it takes it. But Mills your blather is trollish in nature and a bad read and does not move the market it only makes you look bad .
MNGA could be getting ready to test its 12-month high of $1.83. Why? The company has just announced a major deal that will see it selling its MagneGas® to one of America’s largest transportation companies.
COP, CVX and XOM are only ones, I looked at.. And there is hell of difference in the 3.. In 1st qtr.. XOM + CVX.. earned about what they paid out for divvy.. So they ain't burning thru cash, paying their divvy.. COP lost money.. COP started 2015 with $5.1B. Just the cash they burnt thru in 1st qtr (2.4B) and this divvy. Would have cash down to $1.7B.. You can call me a troll.. Reality is: I bought a "few" puts on COP.. And want everybody to know why!!!. What does that make you? Telling people to buy a stk.. That I am convinced, is selling for twice it's worth... What oil will do going forward will depend on OPEC!! Saudi is saying they ain't cutting back on production, and give up any of their mkt shr.. Regardless of how low it goes.. If you don't believe, when sanctions against Iran get removed.. And they have ability to pump as much oil as Saudi.. If you don't believe oil will drop to $50. or lower and stay there.. Saudi + Iran ain't the only ones involved... The lower oil goes.. Puts more pressure on other OPEC members to sell all the oil they can!!!
That would be Brent Crude which is $67.18 as i post.
If you knew how to read a finance report you see the same situation in CVX ,XOM the other major oil companies. You might look at the other unless you are a " one bridge troll":)
He's been predicting $20 oil all year. He has no money but he has a whale of an alcohol problem. Just ignore him. He knows NOTHING
Nobody is talking about the filing today by COP for the new debt?
See Morningstar for the details on the Fitch analysis and Edgar for the filing details.
The proposal got a A rating and a "negative outlook" from Fitch.
Lets see now.. Stk holders have bought 1.23B shrs of this stk? Lets say $60B worth.. And DSX has borrowed another $22.5B.. I sure hope there is enough equity to have a cash flow? You study cash flow.. I'll be trying to figure out if DSX is worth $25. a shr? And why an idiot would say it's a Strong Buy.. My take: They burnt thru $2.4B cash last qtr, along with all revenues generated.. And debt stayed the same..
I suggest you study "cash flow." That will help you understand!
Sentiment: Strong Buy
There are always 3 side to any story.. What you believe, what I believe, and then the truth.. All I know COP is losing money and burning thru a lot of cash.. If people buying an oil Co. for a secure divvy.. They should be looking at CVX or XOM..
When do people get excited, that a Co. declares their regular dividend? I'll tell you when!! When that Divvy is getting paid with borrowed money!! Now if COP can borrow more money to add to that $22.5B debt.. Hell they may get another divvy next qtr.. I do hope they realize COP is losing money.. They say they lost .18 a shr last qtr.. I call BS on that.. They started 1st qtr with $5.1B cash and $22.5B debt.. Ended qtr with $2.7B cash and $22.5B debt.. Last checked analyst have them losing .07 per shr this qtr?
Neither of you understand COP or you would not be spouting off regarding things you know NOTHING about (i.e., COP DIVIDEND POLICY).
Sentiment: Strong Buy
Look at the CEOs statement in yesterday's World Wall Street Journal article where he states "payment of the dividend is their FIRST priority." He has a VERY strong reputation in DOING what he says. I will repeat again ~ the COP dividend will remain SAFE.
Sentiment: Strong Buy
You really know NOTHING about this stock if you don't understand their dividend past. Good bye!
Sentiment: Strong Buy
Now if you would like to know why they would pay divvy with borrowed money. To keep stk price up.. People pay attention to that divvy.. Pay little attention to debt... Check out the insider transaction brd... As to how much the officers make.. Keeping stk price up... You may get that divvy now... But eventually that debt will come back and bit you in the Uh Huh.. Won't matter to officers.. They done made their money...
COP is losing money! Have debt of $22.5B.. And now will have less than $1.7B cash... They are paying that divvy with borrowed money.. Where I come from! Now, You check and see what debt is after this qtr..