Juba... You have to understand the reason for the glut. Fracking has caused a fundamental change to the oil market. This isn't like oil markets you have seen previously. The fracking technology is also now being exported and others will join in the party. The biggest near term problem the entire oil industry still has to absorb is Iran. Soon they will add another 1/2 mil barrels to a market that cannot find a place to store what we now have. Summer driving season is over and prices at the pump continue to fall. There is no place for any oil stocks in my portfolio. Especially SDRL and LINN. Both are in the toilet for a reason. Oil is up today and SDRL is still down. Earnings were a big miss in my book and they are still not paying down the debt with the dividends they stopped paying. Why, because they are losing money still. Going to get nothing but worse. If you are lucky you will get 10 cents on the dollar (from today's price $6, not what you paid).
You know nothing about investing sammy, oops I mean beaver. After all, you pumped
Radio Shack (RSH) and went long a boat load. Just to watch it go to zero. You da man alright.
The man nobody listens to. Just saying buddy......
For the next 2 years oil may stay in 40-50 range. But guess what guys. The oversupply will dwindle because we are not drilling. Rigs scraped and drydocked. This always hapens. But I will bet that 6.00 stock will be paying dividends again in 24 months.. Then whats it worth.. Buy all U can a put it away for 30 months. Then pay your kids college.. SDRL is a top 3 player
Im certain you will be happy…If you join ultimatestockalerts (search them). They have been on
point with their Nasdaq and nyse stock alerts. I cant believe I have already made 47% on their
last trade and I didn’t even sell at the top.
Right now SeaDrill is overvalued. It is carrying a premium because of the middle east. If oil stays low into 2017 sdrl will have filed BK-11 and shareholders will be wiped out.
Seadrll, Linn Energy, etc. etc. are all good buys now as the price of crude oil is down. For the most part, oil always jumps back up after being down for 2 weeks or so. Guess what else goes up when oil goes up??? Any & all oil related stocks, Linn Energy, Rig, Seadrll, Ne, etc...(take your pick & enjoy the ride)
I've said the same thing over & over. If oil is under $45 a barrel, buy stocks having something to do with crude oil. If oil gets to the $48 to $52 range, sell or go long which is NOT a bad idea, either.
Bend over for a $5 foot long.
The only thing that could turn this around is a middle east escalation. It could blow at any time but then again...
Sentiment: Strong Sell