I'm delighted to read your note about getting into MMP..my experience was much the same..I was looking at some storage tanks near our town and wondered which firm owned them. Finding Magellan on the Internet I said, "Why not" bought a few units..then a bunch more...My wife calls her new Lexus "Magellan"...as for me I think of that TV commercial that talks about "gelling"...we're definitely "Gelling!!!"
IMO, There is no way to try to time an MLP. I'm sure some people do but as much as I dislike buy and hold, my MLP's are in that category ... although I will add to positions at times using some technical indicators.
I bought most of my shares in April of 2009 and never plan on selling. Selling to get in a lower price would only help the government with all the taxes I would have to pay. My comment to saving was more along the lines that if some one was interested in buying, it would be worthwhile to wait as this is usually the time in the quarterly cycle that MMP goes down in price. As I told my friend, who I help invest, who complained last quarter when MMP had lost $3-$4 per unit, don't worry it does this every quarter and when the distribution is announced, sets a new 52 week high, usually a few dollars higher. I don't see any reason for this to not continue for the next two years.
I sold out today. Look to re-enter at a lower price. Meanwhile enjoying MWE and NGLS rally. I agree with savings. Cheers.
I agree. I see MMP dropping to $66-$67. It will then set a new 52 week high of +- $72 after increasing its distribution $.025 - $.03. Nothing new about this as it has been doing this for over a year.
I have owned this stock (very small but very profitable position) for 10 years. It has outperformed my wildest expectations. That said, it has gone up a lot in relatively short time. This is not a growth stock and is ahead of itself. They are in a lot of sweet spots but will take some time for profits to drop down and cause Dividend to get raised to match what some other MLPs are selling for. Just be cautious at this level. Best to all.
What a terrible stock! Where is the profit taking? Where is the correction? Where is the short selling? I am trying to buy some on pull backs and it just keeps going up!
up 2.81 PERCENT TODAY.
Market rewards growth; MMP has superior top/bottom line growth(Earnings growth/revenue growth);
notice what happens when others fail this metric!
What do you mean by "BK", in reference to your "BK ebitda multiple" comment? I would have expected 7x, 8x, or the like, but ........BK???
2014 distribution guidance, 20% growth. No other large cap MLP comes close to MMP's ability to deliver. We have been so richly rewarded by mgmt.'s move to take out their GP at 11x ebitda before it became popular and purchasing BP assets when BP was under the greatest of stress at a super low almost BK ebitda multiple and then buying Longhorn pipeline in BK and making it incredibly accretive via reversal of the line.