It seems that their G and A is covered by the income generated
from the partnerships program sales which are expanding.
They seem to have a significant growth potential for its
size given their carried participation and fees generated from these
programs. They are going to blow away earnings in the 3rd quarter
because of the new wells on line in July and again in the 4th
quarter. They have made good purchases at great prices in the
last year with low ng prices, the EOG purchase in the Barnett is a good
example, they can grow fast and prudent from here.
1st time I have seen analysts get ANYTHING right in a long time. They only got the direction right. The pricing is all wrong, $26 is far too low for this stock. Do you get a better score to be an analyst if you always see double or get dropped on your head too much?
Agree, but the market is blind. They do not recognize the value of the private drilling programs. The ability to acquire production and fields that have far more PUDs than most E&P MLPs are interested in acquiring..