Anybody have any new information on today's activity? Looks like RNF is continuing its recent decline, possibly even accelerating but I can't find any information on why.
RNF is not really for short term trading. RNF is a great company that pays a good dividend. you should count on it going down at ex dividend time. Then wait for pullback to let up then buy more. Remember, as long as people eat nitrogen is needed to grow stuff. If you reinvest divedends this stock will double your money frequently. Just keep your eyes open for company problems.
"RNF is not really for short term trading" IMHO RNF and to a lesser degree RTK (stk I own) are not long term investments at the current prices. I believe that for the next year or two both could be profitable investments, but I am concerned what happens to future projected profits when the Wever, IA plant comes close to production. This plant (1.5-2 million metric tons annually) is about three times as large as REMC at a cost of $1.4 to $1.5 billion, the cost is less than current market cap of RNF.
In the short term RNF could have some problems when the projected 2013 distribution is announced , as without production or pricing gains I estimate that the 2013 distribution could drop to about $3.00 from the 2012 $3.30 distribution. The production and pricing gains will be key for 2013. GLTA
Ok... sounds reasonable given the recent run. I did find this
Thomson Reuters/Verus upgrades RENTECH NITROGEN PARTNERS LP from HOLD to BUY.
Investars Analyst Actions - public – 11:11 AM ET 02/11/2013
and they have a presentation at Morgan Stanley on the 13th... I'm still feeling comfortable... will just watch wait and see.
But you can't just buy without looking at the technicals and "hope" it turns out okay. They don't report earnings until mid-March. Not sure if the decline is due to anything in the world ag markets, but the technical analysis can help know where support levels are and when it becomes oversold. Pull up a chart and you can see the levels: sitting right on support, then the 50 dma at $42.30, then the triple top breakout at just over $40, and finally the bottom channel (from connecting previous lows) around $39. The MACD line is going down and it is not yet oversold with the RSI still at 42 (below 30 is oversold).