Well I got the reg divvy increase right but I'm shocked at the .50 special, way too high IMO + no announcement on expanding the buy back. I would rather have seen .25 if they insist on that special + upping the buy backs to 500MM. They must see something in Q2 to warrant that much in the special. Still don't like the fact they are now tied to that special + once they don't pay it the stock will fall big time. They need to wean the market off that special as no one else does it + its now becoming a reg divvy in the minds of analysts.
Let's see what the ANALysts have to say tomorrow on the news. We should see a jump of at least another 1/share but as I said earlier, the markets may have guessed or knew this info was coming. Maybe the bozo at raymond james will downgrade it again from his double downgrade several weeks ago. He's the only one at underperform. Maybe now he'll just say sell.
They have already stated that Q2 is going better than Q1. Margins are better and expected production is up. In Q1, they were able to add $100MM to their cash position while paying out the regular divy, the special divy, and the buyback. Therefore, its a no brianer that they would be able to do the same thing this quarter.
Maybe when they dropdown UNEV to HEP, they will use that $300MM to increase the buyback. They said that transaction should be completed in Q2.