You gotta wonder what this is/was all about. This stock is held I believe, by institutions at 53%-57%.
I don't believe their getting out; at least in a big way. They may be readjusting, if so there are a bunch of others out there that are ripe for more "readjusting".
Other natural gas stocks, US and Candian Trust which are 100% nat gas, are yielding 5-7% dividends.
It is NOT realistic to expect a 10% payout from FGP. So either the share prices have to rebound back to the $26 level which requires improved earnings or the dividend will have to be cut by 30%. Should the dividend be cut back to $1.40 annually, based on todays price of $20.46 would equal a 6.8% payout which is more in line with the industry.
So whether they cut the divvy or not, we should be near a bottom anyway but recovery will take time.
I don't know where it is going...but...
the 20 level was support in May 2010 and Feb 2010 and was resistance back in Aug-Sept 2009.
So 20 may be the magic number...unless people are really just evacuating the propane sector right now, then, who knows how low she goes.
Funds, most likely, are getting out and they don't care how low they drive the share price. Nothing but selling that is hitting the bids 8 hours every days for past 3 trading days.
hopefully the company will make some announcement soon to stop this bleeding.