and for American investors like me, the Canadian $ was at .80 cents. . .I have seen a 20% increase in dividend in two years, and the price of PGH has come down. . .either it was WAY overvalued two years ago, or it is a give away now. . .yea yea .. I know about the new tax in 2011, but it is still only 2008!!!
Hey thanks for the good post on the CanRoys. I see free money based on the expiring hedges and likely long term high oil/gas prices. But I'm just an amateur and also saw a lot of promise in beaten down mReits LOL.
I think I'll double my PGH position with my next contribution (will make it about the same size as HTE) and then start adding on to the others if I can come up with cash while the prices are still so low.
I feel like $20ish HTE is a gift, having held it for a while. I also think the refinery makes HTE a good long term play because all good things must end. You seen the return VLO got from 1980-present? Something like 2500%. So there has definitely been a day for refiners. Just don't know if that day is gone forever or if they will make a come back at some point. (If they DO make a comeback it will likely be at the expense of oil and HTE will do better than its peers.) JMHO
The correlation with oil prices has been just awful. Skyrocketing oil and the Canadian oil trusts have barely moved. Unfortunately, the risk is that when oil slides (and it has begun to) they might correlate quite well, especially those that got into the higher cost areas. One could lose a couple years' dividends fairly quickly and without warning. Would love to hold these forever but, regrettably, selling looks more sensible.
The insiders of the company tend to disagree with your assumptions. The CEO, VP of Business Development, CFO, and VP of Geosciences have bought over 700,000 shares in the past 3 weeks. Quarterly earnings are in August. Something is brewing. Here is a link to the purchases: