I tought there'd be a surge of buying towards the day's end. Didn't happen. However the share price is now well within my target range. I'll wait another day before jumping to see if we can get a little better deal.
goin down tommorrow as well.
NRP did not generate enuf Distributable income to pay/justify their distribution.
i think it was $.408 of distributable income versus a $.55 distribution.
also they had a one time $9.8mm ROW payment that is in the $.408.
Distrib. cash is what floats all MLP boats.
Earnings r meaningless. an accounting fiction.
follow the cash.
Market thinks they'll have to cut.
best they can do is hang in on CAPP and expand in the growing coal sectors (ILB&PRB) while diversifying outa coal into other minerals/ natural resources.
look 4 them to take a position in iron ore.
Even I would not have expected the move down that NRP took today. Can say that if it had opened up significantly I would have bought move shares. I really expected an open at about $23.. Last quarter, after reporting record earnings and revenue NRP traded down to a low of $21.41. I expect it to trade lower this quarter because of the negative coal sentiment at this time. All coal companies are at or near 9 year lows. I believe that they will continue down. ALL forecast big losses.
The major unknown right now is the future of coal demand and pricing. Some see improvement in thermal coal fundamentals. I have seen met coal improvement forecast out as far as 2017. Only comment from Nick Carter is that he expects improvement in the second half. BTU CEO said the same. Believe they are all guessing.
Would like to hear from jrad. He is the very best numbers cruncher. Do know NRP is no longer reserving for future principal payments. Big help to cash flow I think
It will move back up. The 10% dividend yield will attract buyers and they have a long history of paying out. I was actually encouraged by the earnings- sure revenues were down and the whole industry is struggling, but the management seems top notch here. They will be in strong position once a recovery for coal/oil/gas is well under way.