Could not be more true! Most COP followers knew the div cut had to come at some point. What's troubling is that the warnings came from everywhere except from the white hats on the inside. I feel bad for the people who listened to them. Some say the best learned lessons are the ones that are the most expensive.
I sold a long time ago ($55) but I continue to follow the stock and the energy industry. I feel I have the right to post my misgivings re. COP in the hope the those who check this board will get a fuller story of where the problems lie with investing here. In any case it is up to the individual whether or not to buy; it is his or her money. This is an untimely stock. I prefer to buy when prices are going up, not when they are going down.
One problem is that the dividend was way too high to start with. They should have been more careful with the cash. They would be in much better shape to get through the current slump. The balance sheet is a mess.
NWL has a history of making foolish purchases. Take a look back to the 90's and the Rubbermaid incident. This stock has NEVER gotten back to it's highs before that deal was closed. Take a look at the stock price graph. This stock will go nowhere long-term. Maybe you can make a little on short-term trades but it is by no means a core holding.
Sentiment: Strong Sell
Except when you have to shut down production due to falling prices. When prices are falling people lose jobs and companies go out of business. But, okay, I guess SOMEBODY makes money.
It is not a pretty picture! I hope our warnings do not fall on deaf ears. How many red flags can be ignored?
You sound like you know what you are getting into. For me at this point it is more a question of Buy Low or Buy Lower. I cannot justify jumping in on the chance that an oil recovery is just around the corner. The China slowdown and the Iran/Saudi Arabia oil price war just don't show up on a chart. Moving averages, support and resistance levels are negligible when geo-political forces take control. Sure, oil will come back but who can say when?
Get ready for more pain. Your charts are meaningless when oil prices are collapsing. You'll see $35 before you see $45. World economies must adjust to 30 years of market fraud that is unwinding in China. Get used to worldwide economic slowdown and lower oil prices. The sooner you do the better off you will be. Buy an electric or gas utility if you want dividend income.
The PSAC state football championship game is being broadcast in wide screen format yet Comcast passes it through to subscribers in old school 3 x 4 format. This is what you get for $90 a month.