Buckeye Partners LP Message Board

You are absolutely correct. However, investors who know EVEP who sold into the momentum may be slowly returning for the next round. Cooperman's Omega doesn't get in as big as they did last qtr on a whim and it wouldn't surprise me to see him increase his position when next qtr.'s ownership reports come out.

The lesson for anyone that rode this MLP down is simple. An MLP is about income first; not momentum and it was the momentum guys that drove EVEP thru the roof. Second, never hang your hat on monetization as the means to the end of shareholder value.

Mgmt needs to go back to the drawing board as Credit Suisse suggested and begin to build value monetizing a lot less in 2013 as a result of CHK's recent forced sale. Remember, CHK sold low because they were focusing on oil; not natural gas. As far as natural gas goes MWE is the Marcellus derivative play to watch in concert with EVEP going forward.

CHK was about overleverage and hoping Marcellus was more about oil prospects and Reuters reports that oil extraction in Marcellus is relatively low so go back to basics as far as value goes and perhaps today's upgrade by Ladenburg starts a move that is more about reality rather than momentum chasers chasing momentum and then springing the trap door when they decide to sell out en masse.

I sold all my EVEP between $58-$64 because EVEP violated all the rules of MLPs including choosing a path of land speculation instead of the path of consistent and growing income. EVEP attracted income seeking investors who watched momentum investors launch EVEP into orbit and the smart MLP investors got out and now is probably the time to get back in. Posters like you don't have anything to offer but simple-minded retorts rather than thoughtful counterpoint based upon something akin to having some knowledge about something other than the ability to write simple-minded retorts.

I don't think Cooperman thinks as simplistically as the average individual investor. Generally when he sees value he buys value and his thinking is much longer than most individual investors that do not have the discipline to view the longer game.

I think he was waiting for the momentum investors to finally turn against EVEP before getting in. The small investor that tries to play in the pit with the big momentum dogs generally gets bit bad.

I took a small position in EVEP upon learning that Cooperman was in and I believe he still is in but he is thinking about the longer theme of natural gas which includes today's announcement that the Obama administration approved a huge natural gas export plan and approved a $10B export facility in Texas. For those of you who really have tried to understand what will be the real long term driver of natural gas it is the ability to export. If we try to freeze nat gas to a domestic use then we will have an industry that is commodity price driven within the USA and run by fits and starts... drilling followed by capping followed by uncapping, new drilling... capping.... you get it.

Exporting is the game changer because while we may have to pay higher prices for natural gas consumed in the USA we get an industry that can function more efficiently in terms of long term drilling plans without the constant worry of domestic pricing. The element of foreign pricing allows for higher equilibrium pricing. We just found out that a lot of Chinese natural gas is in locations that will cost too much to gain access to let alone try to build infrastructure. This makes imported natural gas a better bargain for the Chinese in the future.

So try to focus like a Cooperman or a seasoned investor and start to look at the long game. I admit to piggybacking on Cooperman but I beat him in on APL and now have quadruples there.

No, I am an investor who has been thru 4 of these interest rate cycles and learned when to hold them, when to fold them, when to walk away, and most importantly when to run away from Mreits which give great gifts to investors in terms of huge capital gains in addition to the great income IF you play the cycle right.

nickspinner, you are without a clue. Gary Kain cannot change the market set when 30 year rates go up from 3.36% to 3.58% in two weeks. Perhaps you should understand what you own and when the best time is to sell out rather than get your head handed to you.

Stifel must still have some clients to get out of EVEP and is attempting to put forth a sucker's buy rating on an MLP that has had its momentum and its all gone now.

Actually, you have been given a clear warning where EVEP's stock price is heading which will bring EVEP in line with the current distribution yield for E&P MLPs as a group. Ignore the warning at your own risk. The true value of Marcellus land is being shown to you by CHK and all the momentum investors are going to leave this stock as quickly as they can. Once the momentum investors are gone EVEP will settle into a range that provides a yield that is enticing to MLP income investors. In other words, selling in the $60s was exactly the right thing to do because MLPs are not momentum vehicles and everyone got caught up in a few sales by CHK to foreign investors that wanted in but now realize they paid a huge price per acre for nada.

Don't tell me, you are one of those clowns that were on the CHK board as they continued to sell assets believing that Wall Street would reward CHK with a valuation based upon the marginal value of land sales made to foreign investors who would be better classified as being too stupid to live.

MHR is going to have to sell so much there will be very little if anything less and Wall Street investors are not going to waste their time on this POS when there are so many energy companies that do not have to self-liquidate because they over committed and drained the pool of liquidity.

Mickey, I think you meant get hit with a huge ordinary income that is adjusted to your net capital gain. Unfortunately, any investor that chooses an MLP better understand the mechanics of what they are buying into....

For example, I have a client that is going to generate a huge ordinary loss from the sale of a rental property at a huge loss. We are using MLPs as a means of converting to ordinary income for the offset of ordinary loss when the property is sold. We actually want that huge buildup of ordinary gains so that we can offset and avoid creating a net operating loss in the year of selling the property because the nol results in piercing thru the super low tax brackets in that year which means less value and return based upon usage of optimal tax rates from year to year. Complicated strategy and you may not immediately understand but MLPs can be used strategically in many ways IF you understand the outcome from the sale of MLPs.

WPZ is a laggard now that its GP has force-fed a bad asset dropdown deal to WPZ. There are better long term opportunities in MLPs with no GP controlling their destiny. I happened to sell WPZ and put it in GEL and it has slam dunk outperformed. In the next market cycle it will be the MLPs with no GP that offer the best hope for continuing distribution growth because (eventually) higher interest rates will mute distribution growth. How much, who knows.... but I lost interest in WPZ when that chemical dropdown was forced upon it by its GP. Lower returns on a high capital cost asset with high capex and other maintenance costs is a loser compared to say pipeline assets.

Then, WPZ's GP bought into ACMP's GP and is going to do deals with ACMP. Ironically, I owned ACMP and see this as an opportunity for ACMP unless and until WPZ attempts for force any dropdown that is not consistent with ACMP's ops profile.

If you sold you got lucky but a stop loss does not execute in after-hours.

Actually, the problem is that AGNC and MTGE have to do larger and larger offerings in order to lever into spread differentials. Anyone who has gone a full cycle knows it always ends badly..... you just don't know when it will end badly. I got out recently because I have a feeling that it will not be the fed that sends the signal but Mr. Market sends the signal meaning a sudden, shocking event changes everything. In any event you can see just how violent investor reaction is to these hiccups because you don't know if it is a small hiccup on a longer road or if we have hit a fork in the road.

I hope there is no dividend and they buy in shares hand over fist at this steep discount. I doubt there is any better use of free cash flows and today's shareholders will better appreciate a big share buyback in the near term. AIG has no need to pay a dividend near term unless they wanted to attract income investors. Now is not the time to worry about income oriented investors IMO.