They should look for strategic alternatives unless they are confident in HRB JV in the next few weeks. Either sell the company as a whole, or sell the remainder of Barnett to Tokyo Gas. Sell West Texas to Eni. Sell HRB to highest bidder. Pay off the debt and hopefully have enough left to get the shareholders $5 per share.
Because they like to travel first class, stay at fancy hotels, and wine and dine at the finest establishments, all at the expense of shareholders? I don't know why they think they need to present, but attracting new investors from investor conferences has been a failure- as evidenced by the lower share price and relentless selling overtaking buying almost every day for the last two weeks. Knowing all this, I'm sure Glenn will want to maintain his free-styling "money for nothing" mentality and take the stage front and center. After all, destroying shareholder value seems to be one of his most prominent contributions to KWK investors.
Nothing about equity offering that I heard. They said a lot over the last 9 months that has never materialized- namely HRB.
Unfortunately, it's now anyone's guess about HRB timing. They say they are still working the deal and it's progressing, but they have been saying that since 2012.
I have to say, while I'm very bullish HRB, I think Glenn has let us down. He even had a few "soft ball" analyst questions re HRB and he still didn't want to answer anything. Now he isn't even comparing HRB to Barnett. Nothing.
20% increase in reserves, adjusted 2013 value of the NG, should boost the share price closer to $3.50-$3.75. We'll see what Glenn has to say on the call. A lack of HRB news will not bode well at this juncture.
Todays action was NOT the indicator I had hoped it would be. We'll know more in the morning. Let's hope Glenn finally has some good news. Otherwise the share price will look like a waterfall..
Where do you people come from? My goodness, this board has deteriorated the last few months. Tell me the contents of KWK's 10k and if they will file it before the deadline Monday, or something of value, but talking about some young *chick* on CNBC? I didn't think anyone still watched CNBC garbage anyway? Waste of time here....
Sorry, you are so missing my point. Anyway, to each their own. BTW, can you kindly direct me to that mutual fund that returns 20-30% a year? I follow that sector and most all except for a select few have significantly underperformed all indices the last three years...just saying...
Well, we're all entitled to our own opinions. Just bear in mind, HRB value is presently based upon 105 bcfe of NG. That is what KWK currently values HRB- that's the number to start with for your analysis. However, according to KWK HRB has 14 TFCE of recoverable NG, or roughly 135x's the quantity currently on their books. I now say recoverable based upon some recent review of past information. This quantity should already be validated by a third party as part of due diligence of HRB deal. Only question in my mind, and probably most important, is how much will it cost to extract and transport the NG. If it's $2.50, we're golden. If it's $3.50 we're on shaky ground. Anything north of $4 (although maybe still really profitable long-term for Japan market) would amount to a deal that is worth much less than we hope. What you may be missing is the possibility of a gap-up in price when/if HRB EVER happens, IF it ever happens. You may be able to jump in and ride the momentum up- that is true- but unless you own shares today you will not be participating in the gap-up to reflect HRB. If overnight the share price goes from $2.75 to $5 you may miss your chance by waiting. There always seems to be one or two stocks with 100%+ gains in share price literally every day in the equity markets, maybe we'll see that happen with KWK. Or maybe not. I don't know...but we'll see how this plays out tomorrow.
Glenn Darden is the guy who takes $5mm a year from the KWK coffers while watching the share price drop from $42 to $3- oh I mean $2.76. If his family didn't start the company and if he didn't own 39mm shares I would think he's only here to profit from us shareholders.
The last two weeks was a well-orchestrated share price walk down- or at least that's my take on the price action. The traders that bought at $3.40 range are now stopped out, as are a few that bought over the last year wanted to protect profits. Otherwise, we would be north of $4.00 going into earnings. As of today, almost 33mm shares still short, or 35% of the float. Someone somewhere wants this short interest to cause maximum impact. Granted, some of these shorts are related to the bondholders, but I think it's a small percentage of the total. It's all up to Glenn now.....so let's hope he plays this to the shareholders advantage.
Quicksilver Resources Incorporated
Short Interest (Shares Short)
Days To Cover (Short Interest Ratio)
Short Percent of Float
Short Interest - Prior
Short % Increase / Decrease
% From 52-Wk High ($ 3.67 )
% From 52-Wk Low ($ 1.44 )
% From 200-Day MA ($ 2.38 )
% From 50-Day MA ($ 3.18 )
Price % Change (52-Week)
% Owned by Insiders
% Owned by Institutions
Trading Volume - Today
Trading Volume - Average
Trading Volume - Today vs. Average
The sale of Sand Wash was known for months and I don't think they had a choice in the matter. They have made it clear the focus is on Barnett, HRB and West Texas. I didn't expect the sale this early, but I think it's overall a positive. I don't think operating cash is an issue, remember they have a $350mm revolver last time I checked. And $50mm from the Eni deal. Operating cash not an issue right now, but CAPEX for HRB and West Tx will be needed, hence the need for HRB partner(s).
I don't know how, but KEM has the Midas touch, almost like a crystal ball into the future. I only wish I had the same talent trading. I've watched and seen the evidence of several well timed successful trades first hand. Just saying...Oh, and I bought more this morning at $3.20- opps. Should have bought and hour later at $2.99, but what can you do...
I think shorts are overwhelming the buyers, walking price down with small share purchases, to buy shares at a discount to cover their positions. I think it's back to $3.20-$3.30 by end of week. But beyond that, it really irritates me that KWK isn't more in control of their/our destiny. They could easily provide a few key announcements (HRB and earnings) and dictate the direction of the share price, instead they give us a one-liner this morning. I'm still bullish and confident that when the HRB or West Texas news finally hits it will be one of those surreal moments where we can sit back and revel in our own "we were right all along" limelight.
This makes me sick. PR was very amateur- could have been much better instead of a one-liner by Glenn. All that matters is HRB and the prolonged silence is destroying this stock. Although today is a good long-term buying opportunity, it's anyone's guess what happens next. Considering it's March 5 they would be best suited to announce earnings date today and include a comment that HRB status will be updated at time of earnings.