I did for about 10 minutes. Someone called my AMAT shares early the day before a $ 0.10 ex-div so why shouldn't they have to call them early to get the ALLE shares?
I do now realize the shares and cash in lieu are attached to the call contract.
Last December I bought IR at $ 47 and sold the January 2014 covered call at $ 55. Does anyone know how the spinoff will affect my position? Is it actually possible my IR shares will be called at $ 55 but I will get to keep ALLE shares? TIA
If you look at my history of posts on this board you will see previously that I sold this stock at $ 9+ and you will also see I do not short stocks.
My position is irrelevant to the fact that calendar year production in 2013 is more than 1 milllion MCF less than production in the same period last year. That is a real decline. That is 1 milllion plus MCF you are not getting paid for, that you got paid for in 2012.
I'm just curios, are you posting false information to pump your position or are you just ignorant?
Also you are erroneously assuming the monthly figures posted are production when in fact they are sales. Over the long term the figures are representative of production, but not over the short term.
Have you looked at monthly production figures? If you did you would see month to month ups and downs.
Production does not go down in a straight line and month to month figures are not accurate predictors of annual rates. If you look at the figures I posted you will see production is down over 1 million MCF in 2013. Please explain to me how production is increasing if it is down over 1 million MCF?
2012 production Jan - Nov: 15,179,000
2013 production Jan - Nov: 14,014,000
Decline = 7.7%
Note: Production shown is calendar year production.
Earnings PR paints a rosy picture so I could not determine the reason for the sell-off. Looking closer at the numbers I see the corporate payout ratio guidance is moving in the wrong direction due to increase in capital expenditures but no corresponding increase in production.
For the 9 months revs are up $ 125 mil but expenses are up $ 250 mil. Everybody loves the Permian and I don;t get it but I assume they are smarter than me. I have owned this stock for over 10+ years and collect dividends and it has done really well. Sold April 2014 95 calls for a nice premium too. Look at the pop to 89 today before the selloff. WOW
Same period last year production was essentially flat. There are 8 month periods you can pick last year with no decline. Yet production for 2013 is still 7.6% lower than last year. Why? Because 8 month comparisons are not meaningful. Why you continue to deny the facts (geology, history, the trust's 10-K showing a decline rate of 6-8%, and the figures I posted) I don't know but I can only conclude you are a pumper and don't mind posting your lies..
You won;t keep collecting the cash as production declines, unless NG prices go up. This is nothing better than a bond
Over time is when the real story is told, and over time the decline is real. Look at production 1 year ago, look at production 5 years ago, and look at production 10 years ago, and you are telling me production is flat because it did not go down for three months? I guess you think geology and history are not important. You can look at any three month production period and many will be flat, but over time, it is not an accurate indication of production.
2012 production Jan - Oct: 13,471,000
2013 production Jan - Oct: 12,451,000
Decline = 7.6%
Since they are spending money on development costs, the actual decline rate for individual wells would be higher.
@thebob. You are telling me to sell? No need to settle down and get so defensive. Take a deep breath. I am pointing out that management is not conservative. They are aggressive and I am taking the risk that I will benefit from their aggressiveness so sorry, I am not going to sell, but thanks for your advice.
"This company believes in paying a steady distribution and growing without taking on more debt"
If you look at the balance sheet, in the first 6 months of 2013 they added $ 8 mil in debt so I can only conclude they are taking on more debt. For the rest of 2013 they may not take on any m,ore debt but only because they are not drilling anymore wells this year.
If you look at the statement of cash flows, cash from ops was $ 17 mil, they spent $ 13.3 mil developing properties and paid $ 8 mil cash to shareholders. Cash from ops does not cover development costs plus cash dividends.
I really don't see how they are can develop the properties without more debt, and based on cash flows the payout is aggressive, not conservative. Good luck to us all.
What I mean about them not being conservative is they are paying a dividend instead of using the funds to drill. Their recent purchase of undeveloped acreage in the Permian is what concerns me because undeveloped acreage requires capital to drill. I watched Antares Energy purchase Permian acreage with 500 boepd and borrow $ 55-60 mil to bring it up to 2,000 boepd. How ENYTF can do the same while paying a dividend is a bit puzzling to me and that's why I do not consider them conservative. Other operators love the Permian and Antares sold their acreage for a nice gain so I assume the operators are not stupid and know more than I do.
Earlier this year the Canadian government implemented new rules that made owning Canadian stocks less favorable. I imagine that contributed to the sell-off in May. Specifically, beginning in March 2013 distributions held in IRAs became subject to the 15% Canadian tax withholding which made them less desirable to hold in an IRA.
That combined with the poor operations and questions to the sustainability of the dividend led to the decline.
The strength of the dollar leading to American investors realizing less and less of the dividend also doesn't help.
The company is now benefiting from higher oil prices - regardless of operations.
I don't know why anybody calls these guys conservative - they have a lot of debt and undeveloped acreage and only high oil prices are keeping the distribution safe.
I think the risk reward here is favorable however, and the road show should help boost the price next week.