Saw a news headline on Tradwinds that Canaccord was kicking off coverage of crude stocks, under broader bid to break into shipping. Not a paid subsrciber, so couldn't access whole article. These guys are obviously new to the game, and not reliable in my opinion.
This should be a good catalyst for moving the stock price upward, as well as the more shares one owns of NAT, the more NAO you will receive come divi time.
Rates are moving up, and you'll get left behind. If by chance it drops to $8.00, I'll be buying with you, but I don't think it will get there.
It blows my mind that these guys resurrect old opinions about NAT that have been around for the last few years, and people sell on this. I personally view the fundamentals as getting better, and we will slowly move upward as the world economies improve, and tanker rates move up. I have my position built, so will not be adding today, but this is a good opportunity for someone looking to get in.
I bought at the IPO. I liked the double digit dividend when I purchased, and with economies around the world getting better, I believe the demand for oil will increase. More drilling activity in the North Sea, and chartered services should provide great long term dividend, and company is expanding with more new ships coming to market next year.
The market can sell off on any given day, and that is why I always keep a little cash on hand. That said, market tops are associated with high valuations, earnings that are topping out, high level of retail investment participation, and when everyone is bullish. For sure, there are some stocks that are richly valued, and one is smart to rotate out, or pare their position on those. At this point, its a stock pickers market, and I believe any selloff at this point will be bought, and I would add to LINE.
I have been buying, as rates are recovering, and are expected to continue strengthening per the last RS Platou report. In addition, NAT will benefit from dividend in shares it holds in NAO, which will strengthen their balance sheet. Europe, and China are slowly improving, and NAT will profit from US exports.
I bought a couple times since the IPO, and have a cost basis of $16.25. Nice pop today, but news driven with Cooperman's SEC filing, and company news of purchasing 2 new ships. I too, would like to see a pullback before adding more.
Actually I do have LINE in my taxable account. I recently rolled money from a 457 account, into an IRA, to be able to make my own stock choices, and get away from mutual funds, and fees. When the money hit the new account, I added some LINE to the portfollio. Another thing is that I have my taxes professionally done, and the more MLPs I have in the taxable account, the more my tax preparation fee becomes.
My biggest portion of LINE, is in a retirement account, so no worries with taxes. A couple of you guys obviously trade around more than I do, as I don't subscribe to technicals a whole lot. With fundamentals improving, I will let this thing ride, add more on any decent pullbacks, and enjoy the share increases.
Nat99: That is pretty much the short story version. I think we have been in a bottoming process for the last year or so, but hopefully we will see a steady firming of rates, with higher highs, and higher lows on the move upward. I have recently increase my position in NAT, as well as buying into the NAO ipo. I like the fact the Leon Cooperman is bulling on NAO, and has invested. I still expect some choppy trading for this year, but am looking forward to great returns for the coming years. I expect China to return to growth soon, which should also bode well for the shippers.
Man, I would have expected this board to be buzzing more, as this stock is performing quite well. I've been holding NAT for a long time, and started a position in NAO after the IPO. I look to make some good money on these in the next few years.
I agree in that I would not add to my position at this level. My last purchase in FGP was at $22, and have recently added to APU because they have been raising their distribution year after year. I only add to FGP when it trades to its 52 week lows.
You are incorrect blows3. They have paid a consistent distribution since going public in 1994. Never missed, or lowered a distribution. If that is not sustainable, what is?
Dan123: I totally agree with your assesment. I sold only on valuation, but more importantly, I don't have any faith that this administration will spend a dime on infrastructure during this term. When I invested in this, my premise was that our underground water systems were in desperate need of updating, but here we are today and nothing has changed. I truly believe this administration is only looking to spend money on long term unemployment benefits, food stamps, and welfare.
Depending on where you look, PE is 35-40. With forward earning at 10%, this stock is overvalued at this price. I have been selling this last year, and sold the rest of my position last week at $9.50 before earning came out. I had an overall cost basis at $2.50. I'm very happy with that, and I'll take a 4-5 bagger anytime. Remember, Pigs get slaughtered. I'll keep an eye on MWA, because I like the company, but not at this level. GLTA
Huge upside in the coming years for ETP, as energy builds out it the US. Selling is fine, is so inclined, but would NEVER do it on a Zacks reccomendation. They have been raising distribution, and increasing their Nat gas potential. Whats not to like?