It is apparent that a couple of posters here try to buy back the shares they sold. Therefore, they downplay the strength of the balance sheet that exceeded expectations and the fact that NSLP has the STRONGEST balance sheet among the peer group and deserves a premium.
I could say also: "PUMPER. Report and ignore."
This is NOT an answer arbtrdr.
This company is heavily indebted now, while the sector suffers. The risk has been risen very much here.
The company is heavily indebted now. The management takes too much risks, while the CEO is selling shares, not buying....
The risk with HERO remains very high and the investors must be very cautious, according to this excellent article from Seeking Alpha.
My consern is that ETP streches its balance sheet too much by acquiring RGP.
ETP's debt ratios will rise significantly and too much debt is not the cup of tea for many investors. I believe the stock price could be hurt if ETP needs money in the near future.
P.S.:To diversify, I bought JP Energy Partners (JPEP) recently because JPEP has the lowest debt ratio (sub 2 times) in the midstream sector thanks to the IPO proceeds, and very high dividend.
You can go to Seeking Alpha website and find all the JPEP articles that confirm all of the above.
Like most oil-and-gas producers, Breitburn’s (BBEP, $5.39, 18.5% yield) stock plunged in the past year, cascading 63%. That slide pushed its yield up to 27.5% just before Breitburn slashed its dividend in half in early January.
As a master limited partnership, Breitburn distributes most of its cash flow to its investors (known as unit holders) in monthly payments. But you shouldn’t bite, says Matthew Na, co-manager of the Westwood MLP and Strategic Energy Fund (WMLPX). Breitburn’s dividend is based on a forecast of oil prices averaging $60 a barrel this year and natural gas at $3.50 per million BTUs, both well above recent prices. The MLP’s balance sheet carries a lot of debt, and Breitburn has already tapped $2.2 billion of its $2.5 billion line of credit. That leaves a thin cash cushion to run the business or make acquisitions, a key part of the firm’s growth strategy, says Na. Breitburn’s line of credit may also come down when its lenders reevaluate the firm later this year. “If investors want energy exposure with a yield component, I believe there are better-positioned companies available,” Na says. “I would avoid this one for now.”