Bigger draw than estimates. I think the driller cuts in CAPEX since the beginning of 2015 are starting to take hold. The last 2 reports surprised everyone when the draws came in above forecasted levels.........Just my opinion.
Bec.........congrats....you called this right long ago. I was negative as well, but you were the major voice that all should have listened to. It was so obvious.
MRO will survive. Cutting the div was a smart move. Bite the bullet and boost that cash flow and keep the CAPEX respectable.
Where are you? Up in the NW corner? Only singles digits below here in Green Bay. Warmer tonight and Thurs. - Fri. Sunday high about 5 F. At least snow has been OK except for that big (13 ") storm.
Kel..............holding SWN, MEMP, and MRO.....all recent buys
Natgas up about 1%. Oil down. DJIA down 300+ points. Something going on? SWN would be a great buy for any one of the majors like XOM, CVX, etc.
Of course they will cut or eliminate the dist. A cut to 5 cents per quarter would make sense IMHO, just to bolster cash flow. They could pay the 30 cent rate, but that would be foolish.
Excellent and insightful comments. Never got involved in the tanker / shipping area. Found enough pain in the oil / natgas drillers. Yes, when the sentiment turns it can turn quickly. Maybe we all need to sell (as traders) when the 50 day moving average is violated or it turns down. Have thought often about that, but never seem to practice it. I'm a habitual bargain hunter I guess.
Eliminate dist or cut to a nominal amount (perhaps 5 cents quarterly). If MRO (Marathon) can do it, MEMP can certainly do it too.
Kel..................looking to buy again, now @ 1.95
Craig Hodges was recommending it this morning on CNBC. Says the company states they won't cut the dist and is in a good cash flow position. Really likes it. Just passing this on....
More so natgas than oil. The last few days have been rough for natgas too. Otherwise, it has recovered quite a lot from its 1.70 low up to about 2.50 before the last 2 days tumble.
Wasn't even following it recently. Did some DD and it has a good cash level, cash flow, and a CAPEX level for 2016 that is still in the $2 billion area and is flexible. Small position.
Just spent some time on MRO. Looks OK to me with strong cash flows, cash position, manageable debt, and a CAPEX level that can be cut if necessary. Going to nibble on some right now.
Kel.............also holding SWN and NDRO
Still holding in my Taxable and IRA accounts. The nice thing is..........those 'divs' roll in every month. You can spend them, save them, re-invest them, whatever you want to do with them. I generally reinvest them into other things, usually dividend growth types.
Bought both yesterday.....sold both early today.........SWN and TPZ.......small gains both.
Energy and MLP types both started out strong today, then quickly faded.
Still avoiding all BDCs. Cash about 56%..
Anyone that's buying more BXLT..............You're really buying SHPG. The cash part of the deal is locked in. All holders are now "gambling" on the SHPG share price. Think about it....