Not holding any, but have to wonder if this opens the door for others like ARP (holding a little) to do the same. Probably a prudent move. Conserve cash in tough times.
Maybe what's left of Allergan will be grabbed by US big pharma or one of the big biotechs like GILD, CELG, etc.
Think of it this way. Probably 1/2 of the oil and natgas drillers in the US would go BK before SWN. As many of the numerous smaller drillers fell by the wayside (or slashed production), NG prices would climb and companies like SWN would be in great shape.
Want to see some ugly ones, just look at the likes of SD, HK, SFY, XCO (almost 100% natgas like SWN) and numerous others. These companies won't be getting bought out as they all carry HUGE debt loads. Who'd want their debt in this environment.
Kel..............holding SWN and CHK
Have you done the evaluation of those properties or has it been done by a professional? I do agree that natgas's path of least resistance seems to be higher. Let's tackle $3.00 before we make bold statements about the $4.00 level.
Kel..............not a SFY holder at this time
GILD...........I sold 1/3 of my position @ 119.95 on June 26. Used those funds to buy IP @ 48.49 the same day. IP down slightly. The GILD position was getting too big as part of my mix at the time.
My CELG buy at 116.63 on May 20th is working out well. I make trades and rarely have regrets whether I was right or wrong. I do look at them to see if I could have made better decisions. I think some of my poorer trades are the ones made in the last 5 minutes of the day on "gut" feelings.
Average estimate now at 19 cents with a range of .17 - .21. Ninety days ago the average estimate was 21 cents. Holding a small position at a loss (like almost everyone).
Part of the stock price is the current oil price. Another part is the expectations for FUTURE oil prices out to 2031, which of course are far less certain.
Kel................just watching, holding some SDR (more natgas in mix)
About 10% below last closing NAV and most MLPs up today 1 - 4%. KMF was down 2.75% when I bought it. Something very wrong as many other MLP type CEFs also had bad day. Will see if things straighten out on Tuesday.
Kel......also hold FEI and FPL
Down about 2.75% on the day. It's a CEF that holds MLPs. MLPs up today pretty much across the board, many 2 - 4%. The CEFs that hold them though were generally very weak. KMF is about 10% below Friday's closing NAV of 27.87. Should be even further under NAV when today's numbers update (NAV symbol XKMFX).
Kel....................ps......didn't buy and OKS, it ran away from me.
Looks like some others had the same idea as I did today, except I'm still "watching." Was looking at OKE and decided to pursue OKS as a higher yielding alternative. OKE pretty beaten down to.
Am holding DUK and SO in the utility group. Recent buys.
Yield of 10% +.........goes x-div on July 30 for 79 cents. Having a tough year as are many natgas pipeline MLPs. Good that they didn't cut this 1/4, which is probably the bottom of the annual cycle, if not the overall downturn.
I did really well with OKS when MPs were booming 4-5 years ago. Just watching so far as it's up today.
FU27.........I've traded CHK numerous different times this year, mostly for profits. The 15.00 + shares were sold long ago as I no longer hold any with that cost basis. Has it been a poor place to be lately.........YES.
Why does XLE have 28% mix in XOM and CVX combined? Not the greatest diversification.
Can see why you'd make the move for option writing efficiency. With XLE bumping on 52 week lows and about 30% below the 52 week high.........what would you write? Maybe close 65 calls and further out 70s calls? Just curious. I've gotten beat up with CVX and CHK the last few weeks.
Came out about 1 hour before the close. Surprised it didn't tank even worse than it already has. Maybe, all the news is out and it can't get much worse barring total Bankruptcy.
They did mention Terry's (he gets full credit here) almost TOTAL lack of hedges going into the dive in oil / natgas prices. Lay this right in Terry's alp, right where it belongs.
He has managed to destroy what his ancestors spent decades building from the ground up. FOOL!!!!