Results will relieve investors and the equity should retrace upwards to the $15-$17 within a month or two. Sit tight and don't watch the day to day noise, hold long term and you'll be richly rewarded!!!
Fact check. Their bond obligations aren't due till 2020. They just renegotiated a 900 million dollar credit facility. Their Capex cut is just smart business in lieu of the forward looking period, and last but not least they are selling $200,000,000. in assets, and not renewing significant land hold leases that are expiring in 2015. Cutting to just 7 rigs will add to their runway of cash flow and by 2016 oil should again be above $65.00
We need MORE sellers, everybody should cough up there stock as it'll be a very hard year to bear all the pain in the Oil sector. Obama and the Saudia's want Putin to bleed!
Divi is strong and trough pricing of Oil won't last. Hold your nose, and in a year you'll feel like a thief who stole a jewel.
Sentiment: Strong Buy
Still in a positive range despite yesterdays option downdraft. No way this equity isn't a 200-300% winner by early 2016. Forget about short term, as they'll manage better than BTU, ACI, WLT as comparisons illustrate they are in the best financial shape and have the biggest turn capability when Met Coal demands perk up pricing, Short term penny movements are insignificant, Sellers are evaporating which is why light volume was seen in the last few days. Hold and be bold as you'll be rewarded as fiscal policy takes over Central Bank manipulations. This equity is under accumulation and will illustrate that within the next 6 month time frame, but don't sell then as that'll just be the beginning!
If SD missed and cut Capex, then you'd be saying back up the truck and cover at the lows. But SD beat by adjusted .08 AFTER backing out the Hedges (the stock would be at $5.00 if their hedging counted, but it did buffer cash flow and who knows what hedges they've have in place and what effect that'll have in the next 3-6 months. No matter what anyone says a year from now its more than likely that Oil will be in the High 60;s or low 70's, and I'm sure the cuts in Rigs is designed to minimize SD losses during that time frame. This equity will go back slow to $2.35-2.50 during th next quarter and by the May report we'll certainly have a better handle on Oil, it's global usage and a better going forward view. Buyers Yesterday afternoon (or short covers will have quite a nice ride, others will more than likely gain comfort in that the equities direction next month is more than likely up, to a more normal level given the current geopolitical and Oil environment. On a long term basis if Oil matters so will SD as Mgt. has shown they have foresight and good governance in making quick decisions to protect their as well as equity holders. Although 7 is a low rig count, losses going forward will be minimal so their cash as well as credit facility will more than likely carry them through this trough. I also believe the Saudia's will make and about face by Summertime and Oil pricing with enable increased rig opening on a scaled basis.
Sentiment: Strong Buy
Oil isn't going away and the growing issues in the middle east with radicals infesting Syria and Iraq won't be going away anytime soon. The Arab spring is an ongoing problem and Oil is in the center of most economies. As the Global governments will soon discover the world needs higher priced Oil. Shut downs of Rigs and drilling will lead to a reigniting of all that touches oil in the not too distant future (6 to 9 months).
The Good news is that the rear quarter was terrific governing the environment and the current flop is Oil pricing. They are going to shutter rig production due to the projected glut of Oil supply. The Bad news is that going forward guidance concerning production means that their profitability will be suspect with oil staying in the current range for some time. any long time holders should buy any dip. Obviously the conference Call will determine the short term direction of the equity. All in all, the numbers are significantly better than expected, and may bode well should Oil retrace to the $70.00 range. At current pricing SD is a Buyout candidate!
Google will win share in Asia and China, and Apple will win in USA and maybe South American. Not Russia or Malaysia. The Car market is going to divide thru the dashboard, BBRY's numbers will explode upwards as they are the biggest little guy to benefit (another wise they have the most to win, and least to lose, Stay tuned for CC next month about forward progress with AT&T with Passport and the engagement with Auto mfgs.Its gonns light up alot of candles on the charts by June we'll be hunting in the mid to high teens. By then BBRy's software advantages win been visible to all and it won't be about the Hardware!!!
Sentiment: Strong Buy
Read the news flow and view the chart pattern. The stock is going to $3.00 over the next 3 months which is a 10% move up from here. Patience, as this biotech is moving into favor.
Heading back to highs for the year. This unique Biotech has real volume driving its price action today. Shorts are igniting further gains as patient holders will be rewarded over time. Very Positive news coming