Lol..I know. Will be visiting Kauai next mo but I'll be bringing 4 girls with me. Kauai is paradise but night life is lacking to say the least. I prefer BKK or Pattaya to Phuket. What island are you on?
Prof. Have you done any work on VNR? I don't really care if that one pops or not but I have some bonds and I care if I get paid back. Appreciate your opinion
Preferred...nothing. Common..not sure. I bought in after the first $100 million buyback. This is where it gets murky for me. Does that matter or is it done quarterly? Heard several versions. If you captured $170 mil buyback that would amount to $3 per share offset by depletion but I'm no accountant
Well the silver lining ...
More critically, U.S. production decreased by 113,000 barrels per day last week suffering its strongest weekly decline since last July. Domestic output in the U.S. has now fallen in 11 consecutive weeks, dropping to its lowest level since September, 2014. U.S. production continues to wane as higher-cost shale producers are forced offline as crude prices linger near multi-year lows.
Elsewhere, investors reacted to further indications of weakness in the sector after Reuters reported bankruptcies among energy companies reached 59 earlier this week mirroring the downturn in the telecom industry in the early 2000s. It came after Midstates Petroleum and Ultra Petroleum both filed for bankruptcy protection, underscoring the effects of persistently weaker oils prices.
That was kinda my thought. Would be even better if they make 2 or 3 interest payments before that. Got some SXE common also. Bought at $1.6 and rode it up and down. I don't think that one will be a moonshot anytime soon unless something unexpected happens although the chart is starting to suggest that
cube what's your feeling about the ARP bonds. I have some but was thinking to buy more. Worried they're not gonna make it though. I know they're hedged for another couple of years but so was LINE and BBEP
The way I figure, the additional $70 million bond buyback was unexpected. Divide that by 69 million units and it should give it $1 pop tomorrow just based on this
To put it another way, they've bought their current market cap for $20 mil. We knew about $100 mil. I wonder how they were able to get the other $70 million so cheap. The bond prices were much higher after the last earnings call.
you may wanna add $23 mil derivative settlements and it looks a lot better. With the re-determination, asset sales, bond buybacks this one should do well tomorrow. Waiting for the professor to finish swimming and do the numbers
The odds are strongly against it. This has been a textbook pullback. 61.8% retracement of the last run. Capitulation, covered gap up at 2.25 in the process. If I was a betting man (and I am), this will shoot much higher
If everyone would be so kind to chime in on what bonds they're holding and maybe the likely-hood of those companies making it. I'm getting ready to buy more next week and wanted to cross my T's and dot my I's as I know there are a number of people on this board that could run circles around me with their industry knowledge. I have some LGCY bonds but those jumped to 37 cents and became less enticing as far as yield than LGCYO, so I bought more of that at $6. I own a few BBEP bonds (that one unlikely to make it) but I figure in a typical BK you get 12-15 cents on the dollar, so I'm OK with it . I have some VNR and EROC which is pretty much the same thing but cheaper as I understand it. I have some LINN and BTU (bought those in the 2-3 cents range) so I'm not that scared as they're not paying. Looking at ARP, WTI and SD. Any opinions out there please let me know. I would imagine some may pay nothing at all if they go belly up depending of total debt outstanding and if anyone knows that off the top of their head, it would be greatly appreciated
My thinking is because I take half the risk (capital invested bang for the buck) and the upside is a lot more. They're not paying their bonds anyways. That being said neither comes even close to being a safe investment. Was just bored at the time and figure if I buy a bunch of garbage, a couple would make it
Has anyone looked at SDRXP? It's Sandridge's preferred stock. Someone mentioned it a few days ago. Might've been cube...It's a $100 preferred trading at basically 3 cents on the dollar. Should do ok if they don't follow BK (they probably will) but I figure even if I get 5 cents in some restructuring I still double my money. The downside is that I don't get anything but I paid $2 and it's been a nice ride so far
bonds jumped and this one should've jumped too. I was going to buy more at 6.3 and change but I figure I keep some cash in case something happens