This company is trading as if it is in bankruptcy right now. UNG has gone up so much since oct 31. NG prices off the roof. If there is a little assuring news from the company about the cushion leak at the well, this stock can also go thru the roof too. Still waiting for the CEO to tell us a Christmas story now.
NG prices climbed so fast so high, now enforcing the hand of the management to say something how it is going to impact the next q and also they need to tell us what is going on in the well with cushion migration. Otherwise investors rolling over their cushions in their bed..
June 21, 2010, Initiated. The stock was at $ 18 and moved to max 22 on 3/2011.
April 7, 2011, Downgraded from Buy to Hold. The stock was 21.97 and went down to 8 dollars in
November 21, 2011. ( Please notice : "HOLD")
April 3, 2013: Upgrade from Hold to Buy. The stock was 15.65 on that day, remained pretty flat
May 10, 2013: Downgrade from Buy to Hold. The stock remained flat and even increased to 16-17 dollars until 2/2014.
Oct 31, 2014: Downgrade from Hold to Sell, The stock was already down from 12 to 6 dollars. target price they have is 3.30 cents meaning the company is basically bankrupt.
I leave the judgement to you. No more words from me again about this company.
I read all this year's edgar releases. What happened now has already been reported in the previous July release. They lost and also said they were going to lose way back in July.
Analysts were predicting natural gas to go down below 3. So make your own calculations. Hold on to your shares. They are trying to steal them away from you.
NG jumped 17% since the analysts released their bad predictions. Hold on to your shares. Go see " bloomberg natural gas news on google". not letting me put the link here.
According to the firm’s CRD, Stifel Nicolaus has been named in at least 75 regulatory events related to possible securities fraud violations. The firm has been the subject of investigations conducted by FINRA, Illinois Securities Department, the Ohio Division of Securities, the Minnesota Department of Commerce, and the Maine Office of Securities (among others).
The firm has also been named in over 35 FINRA arbitration claims filed by investors. These claims involved various investment types and causes of action.
The foregoing is but a brief summary of the firm’s FINRA Broker Report. To access Stifel Nicolaus’ full CRD, you can visit http://brokercheck.finra.org.
- See more at: http://www.whitesecuritieslaw.com/tag/stifel-nicolaus-lawsuit/#sthash.xCLLZ6fL.dpuf
The Securities and Exchange Commission sued Stifel Nicolaus on August 10, 2011, claiming the firm duped five Wisconsin school districts into buying $200 million in "unsuitable" securities tied to collateralized debt obligations. The investments, which the school districts had purchased in 2006 with $163 million in borrowed funds and $37 million of their own money, were "far more risky" than Stifel Nicolaus advertised to the school districts, the S.E.C. alleged, and the firm hid the risks “through a series of falsehoods and misrepresentations." The school districts' credit ratings were lowered and they lost their investments, which were intended to fund school employees' retirement benefits. Stifel Nicolaus said in a statement that it was “deeply disappointed by the misplaced action” and that it would “vigorously defend” its behavior in the transactions. The S.E.C. said the firm had claimed that the investments were so safe that it would take "15 Enrons" or some other unexpected catastrophe for the investments to fail, but the first increment of securities did badly and credit agencies issued a "negative watch" on part of the portfolio within days of its closing. As of August 4, 2012, the lawsuit is pending.
Kayne Anderson sold 309,000 shares, Advisor sold all of their 900,000 shares. Check the rest. None by Carlyle as you can see. No shares sold by Riverstone either.
"Results for the three and six months ended September 30, 2014 include non-cash depreciation charges of $5.7 million and $33.6 million related to estimated cushion gas migration at our facilities in Alberta".
##It implies that the migration was worse in the previous 3 months. The current q loss is 5.7 million.
"Results for the three and six months ended September 30, 2014 also include an inventory impairment charge of $10.5 million. This inventory impairment resulted from the realization of certain hedges positioned in the second quarter of fiscal 2015 without the physical movement of the associated gas. "
## This is a one time event. Not likely to play a game like that again.
Most serious is the possibility of their loss of the storage facility due to migration. Other things are just daily events. Natural gas may not go cheaper than it is now.
One other thing is the fact why the management team owe so little shares here while Carlyle is grabbing them both hands.
My final take: Here I sense we are in the middle of a game. Bad report is designed so that Carlyle can get cheaper shares. Is not it a big question Carlyle reinvest all of their money in this losing business? Something is not right here. A good report would have yielded less shares for them right?
Another analyst coming up with 3.30 price. Has he read the report yet?
How unusual it must be to have that many lawsuits. Lawyers are seeing something not right. Legal costs are not worth being so stubborn. They have to sweeten the deal.