Anyone with a working brain is not expecting a hefty divvy from a 2 dollar stock. The temporary elimination of divvy at time of stress can give the company much needed financial flexibility. If the management does away with divvy now with the promise of restoration at the earliest opportunity, the market will react positively. It sure beats selling assets at fire sale prices now.
PWE is begging lenders to loosen up the covenant terms as we speak, you think lenders can possible agree to spending more money on non-core activities such as stock buyback? Dream on.
December 10, 2014
Sanchez Energy sell-off unjustified, says SunTrust
SunTrust believes that Sanchez Energy should be able to shield itself from market turmoil, given its strong balance sheet, solid hedge book, and flexibility to adjust its drilling program. The firm views the sell-off in the stock as unjustified but cut its price target on the name to $25 from $30. However, it keeps a Buy rating on the shares.
"as one of the lowest cost producers ($10 to $15 barrel)"
This is only the extraction cost, but Saudis can't maintain its various social programs with oil price slightly above the extraction cost. In fact, as of 2011, the break-even oil price required for a balanced budget was around $90. With today's oil price at $60, Saudi government will be clearly running a rather large deficit. This is not a repeat of 1986 when Saudis could fiscally get by with oil in the teens. If the government has to resort to cutting back on social programs that the populace has grown fond of, popular discontent may well ensue. If anything, the house of saud owes much of its relative stability in a highly volatile region to keeping the population contented. Don't know how happy the average Saudi Arabians will be if they have to sacrifice financially to support the government in a prolonged price war with US oil producers.
In your dreams. Since DNDN has filed for chap 11 now, all creditors are ahead of common shareholders for any residual value the company may have. The bids must be around $400M for there to be anything left for the long-suffering commons.
Thanks a lot. Just one more question, I noticed on the earning PR that fully diluted shares outstanding has gone from 66M at the end of June to 100M at the end of Sept. What is the reason? Did they sell a lot of shares?
Do you know how much of PVA's oil is hedged for the next few years and at what price?
I understand Eagle Ford has very low breakeven cost in the $50s, how good are PVA's properties in EF?
"Net income attributable to common shareholders for the third quarter was $81.1 million, or $0.87 per diluted share, compared to net loss of $105.9 million, or $1.59 per diluted share, in the prior quarter."
This has to be pretty good, right?
Some of cheerleading fools here totally deserve to have lost their money on this BK-bound garbage. Even news of underwhelming sub-1K BPD wells was greeted with feigned excitement. A well-deserved loss indeed.
5.75 easy fill? You should really short ECYT from current level. I'll be interested to know how well that turns out :-)
was to sell 5M shares when the stock price was over $20. Which was exactly what ECYT did. Unfortunately, the management was to busy unloading their own shares to care.
Sorry, no dice. You need to prove **criminal intent** on the part of ECYT management for your lawsuit to stick, not mere bad judgment. 99.99% lawsuits filed after a big drop in stock price end up dismissed, if you're a stockholder, you're odds of covering any money this way is nearly zero.
What is my point? My point is often time analysts don't know jack about which way FDA is going to swing, and investors shouldn't get suckered into these lofty pie-in-the-sky price targets that are based on nothing by wild speculations. The disaster with CYTK is just the latest reminder.
Sorry, judging by the absolute zero support in the price action, very few actually gives credence to these fluffy price targets pulled out of you know where.
I was just reading some of the glowing recommendations from JMP, Roth and Piper on CYTK issued 1-3 days ago. The breathless excitement was overwhelming. One can easily draw the parallel between this and Dr. Schimmer's unbridled optimism.
Here are some snippets for your enjoyment:
Cytokinetics risk/reward attractive ahead of data, says JMP Securities
JMP Securities thinks that the upcoming data for Cytokinetics' tirasemtiv for ALS could be transformative. The firm believes that the stock could more than double on clearly positive results and drop about 50% on negative results. The firm reiterates a $23 price target and Outperform rating on the shares.
Cytokinetics should be owned ahead of data, says Roth Capital
Roth Capital recommends that investors own Cytokinetics ahead of data expected to be unveiled on April 29. The firm thinks the data could be "a transformational event" for the company, and reiterates a $25 price target and Buy rating on the shares.
Cytokinetics mentioned positively at Piper Jaffray
Shares are Overweight rated with a $18 price target.