Actually, that was $5.50. Got that mixed up with the SNR I bagged at $8.56! Its the season to be loading up?
I doubled down at $8.56 the other day couldn't resist the falling knife! I hate leaving idle cash sitting around and am always looking for ways to balance the portfolio! It seems the dividends continue to grow no matter what I do!
I bought long ago under $9 and recently doubled my holding. I also hold an equal number of SNR and SNH shares. Trying to keep some balance in the portfolio while adding on the cheap. I don't see much concern re this REIT and expect to see a moderate rebounding in the coming year once folks understand better the interest rate issue. At one point, I thought I was overweight energy issues but that ain't the case any longer! Maybe it is time to load up on some more of those units. Remains a bit scary though and there may still bea leg down in the oil patch. Lots of those MLPs won't be around when it's all over and demand returns to dominate supply!
Bad timing here W999. Report was not bad at all and indicates room for a possible raise of the dividend in the near term. Do others share this view and why?
You got a ouijha board there or what? Of course oil and nat gas will rebound but the big question is when, isn't it! The second question is how many of these companies will continue to exist at that time. In reality, most will be gone forever. I tried to catch the falling knife recently at $5.50. This may be one of my riskier bets but VNR seems focused on staying around at least for the mid-term. If things get really tough, well they could be gone as well! Survival, not returns, is the name of the game now. Many in this industry realize now they won't survive and are probably concerned about their own butts? VNR does not appear to have thrown in the towel yet. The current bubble should not be compared with 2008. That is a mistake. Best to examine the volatile history of energy as a commodity supply-demand cycles.
Could be worse. But it may get better at some point. Maybe the dividend holds? I just leveraged at $8.56 today. Perhaps the dividend remains near twelve percent? I'm banking on the interest rates benignly rising at a very slow rate so that no one gets nailed. If not, I've got a lot of financials to offset a loss here. Not a big risk? We'll see.
Unfortunately, the better demographic is that of a dwindling middle class and an ever declining number of memberships among seniors which is reflected in NCTs calculations indicating fewer rounds. As Vice President of a senior pga sanctioned club, in Maryland, I'm familiar with these issues and commend NCT for trying to come up with innovative ways to reverse this disturbing trend.
When the "liftoff" actually begins in early December could offer the best opportunity for a lowball bid. That's probably where I'll be waiting unless the bottom falls out before then. Lots of nervous Nellies out there right now.
Idiots and nervous Nellies anticipating the "liftoff" which will most likely turn out to be a non-event! That is my. IMHO! The manner in which rates will rise virtually assures that no one will be hurt!
Maybe we're getting near the bottom? Demand for NG will rise. Exports of LNG to Asia and conversion of NG into gasoline will alter demand for NG which has a more benign hydrocarbon footprint subject to much less regulatory oversight. I've begun nibbling here. Be long sighted and don't let the inane issues of rate increases, etc. cloud the true nature of this industry in which ETP holds the cards and is set to experience significant future growth.
Let me ask you this. When does the Lake Charles LNG project come on line and when does ETP begin exporting to Japan and other points in Asia? Next question is when does the Sasol 12 billion dollar NG to gasoline conversion plant in Louisiana come on line? Won't these two projects alone change the landscape for NG demand? I am thinking the answer must be to buy, buy, buy at the present rates. Don't be a nervous Nelly about these other silly, irrelevant on goings over rate changes and crude surpluses. Those will all pass in due time. Best wishes to you in retirement and getting those nieces and all thru college.
That's conjecture, isn't it? What happens to demand when the LNG processing facilities at Lake Charles and Houston come on line in 2018? What about the $12 billion dollar Louisiana processing plant that converts nat gas into gasoline begins production in the not too distant future? EPA is too busy fighting the carbon pattern of the oil industry to focus on cleaner burning NG products at this time. There is less regulatory headwinds so demand should be rising sooner rather than later. This should bode well for those that can survive the current tough slog.
Don't Chenierre and ETP begin export of LNG to Asia in 2018 once the processing facilities come on line? Also, a S. African corporation is building an $12 billion dollar plant in Louisiana that converts NG into gasoline. This process is already in place in the Middle East at a Shell plant. Together, the export and conversion of NG to gasoline should serve to drive up demand for NG in the mid-term for those that can hold on.
The reality of rising interest rates will scare out more than a few; however, this will be a slow and gradual increase that should not have a serious impact on this group. There will be an overreaction for the spec toe of rising rates as we saw today. I'm not sure where the bottom is here, perhaps $9.50 or even slightly lower. I have already added a bit higher. I may have to add more should it go to $9 but I'm happy with the opportunity thus far. I doubt these baby steps by the fed (should they materialize as now seems apparent) will have that much adverse impact on the euro or on emerging markets, let alone the REIT sector. Again, this is the proverbial tempest in the teacup. Sometimes, folks let their imaginations run wild where their investments are concerned. What I see is a solid income stream from a so low-risk sector.over the mid term. Valuations will eventually normalize and rebound. Best time to buy in may be right after they announce the 25 bpincreasei in December, assuming most haven't figured out the real scenario by that time. Be forewarned that I'm the ever optimist and while often accurate, things don't always work out the way we envision them and unforeseen events might alter the above outcome whether domestic politics or of an international nature.
That ever happened to buy low, sell high! Rates will not be going to the moon and should pose little to no problem for REITs. All this concern is creating buying opportunities among the REIT sector. IMO!
I hold the two biggest losers you mentioned and another big loser (MPW). Based on the controls currently in place, I don't see interest rates rising above two and a half percent over the next three years, so the impact upon these REITs should be minimal. Based on that, I have been loading up and am now really overweight on these senior RIETs. I also am now overweight a select number of ernergy plays (ETP, EPD, EEP, MEMP). Once upon a time, I kept a balanced portfolio with a big chunk of financials. The balance is temporarily out of whack but I'm not really that concerned. While anything is possible, I see little chance that we'll see any major problem with these senior REITs. It seems those with the most debt are being hit the hardest but with continued low rates, I do not believe this should be a big problem for any of them. Obviously, others seem to think otherwise, possibly a traditional knee jerk, an overreaction expecting the worst? Anyway, I'm really loaded up recently on SNR, SNH and MPW. Bets have been placed, GLTA as we go forward.
Good time to buy more. I am. Interest rates won't be higher than two and one half percent three years hence. During this time, we get a free ten percent or better push! I'm really tempted to get greedy and exercise some heloc funding! Nah, just kidding. Besides, I don't really need it. Too much in REITs already just now.
Seems he's not alone as there are nearly 10 million shares shorted! That is north of 17 percent! Lots of bag holders here, huh?
Chevron and Exxon-Mobile both reported strong numbers for their downstream segments which also could bode well for CLMT. I've no doubt they will beat the Q3 numbers.