I am wondering where the bottom is. It looks like Greece is going to exit the Euro which will crater stock markets for some time. If that actually happens I am thinking all markets will decline. Is it 5% or 10% or more? So where will CHK fall to if the DOW and S&P 500 fall 10% or more. I am thinking the total market cap of CHK could fall to $6 billion-7 billion and while this is happening Carl Icahn can acquire another billion dollars of CHK while everyone is jumping ship. Before we know it he could own 25% of the company.
they would rather drill holes in the ground for energy that is selling at low prices, which is the opposite of the axiom of buy low and sell high, unfortunately when you sell your inventory at the lowest prices you make the least amount of profit
The board authorized management to buy $1 billlion in shares and they did not do it.
If management does not buy shares to reduce the share count and they want to
drill as that is a better choice for the cash flow, investors should take note.
The Chairman of CHK bought a million shares this year. He is hurting worse than the rest of us.
He has an incentive. Do not worry.
Actually interest rates will rise at some point but most experts think it is going to be gradual and not much of an increase which does not effect most unless they have 100% of their debt turning over in one year. Many loans are outstanding for 5-1--15 or more years. In fact companies that use bonds to finance which is many health care REITS actually get lower government subsidized bond financing and most bonds are for terms of 20 and 30 years. I am some health care reits that financed building with these long term bonds. The problem with the health care reits is that they have gone through too much appreciation over the last 5 years and many are overpriced.
Actually, I believe states and the government will eventually not imprison people for distributing grass and that other sentences for drug dealing will decline instead of states taking on the cost to keep people incarcerated for 10-20-30 years. This does not happen in Europe where they put people away for 10-20-30 years. It is just too costly for states to sentence people for such long terms. California is already starting to lighten up on sentencing terms. The reality that we spend more money on each prisoner than we do on veterans, mentally ill and the destitute is starting to sink in with society and that the cost is too great.
This reality has sunk in with stock brokers and others and while the market has been going up this equity has been going down because the growth rate of incarceration and sentencing is going to decrease and it has an impact on GEO.
Every year between 2016 and 2020 which is you LNG production number, the U.S. will see growth in truck fleets, taxi fleets and buses, power plants and chemical plants using more natural gas than the amount expected for export in each of those years. When you combine exports to Mexico and Europe and Asia with the domestic switch from power plants burning coal and vehicle fleets buying natural gas for fuel you actual have double the amount of growth from that export number you are using.
Natural gas is going to be $5 mcf in 2017 due to the export and domestic market. There will be a convergence in U.S. and international prices for natural gas less the costs to deliver the gas to foreign buyers.
Ask yourself why CHK which received $5 billion for selling 7% of the company production and land has not purchased any shares with that money. If CHK is a bargain then the company should have purchased $1-2 billion of the stock with that money. They must think there are better buys out there than CHK.
Firm's like Goldman do this all the time. Hype a company and unload their shares after the recommendation. You should send your information to the SEC and they will slap their hands.
It is really a sad state of affairs how the retail investor is constantly having their funds stolen
by these firms.
market is going lower and needs correction, CHK will go lower with the market
and due to the storage of natural gas hitting a 12 year high today and being 51%
over 2014. The price will go lower, but I do not understand why CHK does not
buy any shares at this price (under $8.6 billion market capitalization). I guess
management is telling us they will not buy shares until they are cheap enough.
I read the press release this afternoon about natural gas production being put into storage and is now at 51% over the same time as last year and is at a 12 year high.
I am afraid we are headed lower with the market being impacted by problems in Greece and Europe and Saudi Arabia trying to wipe out energy jobs in the U.S. and U.S. production.
the real problem is that management said they were going to use about $1 billion of the $5 billion sales proceeds to buy back shares. It looks like they never pulled the trigger which tells all investors the price was not right. That is a terrible message to give the street. At what price does management think the shares should be good value.
You hope the Saudi's can do the math. Kirby, wake up. Half of their population does not work or drive. The other half, males, really do not work according to friends that have worked in Saudi as consultants, including a V.P. for a utility. These are people that lived in tents with no indoor plumbing. It is a welfare state and two bombs have been exploded by terrorists over the last two weeks. The MIddle East is a mess and it is not going to get better, that means I am predicting more bombs in SA. If the Muslim terrorists can hit New York City and Boston, what do you think they will do to oil and gas targets in the MIddle East? These are not smart people, they hire foreigners to come into the country and do all critical jobs. Investors in oil and gas should expect more and more bombs and more and more war in the MIddle East. Half of the countries in that part of the world have been turned into rubble over the last 5-10 years.
If no one has purchased this company in the last 5 years as they have grown reserves no one is going to buy it and there is a reason for that. It is called development costs and the low grade of what has to be mined. Investors in this company do not seem to realize that it costs $5billion on up to open a sizable mine. As long as there are prospects within the big miners which have higher grade material they are not interested in this. Finally, how many new big mines get the development approval each year? Very few. If no one bought this during the last five years when gold went to $1800, what price does gold have to go to above that number to entice a buyer to bite at SA. My guess is that gold has to hit $2500 per ounce and that could be 5-10 years away since gold has been sitting at $1200 off of $1800 highs..
You say not more room for growth in Latin America for DTV. Over the last 20 years they have picked up 20 million customers and most of the government ministers that I have read commenting on the industry down there is that the numbers of cable and satellite are going to double over the next decade. Google pay tv prospects and market growth forecasts for cable and satellite and you will see that you are flat out wrong about the market potential. Without doing proper research you will never understand how DTV has been growing its business by over a million a year down there. All of those customers are going to get pitched other business lines from ATT.
There is no competition in Mexico and the fees for cable, satellite and phones are high.
A similar situation exists in South America. ATT-DTV is going to take market share all over that area and it is 500 million people. The government of Mexico does not like the current situation where one or two families control cell phones, tv, etc.
The debt that ATT has and the debt that DTV has never bothered their bankers. The companies they have purchased in Mexico are going to give them the current 9 million customers plus the future growth as most consumers resent having only one strong company as the go to for service and product and will turn to ATT-DTV and related subsidiaries.
You have been preaching about how these companies are dead and yet ATT and DTV have been going up in price every year. Latin America is in its infancy in technology and the populations use of the technology. ATT & DTV will be the big elephant in the room as they offer packages to the masses. Look at the market penetration of cable or satellite tv south of the border, and you might understand where ATT share price will go. It is not down.
DTV is still the best service provider of sports in North America and it will be the same in South America.
The plastics industry is significant but not as significant to future prices of energy as ISIS. Does anyone really think that ISIS Islamic State is going to stop with Iraq and Syria or Libya? They are not going to stop with 2 or 3 states, they want to conquer the entire area. What Western oil and gas multinationals are going to send workers and spend money on Middle East infrastructure (which requires foreign workers) into this ever expanding war zone. That part of the world is destabilizing more and more each month.
The U.S. has been unable to stop it after 10-15 years there.
In fact when President Bush started the destabilization with the removal and execution of the dictator S. Hussein and Obama continued it with the removal of the dictator Kadafi in Libya and the attempt to remove Assad in Syria, it has only become more chaotic and destabilized.
As the Middle East becomes more dangerous this will have more to do with energy prices.
Remember, ISIS and the other Muslim terror groups want to hurt the U.S.
Is this the same Goldman Sachs that a few years back said oil was going to $150-200 a barrel?
Smalls, you keep reporting false information on your posts. You say "how much debt is AT&T going to assume on the DTV? Answer $20B." If you could read a balance sheet you would see that DTV has $5 billion in cash sitting around and debt of $20 billion, so that is net debt of $15 billion. You say it will take "a long time just to pay for for DTV's existing debt." How about learning how to read financial reports. DTV has $5 per share in earnings. Earnings are funds left after all expenses are paid including interest on debt.
You also keep implying that DTV will be cash flow negative with a modest dip in satellite TV revenue, but you fail to comprehend the DTV quarterly reports that show actual revenue of $65/share and earnings of $6/share.
Also, what is not in the residential customer numbers in either North America or South America are the businesses that are hooked up to DTV. Take L.A. Fitness with 600 locations. My location has over 50 televisions hooked up to DTV on each treadmill, stairmaster and every wall and pillar. This chain is growing and all other businesses that take 50-1000 TV hook ups from DTV at each location are never going to switch to cable or other options. I am speaking of the hotel management companies around the world such as Hilton, Sheraton, Hyatt, etc.
Not only are your numbers and misrepresentations false, you just do not understand the future products such as monitoring security at home and office, data and broadcast into cars/trucks on monitors. These are all future business growth opportunities.
Week after week , month after month you post false statements about these companies and you fail to understand why they have grown in market capitalization year after year after year.. My initial investment in DTV at $16 per share is now $90+.
I have been investing in high yield equities throughout the last
decade. It is important when to get in and when to get out.
The high yielders always cut the dividend it does not matter if
they are BCD's, REIT's, MLP's or shippers.
The problem with shipping is that there are too many ships
being built in the shipyards.
The yield and the pay out ratio are warning signs on NMM and
the lack of profitability in NM is also a warning.