I agree completely with you. In a few weeks, we might actually hear from the FDA and end all this senseless banter
I thought that Ensco was the best of the drillers, but now I see that they just got downgraded by Credit Suisse. I was hoping that when oil came back that I could keep collecting dividends and sell it for $35+. Now I'm not so sure. I will hold until we see $70 WTI next year (I hope) and see where the price is at that time
Until crude bottoms, it would be unwise for an analyst to go out on a limb like that. I own NE and ESV and believe that we won't see big increases in their share prices for at least 6-9 months, but I'm happy to own them both here and buy more if the shares decline significantly lower
I've been investing for about 40 years. It is always difficult to buy even a quality company when it is at a multi-year low, but by far the largest gains are made when you do so and are correct. Look at Ford in 2008/9. It got all the way down to $1...basically the same for Bank of America.
I'm adding as the sector declines in ESV and NE
Well his comments Friday did not help us for long. He is a snake oil salesman. If the FDA approves Triferic soon, he will say that he recommended all the time
The truth is the odds are that Triferic will get approved simply based on the prior ADCOM results. We are in a holding period and we will some price swings until the FDA rules
I like capital gains as much as anyone, but I prefer that mgmt. give me my dividend instead of using the money to buy back shares. For years, John Chambers, CEO of Cisco, resisted paying dividends while giving internal mgmt. options to buy stock at extremely low prices. I fear that something similar could happen with the drillers if they cut the dividend to buy additional shares. I want the drillers to keep paying dividends and I will decide what to do with the money instead of mgmt.
With interest rates so low, you are forces to look at dividend paying stocks. I have a little At&T and Pfizer that I've had for a couple of years. I remember in 1981 when you could get a 12% CD. Now you can't get 2%. I also have a couple of rental houses, but you have to make sure you get the right renters or they will destroy them
One of my high school classmates was in the 101st and got killed in Viet Nam. My uncle was also in the 101st and jumped behind enemy lines on D Day. I thank you for your service
If we can book those day rates, the dividend should be safe. I believe that this cycle will play out in a year or so
Thx and good luck
I don't think that they would cut the dividend unless they wanted to buy a weaker competitor to get profitable synergies.
You seem knowledgeable and what do you think the day rates will be for Ensco 110 and DS-10 in 2015?
I agree with everything you stated. I also have a large number of shares in NE and also in ESV. I believe that we will see a rebound back to at least $20 in 2015 and I'm not selling. I'm retired and like the dividends as a long term source of income