SDRL bankruptcy now assured....better be alert for how it affects SFL and FRO.
was dividend paid on 6/29? what is going on here?
I like SFL, smart company execs included. Have way more bulk and container ship than tankers and only a very few oil rigs. Sea-Drill is not a needle mover to SFL. Selling 10 y/o ships coming off of lease and bringing new ships on-line is their way. Anyone who hasn't read their annual report should, it's available on-line. All my dividends get re-invested, in both portfolios.
Can't wait for dividend to be paid on 6/30. What is your guess after dividend paid?
Woohoo. Happy dividend day!
Have we reached the bottom of the ocean, yet?
So nice to see the same naysayers back. Still not making sense. $15 a barrel really? At least make your predictions realistic. Will be fine. Typical summer swoon. Will be back to 15 by end of summer.
Yahoo Finance Insights
SFL is down -5.04% to 13.20
Enjoy the high dividend for now...it will not last....SDRL issues, tight cash flow, selling vessels to increase cash, high debt all tell you that the current dividend will not last...it will probably still yield 9-105 when all is said and done, but I don't want anymore drama in my portfolio than I already have.
when all else fails buy tesla, what a joke
From SFL: "The Board of Directors has declared a quarterly cash dividend of $0.45 per share. The dividend will be paid on or around June 30 to shareholders on record as of June 16, and the ex-dividend date on the New York Stock Exchange will be June 14, 2017."
Ok, So Q1 earnings have come and gone for my finance co not shipping co SFL. Everyone is getting the .45 dividend and everyone is happy...right? Well I am one shareholder that could be happier. Let me start out with a question, Why isn't SFL trading at $18 a share with a 10% yield dividend of $1.80 per share? The answer to this legit question can be found in the numbers. The numbers tell us 2 things that have weighed on this stock for more than a year. 1) Operating Cash flow and Cash flows in general have been and continue to be weak. 2) Debt repayment risk is staying high. The number everyone cares about is the dividend. The current quarterly dividend means SFL needs Just over $42 million dollars in cash to pay the dividend each quarter. If you look at the current "Statement of Cashflows" from the earnings release you will see SFL made about $45.5 Million in cash from normal everyday Operations. Great, that's more than they need for the dividend...up, up and away all is good. Not so fast, SFL also paid a net $20.6 million of cash to repay Short and Long term debt. SFL started the Quarter with $62.3 million in cash and ended with $61.5 million in cash. So what gives? SFL made $23.8 million in cash from the sale of one of its vessels. Selling a vessel is a one off event which allowed SFL's Cash position to only drop $828,000 for the Quarter. Without the sale of this vessel, SFL would have used almost $25 million of the $62.3 million of cash it started Q1 with. At that rate of using cash, SFL would have used all of its cash in the next few quarters. Thankfully, SFL Mgmt is good at using non operational events to supplement its cash position. Ironically, what I do not like about this quarter's cashflow (selling vessels to increase cash), is what I do like about the 2nd quarter. Management has told everyone in the Q1 report that the same thing will happen in Q2. From the report is says the company will sell 2 vessels for a total of $39 million to be delivered in Q2. So we already know if SFL wants to continue with a .45 dividend in Q2, they will have the cash to pay it. It also means weak Cashflow will continue. 2) As far as higher debt risk...that is an easy one. Weak Cashflow and the continued uncertainty surrounding SDRL means higher concern that debt repayment stays in control for this finance co. What does it all mean in practical terms? I would think it means SFL will continue to pay the dividend, but the price of the stock is stuck until Q3 or Q4 or until SDRL finalizes an agreement with SFL. With a longer term view, $12 a share looks like a good spot for new money.
Every quarter people talk about the impending doom of SFL and they continue to prove these naysayer wrong. Keep up the good work
Ship Finance is an inspired choice for value investors, as it is hard to beat its incredible lineup of statistics on this front. However, with a sluggish industry rank (Bottom 42% out of more than 250 industries) and a Zacks Rank #3, it is hard to get too excited about this company overall. In fact, over the past one year, the Zacks Transportation - Shipping industry has clearly underperformed the broader market, as you can see below:
Did SDRL all of a sudden find billions of dollars to pay off their debts?
Why the jump in SFL??
Yahoo Finance Insights
SFL is up 4.98% to 13.70
June 16, 2017 12.50 puts. Insurance and more. Been watch these put option contracts as Insurance against a negative earnings report. They are also good for a short term trade ahead of earnings. If you own 10,000 shares of SFL, you can purchase 100 put contracts (covers 10,000 shares) for just $2,000. The current spread is .15 to sell and .25 to buy with last trade at .20. They are up 100% since last week when the spread was .05 to .15 last trade .10. SFL could lower the divy to .43 as it was paying 3 quarters ago. This would take some off the stock price. These options would double or triple if that occurs...Insurance. I will wait until Monday to trade as Time decay is an issue. I will target .10 to .15 as my price, bringing cost down to cover 10,000 shares to $1000 to 1500 total. I would also buy these at .15 and look to sell at .30 to .45 as speculation to a downside move after earnings...2000 contracts for $30,000.
Just my Opinion. Remember to Sell high and Buy low.
No one buying SFL with any conviction...earnings now mean nothing...what will be earnings be when SDRL fails to pay what they owe SFL? SDRL cannot continue to exist....
Bought BX and CRF....also some BPT. Anyone buying EEP now that the dividend reduction has been published? Still holding off on SFL....other shoe needs to drop re SDRL first...there will be some exposure to SFL...need to see how much before buying....have been buying BAC on the dips....that one is a no brainer with one/two more rate increases coming, along with an increase in the Dividend.