Investors....come in please!
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Originally Posted By: Oldmoparguy1
Originally Posted By: Pablo
I'm done with gold related trades for awhile.
I did however back the truck up with SDRL this AM at $26.30
Hey Pabs, what do you think about SDRL going forward, considering the following?
Wayne
Quote:
By Jeff Reeves, MarketWatch
There is no shortage of risks in the stock market as the end of the year nears.
There's fear of deflation in Europe, and some economists are predicting a triple-dip recession for the region. China's growth is running at the slowest pace since before the financial crisis, and it's still losing steam.
And there was some serious volatility at home in October, with the CBOE Volatility Index (VIX) soaring briefly to its highest level in over two years. The Dow Jones Industrial Average frequently recorded triple-digit swings.
Despite those challenges, I think the market is primed to move higher in the long run. Consider a recent report from FactSet, which shows the forward price-to-earnings ratio of the S&P 500 Index is still below the market's average since 1999. Or that, thanks to falling gas prices, a University of Michigan consumer sentiment survey was at a seven-year high at the end of October.
The fear of buying stocks near record highs may be justified. But why not focus on less-known companies that have been beaten down? They just might outperform in 2015.
Here is a list of some bargains I'm watching now.
Seadrill
Energy prices have plummeted, and stocks like Seadrill (SDRL) have paid the price. As an oil-service company that focuses on offshore drilling, Seadrill is in particularly dire straits given that the cost of deepwater extraction makes even less sense when crude oil is cheap.
However, after a big drop this year, it's hard to imagine things getting worse.
And it's not like Seadrill is just sitting there, waiting for crude to bounce back and business to pick up. Zephirin Group recently offered a bullish take on the stock, in part, because of two big engagements in West Africa, where the company is contracting with Total (TOT) and Exxon Mobil (XOM) . Seadrill is comfortably profitable and isn't going anywhere.
The biggest risk, however, is a cut in Seadrill's juicy dividend, which at a recent payout of $1 per quarter works out to a staggering 18% yield. With projected earnings of about $3 a share, there simply is not enough money to keep up that kind of distribution for long.
But even if the dividend is slashed by 75% to 25 cents, you'll still enjoy a nearly 5% yield. And, most importantly, you'll be buying at the bottom to benefit from share-price appreciation and dividend growth. The forward price-to- earnings ratio is less than 7.
I have some SDRL and I'm down, but I have bought more at these levels. It's very risky. I can tolerate the risk and lose no sleep. But yeah when it pays me quarterly it's a chunk of change.
It's up to you.........how low is oil going to go is the question.
Originally Posted By: Pablo
I'm done with gold related trades for awhile.
I did however back the truck up with SDRL this AM at $26.30
Hey Pabs, what do you think about SDRL going forward, considering the following?
Wayne
Quote:
By Jeff Reeves, MarketWatch
There is no shortage of risks in the stock market as the end of the year nears.
There's fear of deflation in Europe, and some economists are predicting a triple-dip recession for the region. China's growth is running at the slowest pace since before the financial crisis, and it's still losing steam.
And there was some serious volatility at home in October, with the CBOE Volatility Index (VIX) soaring briefly to its highest level in over two years. The Dow Jones Industrial Average frequently recorded triple-digit swings.
Despite those challenges, I think the market is primed to move higher in the long run. Consider a recent report from FactSet, which shows the forward price-to-earnings ratio of the S&P 500 Index is still below the market's average since 1999. Or that, thanks to falling gas prices, a University of Michigan consumer sentiment survey was at a seven-year high at the end of October.
The fear of buying stocks near record highs may be justified. But why not focus on less-known companies that have been beaten down? They just might outperform in 2015.
Here is a list of some bargains I'm watching now.
Seadrill
Energy prices have plummeted, and stocks like Seadrill (SDRL) have paid the price. As an oil-service company that focuses on offshore drilling, Seadrill is in particularly dire straits given that the cost of deepwater extraction makes even less sense when crude oil is cheap.
However, after a big drop this year, it's hard to imagine things getting worse.
And it's not like Seadrill is just sitting there, waiting for crude to bounce back and business to pick up. Zephirin Group recently offered a bullish take on the stock, in part, because of two big engagements in West Africa, where the company is contracting with Total (TOT) and Exxon Mobil (XOM) . Seadrill is comfortably profitable and isn't going anywhere.
The biggest risk, however, is a cut in Seadrill's juicy dividend, which at a recent payout of $1 per quarter works out to a staggering 18% yield. With projected earnings of about $3 a share, there simply is not enough money to keep up that kind of distribution for long.
But even if the dividend is slashed by 75% to 25 cents, you'll still enjoy a nearly 5% yield. And, most importantly, you'll be buying at the bottom to benefit from share-price appreciation and dividend growth. The forward price-to- earnings ratio is less than 7.
I have some SDRL and I'm down, but I have bought more at these levels. It's very risky. I can tolerate the risk and lose no sleep. But yeah when it pays me quarterly it's a chunk of change.
It's up to you.........how low is oil going to go is the question.
Originally Posted By: Pablo
Originally Posted By: Oldmoparguy1
Originally Posted By: Pablo
I'm done with gold related trades for awhile.
I did however back the truck up with SDRL this AM at $26.30
Hey Pabs, what do you think about SDRL going forward, considering the following?
Wayne
Quote:
By Jeff Reeves, MarketWatch
There is no shortage of risks in the stock market as the end of the year nears.
There's fear of deflation in Europe, and some economists are predicting a triple-dip recession for the region. China's growth is running at the slowest pace since before the financial crisis, and it's still losing steam.
And there was some serious volatility at home in October, with the CBOE Volatility Index (VIX) soaring briefly to its highest level in over two years. The Dow Jones Industrial Average frequently recorded triple-digit swings.
Despite those challenges, I think the market is primed to move higher in the long run. Consider a recent report from FactSet, which shows the forward price-to-earnings ratio of the S&P 500 Index is still below the market's average since 1999. Or that, thanks to falling gas prices, a University of Michigan consumer sentiment survey was at a seven-year high at the end of October.
The fear of buying stocks near record highs may be justified. But why not focus on less-known companies that have been beaten down? They just might outperform in 2015.
Here is a list of some bargains I'm watching now.
Seadrill
Energy prices have plummeted, and stocks like Seadrill (SDRL) have paid the price. As an oil-service company that focuses on offshore drilling, Seadrill is in particularly dire straits given that the cost of deepwater extraction makes even less sense when crude oil is cheap.
However, after a big drop this year, it's hard to imagine things getting worse.
And it's not like Seadrill is just sitting there, waiting for crude to bounce back and business to pick up. Zephirin Group recently offered a bullish take on the stock, in part, because of two big engagements in West Africa, where the company is contracting with Total (TOT) and Exxon Mobil (XOM) . Seadrill is comfortably profitable and isn't going anywhere.
The biggest risk, however, is a cut in Seadrill's juicy dividend, which at a recent payout of $1 per quarter works out to a staggering 18% yield. With projected earnings of about $3 a share, there simply is not enough money to keep up that kind of distribution for long.
But even if the dividend is slashed by 75% to 25 cents, you'll still enjoy a nearly 5% yield. And, most importantly, you'll be buying at the bottom to benefit from share-price appreciation and dividend growth. The forward price-to- earnings ratio is less than 7.
I have some SDRL and I'm down, but I have bought more at these levels. It's very risky. I can tolerate the risk and lose no sleep. But yeah when it pays me quarterly it's a chunk of change.
It's up to you.........how low is oil going to go is the question.
Wow! you were right. Now what?
Originally Posted By: Oldmoparguy1
Originally Posted By: Pablo
I'm done with gold related trades for awhile.
I did however back the truck up with SDRL this AM at $26.30
Hey Pabs, what do you think about SDRL going forward, considering the following?
Wayne
Quote:
By Jeff Reeves, MarketWatch
There is no shortage of risks in the stock market as the end of the year nears.
There's fear of deflation in Europe, and some economists are predicting a triple-dip recession for the region. China's growth is running at the slowest pace since before the financial crisis, and it's still losing steam.
And there was some serious volatility at home in October, with the CBOE Volatility Index (VIX) soaring briefly to its highest level in over two years. The Dow Jones Industrial Average frequently recorded triple-digit swings.
Despite those challenges, I think the market is primed to move higher in the long run. Consider a recent report from FactSet, which shows the forward price-to-earnings ratio of the S&P 500 Index is still below the market's average since 1999. Or that, thanks to falling gas prices, a University of Michigan consumer sentiment survey was at a seven-year high at the end of October.
The fear of buying stocks near record highs may be justified. But why not focus on less-known companies that have been beaten down? They just might outperform in 2015.
Here is a list of some bargains I'm watching now.
Seadrill
Energy prices have plummeted, and stocks like Seadrill (SDRL) have paid the price. As an oil-service company that focuses on offshore drilling, Seadrill is in particularly dire straits given that the cost of deepwater extraction makes even less sense when crude oil is cheap.
However, after a big drop this year, it's hard to imagine things getting worse.
And it's not like Seadrill is just sitting there, waiting for crude to bounce back and business to pick up. Zephirin Group recently offered a bullish take on the stock, in part, because of two big engagements in West Africa, where the company is contracting with Total (TOT) and Exxon Mobil (XOM) . Seadrill is comfortably profitable and isn't going anywhere.
The biggest risk, however, is a cut in Seadrill's juicy dividend, which at a recent payout of $1 per quarter works out to a staggering 18% yield. With projected earnings of about $3 a share, there simply is not enough money to keep up that kind of distribution for long.
But even if the dividend is slashed by 75% to 25 cents, you'll still enjoy a nearly 5% yield. And, most importantly, you'll be buying at the bottom to benefit from share-price appreciation and dividend growth. The forward price-to- earnings ratio is less than 7.
I have some SDRL and I'm down, but I have bought more at these levels. It's very risky. I can tolerate the risk and lose no sleep. But yeah when it pays me quarterly it's a chunk of change.
It's up to you.........how low is oil going to go is the question.
Wow! you were right. Now what?
SDRL just announced they suspended their dividend.
SDRL is pure speculation at this point. Wait until inklings of positiveness move the chart. That said, it's interesting. SDRL COULD have continued to pay a dividend and chose not to. This is actually a correct fiscal move. Plus they are buying back 10% of their shares. I would say just buy a few 100 shares and then sit back until oil cycles up again or, wait if you think oil will go down to $50-55 and buy then if still interested, but from experience if you watch it in until the dividend comes back, it may be a bit late for the growth phase.
JHZR2
Staff member
Im contemplating buying some more SDRL, but the divvy is what kept me going through previous drops. It is sensible that they are doing what they are, but between shale and sand possibly reducing long term needs for deepwater rigs for the forseeable future, and low prices, I have to think that cash would be better served elsewhere.
Might want to keep an eye on RIG also.
Originally Posted By: Oldmoparguy1
Might want to keep an eye on RIG also.
And DO
Might want to keep an eye on RIG also.
And DO
Watching CNBC this morning. OPEC is NOT cutting production. Deliberately putting pressure on Russia, Iran, Argentina. Iran screaming, crying foul..... Wish I knew where the bottom is, WTI futures hit $67+ this AM. SDRL at $14.70, BP at $39.48 . I stayed in the oil patch too long. Ouch!
Wayne
Wayne
Originally Posted By: Oldmoparguy1
http://finance.yahoo.com/video/where-crude-oil-prices-headed-140405287.html
Good video. Thanks for posting!
What I own is getting killed, but a buy opportunity will come, sometime.....
http://finance.yahoo.com/video/where-crude-oil-prices-headed-140405287.html
Good video. Thanks for posting!
What I own is getting killed, but a buy opportunity will come, sometime.....
Originally Posted By: Turk
Originally Posted By: Oldmoparguy1
http://finance.yahoo.com/video/where-crude-oil-prices-headed-140405287.html
Good video. Thanks for posting!
What I own is getting killed, but a buy opportunity will come, sometime.....
My whole portfolio is trashed, all red, but I'm still up over 8% YTD. Lots of rectal pain, but I keep telling myself, it's all good.........
Wayne
Originally Posted By: Oldmoparguy1
http://finance.yahoo.com/video/where-crude-oil-prices-headed-140405287.html
Good video. Thanks for posting!
What I own is getting killed, but a buy opportunity will come, sometime.....
My whole portfolio is trashed, all red, but I'm still up over 8% YTD. Lots of rectal pain, but I keep telling myself, it's all good.........
Wayne
Light sweet crude index is at the 50% fib retracement from the 2008 low to it's 2011 high and US WTI futures are at the 61.8% retracement; both critical levels to hold. WTI crude futures are also at the 61.8% retracement from the 2008 all time high to the low in 1998 with 2 long term trendlines coming up at around 60 bucks. I'm sure a lot of buyers will be stepping in at those levels if it falls lower.
Feeling a bit of the pain from the oil drop. On the bright side though it should give the world the shot in the arm it needs to boost markets.
JHZR2
Staff member
Originally Posted By: Oldmoparguy1
Watching CNBC this morning. OPEC is NOT cutting production. Deliberately putting pressure on Russia, Iran, Argentina. Iran screaming, crying foul..... Wish I knew where the bottom is, WTI futures hit $67+ this AM. SDRL at $14.70, BP at $39.48 . I stayed in the oil patch too long. Ouch!
Wayne
The problem with SDRL is that even if oil still is long term bullish because billions need it, if we really do tap Canada and North Dakota and everywhere... We would effectively be putting SDRL into a bind for the long run and not be as great of a deal...
Watching CNBC this morning. OPEC is NOT cutting production. Deliberately putting pressure on Russia, Iran, Argentina. Iran screaming, crying foul..... Wish I knew where the bottom is, WTI futures hit $67+ this AM. SDRL at $14.70, BP at $39.48 . I stayed in the oil patch too long. Ouch!
Wayne
The problem with SDRL is that even if oil still is long term bullish because billions need it, if we really do tap Canada and North Dakota and everywhere... We would effectively be putting SDRL into a bind for the long run and not be as great of a deal...
CSCO was bought for $17.50
Whould you sell Cisco or hold it and see what happens ?
Whould you sell Cisco or hold it and see what happens ?
Originally Posted By: Turk
What would be a few more Ticker Symbols to keep an eye on?
Off the top of my head:
SDRL
RIG
DO
ESV
NBL
What would be a few more Ticker Symbols to keep an eye on?
Off the top of my head:
SDRL
RIG
DO
ESV
NBL
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