RE: Director freebies24 Mar 2024 09:58
Axe-Capital, read and re-read your post which in fairness isn't the easiest to fully understand, at least with my very simple brain. Are you invested here at all, appears that you're not, but not 100% clear ? Those of us who have significant losses are well aware of same (not burying our heads), but the decision now is to either 1. Sell all or some, 2. Buy more to avg down, or 3. Hold and monitor with stop loss. I'm doing 3. for now as I feel much of the negativity is simply 'noise', but I'm only a simple-minded man and could very well be wrong. Every portfolio, and I have 28 stocks, has some with significant losses, but also some with significant gains. No business is fully honest and Rusty's DEC is no different, that's why businesses have Regulators and Regulation like annual audits, etc... DEC reduced their div to a more reasonable % v share price in order to free up funds to expand. DEC has some vertical integration by having their own well plugging division which plugs 3rd party wells also. The Nat Gas price should increase in time, but, until then, DEC is acquiring more wells to improve economies of scale. Hedging could be improved but at least it provides certainty.
Personally, I think it's a good strategy overall and if anyone can find some article or docs issued by the Shorters justifying their short position then please post it here asap because I cannot see why they are Short unless they're betting on lower Nat Gas prices for longer and continuing high interest rates for longer (margins being squeezed for longer).