SQZ Selected as one of the top five biggest UK yields covered more than 1.5 times by earnings
Serica Energy (SQZ:AIM) Forecast dividend yield: 8.2%
North Sea oil and gas firm Serica Energy (SQZ:AIM) offers a generous yield despite a strong balance sheet and robust energy prices – this presents an opportunity for investors.
Having previously been almost exclusively focused on producing natural gas, the company added oil to the mix through the £367 million acquisition of Tailwind Energy which completed in March 2023. Its output is now 55% gas and 45%
oil and the transaction also made Serica one of the top 10 North Sea producers by volume
first-half results published on 18 September revealed the company generated cash flow from its operations of £266 million through the period....
... the 12.5% increase in the first-half dividend is a marker of the company’s commitment to continue rewarding shareholders in this way.
Serica’s enviable financial position should allow it to invest to help sustain and build its production, both organically and through acquisitions, providing the cash flow necessary to fund dividends.
https://www.sharesmagazine.co.uk/magazine/apiDownload/2023-10-12-Shares/8d7ee952c7d87705ae4194cd27bf8753?edition=ajbyi
Https://www.cmegroup.com/markets/energy/natural-gas/uk-nbp-natural-gas-daily.html#venue=globex
day ahead...
Gas on the rise, up another 10% .....😳
UK Gas 128.2200 +43%
https://www.ice.com/products/910/UK-NBP-Natural-Gas-Futures/data?marketId=5508885
Nov23 128.220 10/12/2023
Dec23 138.500 10/12/2023
Jan24 143.630 10/12/2024
Https://twitter.com/baroninvestment/status/1712068422358442346
Headlinethrough for you that hold O&G #SEPL:
*SEPLAT CEO: EXXON NIGERIA DEAL `ON FAST TRACK' TO RESOLUTION
Https://www.nasdaq.com/articles/nigerian-oil-regulator-optimistic-on-exxon-asset-sale-to-seplat
very interesting :-)
UK Gas GBp/thm 122.6800 +12.25% on the day +33.90% on the week
A probe into a leak from an undersea gas pipeline between Finland and Estonia is proceeding on the assumption that it was a deliberate act of destruction, according to people familiar with the matter.
https://www.bloomberg.com/news/articles/2023-10-10/finland-gas-pipe-leak-probe-proceeding-on-premise-of-sabotage?leadSource=uverify%20wall
PTAL back at August's price 😳 from 49p a few days ago. Profits growing, FCF growing, divis growing, cash growing....brokers have initial targets of 100p -150p
https://twitter.com/surprised_trade/status/1711676785329410469
.pulled back from 270p, with oil & gas rising expecting a challenge on 270p+ ahead of ex divi (9p) day 26.10.23
https://twitter.com/surprised_trade/status/1711675197802025314
''...expectations of a continuing strong performance and we are encouraged that the Investors Chronicle, and the Peel Hunt analysis to which it refers, both hold Serica as a recommended buy on the basis of their analysis. ''
IC view ''...a solid position and the higher oil price should drive up sales in the second half. Buy.''
Macro events always trump gas/oil sectors/companies and sp's are affected accordingly as all markets and sectors have seen a drop over past week there is nothing Kist specific in the share price movement alone ....markets will test holders with low tolerance, it's what they do on occasions.
Https://twitter.com/surprised_trade/status/1709496480183050305
new broker note out re Serenity opportunity ... WHI View: Value for the Serenity area is not included in our 25.6p fair value estimate for i3 Energy and therefore, the field represents potential upside
broker raises target to 25p+ with Serentity upside not included in original target providing further upside
And SQZ ha sno shortage of buyers for oil at higher prices than just three months ago, with hedges falling off going forward and OPEC ensuring demand outstrips supply...winter will no doubt see gas prices leap over coming weeks too, so unlike many sectors demand is good, business outlook is good and SQZ will be generating, profits, cash, divis etc
With respect upomega, it's the general market overall that has dropped across all sectors, oil and gas stocks have been included in the drop as market algo's push sp's down acrosss the board.
Thankfully, unlike many sectors, oil stocks are typically generating, profits, free cash flow, have cash balances and are paying very decent dividends, there are few other sectors that tick all those boxes
Although markets are currently sliding overall, from an investor view we can only seek out, profitable, cash generating, divi paying, (no/little debt) stocks that will eventually see fundamentals win out