Member Info for TerryM1

“Diversified Energy Company announces the vesting of certain Performance Stock Units and Restricted Stock Units

Rusty Hutson, Jr 42,007

Bradley Gray 26,546

Benjamin Sullivan 21,902“

They are giving themselves more shares as they think they are doing a good job crashing the SP, you can’t make it up.

This happened before after the SP collapsed, Rusty just gives himself more shares to compensate for the SP tanking which he caused.

Good job they did not crash the SP even more otherwise they need to give themselves more shares.

Jim800

I think we agree on more than it seems

“JC - my point was that eventually the share price will catch up with the value of the company.

I’ll concur that some DEC actions may both improve profitability longer term but simultaneously depress the share price in the shorter term. Fundamentals should win out in the end.”

My point is that this will never happen unless Rusty stops acquisitions for a time/long time, does not overload DEC with even more debt and stops diluting the shares. I agree Fundamentals are probably good but hard to tell when everything keeps shifting beneath your feet and the market will not look at these too much until some stability returns, if it ever does.

Also the mess of the Maverick deal and others has left DEC with a large amount of long term high interest rate fixed price debt, markets don't like companies with huge debt, especially ones who show no signs of reducing it and in DECs case want to keep increasing it. Add in Share dilution as part of the deal and a fire sale of shares diluting the shares even more. It has left DEC with a very poor reputation for financial competence. I very much doubt this deal is accretive with all the additional costs, share dilution extra dividends to pay for ever and to make it worse this is by far the biggest deal DEC has ever done and they messed it up big time.

“I’m happy taking the dividend til SP catches up with NAV - though accept it is frustrating that this point shifts to the right after each additional acquisition.

I’d also agree (as I have for a while) that a pause to recognise benefits and allow SP to “catch up” would be good for share price.”

My point exactly and as Rusty has stated the future strategy is aggressive acquisitions so will keep shifting to the Right and from recent history the shift to the right is accelerating.

JC01

"Stifel another House Broker hyping it up today"

Saw that, but this nothing new, broker paid by DEC tell us DEC is undervalued and DFS tells me a need a new sofa.

These increases have been put in place to meet Government obligations. The UKs population is rising steeply which is putting pressure on all infrastructure including the water companies so extra cash is required to improve the system along with stricter regulations. SVT has raised a lot of money from shareholders in the last few years to pay for these along with increased water bills not good back a fact of life in modern Britain.

Trek

I am also in AGR which I bought a time ago so this is just cutting my losses but it has boosted PHP which I bought latter and in profit. I am keeping an eye on GABI, GRIO and RMII as I do not have these and they will be taken out/wound down at some point and my ASLI has started winding down and paying out.

A more risky investment I am also in is SRT Marine, they have a large order book and doing well, a small company but worth a look.

Looks like PHNX is back in favour, will hold onto this as doing so well with good yield.

Jim

"Terry - the strategy I was referring to was the one to make DEC a profitable company (not the one to make your shares worth more every day). I still don’t see anything to show that acquisitions have made DEC (not Terry) less profitable."

This is where we differ, I buy shares to make money not to support a company profitable or not, you say I expect the the shares to be worth more every day, I say been going down for 3 years not just days, weeks or months, this is not a short term blip.

"Your car analogy is ludicrous! I never said shares should be worth what they cost years ago"

You said it is only a paper loss therefore if you bought the shares years ago like me what do you value them at? I use market price. Car analogy is ludicrous but that is the way you are looking at this, something is only worth what someone will pay for them.

Trek

Well done with your DEC and HEX trades.

I bought a few yesterday for a quick trade and now just in profit, hoping the trend keeps going so get out with some profit.

The main part of my investments for a time have been going into ITs/REITs being wound down or under take over threat, API almost gone and just got the good news on HEIT, not as profitable as your trading but giving steady good profits.

From longer ago got good returns from PSSL, EPIC, BCPT and RDL with a surprise payment today after they said all money returned.

JIM

"How long to prove the strategy"

Until Rusty stops machine gun acquisitions, and so far every one trashes the SP and by Rusty's statements it will be a very long time before he stops.

"I haven’t seen anything that proves acquisitions have not proven profitable"

I have seen that they are not profitable to me otherwise I would not have lost money, when I invest all I am interested in is total return not jam tomorrow, might, could, maybe or supporting a share like it is my local football club.

"In your situation you may only be able to borrow less, you haven’t “lost” any money."

Shares are worth their market value not what they are priced at 2, 3 or 10 years ago, I do not buy shares in perpetuity. Bit like saying my old car I bought 10 years ago is still worth it’s purchase price not the current market price.

There is also doubt on how much I can borrow against DEC as they have proved to be unstable, high debt, dividend cuts, lies etc. This is not the company I bought into and I did not get a vote on the complete change of direction.

Anyway looks like NY dragging LSE up now, a small amount of good news.

VistaMan

Good point, most likely all of the reduction in Blackrock % are the new Maverick share dilution and I should have taken this into account. I have been looking but can easily find the exact number of DEC shares partly as they are spread across 2 markets and they keep issuing more, looks like about 81m, on 28/2/25 there was 59,79m so add in the new 21m which gives the 81m and new Maverick shares around the % as Blackrock reduction so as you say just the new shares.

However something else is going on otherwise the change in shareholding and financial instruments would have been the same %, perhaps Blackrock moving from financial instruments to shareholding.

Https://www.wsj.com/finance/commodities-futures/uranium-bulls-get-spooked-by-unknowns-from-canada-to-russia-5fc7b1de?siteid=yhoof2

Can't get beyond paywall, tried paywall remover which usually works but you can a brief summary. Once this is archived may be able to get to it.

Jim800

Great optimism pity it is not borne out by events and the market does not agree, still I guess we live in hope after all what else is there.

"SP up 10% yesterday"

Yes some very good news looking at this I think a relief rally that the report was as expected and did not contain any bad surprises.

"The strategy might be correct, it’ll just take time to prove it"

How long, DEC SP has been falling for 3 years.

"Blackrock only reduced their actual share holding by 0.3% the rest was CFDs/ derivatives etc"

Whether they are derivatives or shareholdings it makes no difference they are added together to get total holding and the PL/risk is based on the total holdings which is down 3.04% or to put it another way reduced their holding just over 35% in a very short time while the SP was very low, does not bode well.

"If you two are so set that it’s just for trading then don’t be surprised if all rises are sold into as that’s your declared strategy"

I don't think our strategy will make a jot of difference to the SP, we are so insignificant neither of us can even get an acknowledgement of messages sent to IR months ago.

The way I look at this is I have lost a lot of money investing in DEC shares (my biggest loss by far) and made a decent amount (nowhere near enough to offset losses) trading DEC, been in and out 8 times and have 2 more trades showing a profit waiting to be sold. For me it is obvious what is the best course of action, from my experience trade to make money hold at your in peril. After all Rusty is on an aggressive acquisition strategy when 8 out of 8 of the last acquisitions have trashed the SP.

"Time will tell, it’s not a loss till you sell it"

Not in my eyes, I value my holding at current SP for all shares, funds etc, it is the only thing that makes sense at least to me. At some point I may wish to borrows against these when I relocate abroad as it is tax efficient and the banks will look at the current valuation.

Anyway NY opens soon and no selling in premarket but premarket price is $12.79 (don't know how they figure that out except same as LSE price), lets hope the SP can hold up there and drag LSE up, very long way to go.

"Any increase will get sold into"

Unfortunately you are correct and I stated this before, it took a time to get rid of the shorts again caused by Rusty running of the company and now replaced with a much bigger share overhand from the deals and underwriter and even Blackrock who have been in DEC for a time are pulling out at low SP.

The fundamentals of the company are good but the running is appalling especially treatment of shareholders which Rusty takes for granted and as far as he is concerned are only there to supply him with extra cash when needed. This is born out by the 4 messages sent to IR and 1 to Peelhunt in the last 2 months and not even an acknowledgment of receipt.

"This is not down to serica managers"

Then who got us into this, it did not just appear on the books by magic.

Groundhog day, this company is accident prone never fails to unimpressed, looks like they bought a load of scrap as well as a load of debt.

More bad news, BlackRock reduced from 8.51% to 5.47%, looks like they had enough as well.

JC01

Unfortunately spot on, all of these deals are meant to be accreditive but I would like to compare DEC's NAV, which is at a high discount to the NAV to the NAV of the deals which is at a much lower discount from what I can see. If this is the case I am almost certain it is then BBs are much more accreditive but do not fulfil Rusty's ambition to become the new JR. The shareholders are stuck in Groundhog day destined to stay there or take large losses as Rusty grows his empire solely for the benefit of Rusty. I guess if you stay long enough the US government will change and DEC faces a bigger ARO problem (as number of wells increase and capping only a tiny fraction) and other ESG issues also we can't reply on HH staying high as Ukraine war may end and Russian gas enters the western market again. With Rusty in charge as you say the LTS are ****ed and who would want to buy into this for an investment, just left with traders.

I find it incredulous that Rusty can have messed up the last deal so badly and still is looking at an aggressive acquisition policy, doing the same thing over and over again and expecting different results is the definition of insanity.

Looks like are recovery is over for now as the SP is dropping, the most depressing investment I have made.

Been wait for the HEIT bid for a time and patience paid off, perhaps GSF next but unlike HEIT whish I bought recently because of potential bid can see a bid high enough for me to break even, however only have a small amount in GSF and it has raised the SP so good news.

JIM

"listening to Rusty in yesterday’s presentation he’s not finished with acquisitions. He mentioned an aggressive acquisition strategy and that there are good deals out there!"

Looks like the last debacle has taught Rusty nothing, quite scary as it looks like it is going to be near impossible to get out of DEC without loses, if your in a hole stop digging comes to mind. Difficult to know where he is going to get money from except FCF but that will not give Rusty what he wants quickly enough or a cut in dividends which are meant to be fixed for 3 years. He maxed out the credit card, not sure any company will want DEC shares as part of a deal now and a fund raise also looks out of the question without almost giving the shares away and no chance of underwriting the issue after the last lot got badly burnt. Just wish the IIs would do their job, protect their investors and put an end to this madness.

Will be very surprised if we get any significant BBs, just another Rusty fairy tale to add to the list.

Guess best option to sell out after a period of no deals and back in on the next deal after Rusty crashes the SP, certainly would have worked for the last 8 out of 8 deals, problem is how long to wait to sell out.

Andy144

"'Called me out'?"

Don't be so pathetic."

I did call you out as you were so full of it about trading and and I said if you are so clever post the trades as you make them, you waited for a number of days while in loss and did not post it until it was in profit.

"Don't be so pathetic."

Resorting to insults again keep it up I don't care in fact if you want to a better job try

https://www.rappad.co/insult-generator

"Unfortunately I looked at the thread on my Ipad which wasn't logged in and therefore I saw your BS post. So had to 'call you out' for posting utter rubbish."

Really, so why reply and keep replying to my latter posts or is filtering too complicated for you or is it just another excuse for more insults.

Andy144

You said you filter me as you got annoyed after I called you out as you posted a trade which was almost a week old on the day you went it profit to try to prove something.

Well I am glad you told me it is not the NS, would never have know that. However DEC SP is fragile after all that has happened and a small amount of bad news is likely to have a large effect on the SP.