We begin this morning at a new all time high and in breakout mode on the MLP Index. Scroll down for last night's earnings news. No breaking news so far this morning. We do have a downgrade this morning as Wachovia lowers Regency Partners (RGNC) to marketperform from outperform . They reported earnings yesterday which looked okay and the stock price held its own yesterday.
Sometimes these "downgrades" afford buying opportunitites and if you have been looking for a chance to get in at lower prices....using the moving average support lines as logical entry points is not a bad idea. The question here is whether the downgrade is at the beginning of a period where the stock doesn't do much or trends lower or whether this is a one day blip.
We have earnings this morning from Eagle Rock Partners (EROC) the new issue...its their first report since their IPO 2 weeks ago.
Not much else happening. LIN Energy(LINE) has a conference call this morning on yesterday's earnings which blew estimates away...they are revising guidance for next year and the call should clarify any questions. This one is going to a 2.08 annual distribution in January and at today's price is yielding 8.23 %!!! If priced to the group the stock should be at least near 28-29 imho.
Btw for those of you that are interested in the weightings in the MLP index this should help. Enterprise (EPD) has the biggest weighting here at nearly 15 %..Kinder Morgan Partners has a 5 % weighting. Eagle Rock is being added to the index and Pacific Energy Partners (PPX) is coming out now that the Plains All American merger is being completed.
joseph cioffi's Source Page - Associated Content
4 comments:
one market data service has KMP as 12% of the AMZ ... not sure which is right. etp also has their call this afternoon which should prove interesting given all their m&a and financing activities of late. also wonder if the demise of the candian trusts is having a positive impact on mlp's as yield players move south of the border.
where do you see that LINE is going to 2.08 in January? I saw the release that got them to $1.72 (.43 a quarter).
Help!
Thanks,
i got the numbers from the index website so my guess is thats the correct number...i was surprised to see EPD at a 15% weighting...so much higher than KMP.
i've been wondering whether the MLP breakout is like the breakout in 2000...which means its forecasting a recession and a ten year rate dropping to 4%?
As per ETP...i'll be waiting for details as well.
check on yahoo on past press releases. They pre-announced the increase to 2.08 back in August i believe. I'll post the link.
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