Natural gas prices have remained subdued for so long that critics have started to write off the entire sector and companies operating in it. Falling profits and as a result, falling stock prices, are testimony that analysts were not wrong in peddling the idea of excess capacity built up in the past.
In a 13G filing last week, SAC Capital announced it had increased its stake in Bill Barrett Corporation (NYSE: BBG) to 2,659,491 shares, a 5.5% ownership in the company. The company is an explorer and producer of natural gas in nine basins in the U.S. Rocky Mountains.
During 1Q 2012, Steven Cohen of SAC Capital owned less than 1 million shares after upping his 4Q 2011 more »
I've read several articles suggesting that stocks that pay dividends are so much in favor, that there might be a dividend bubble much like the famous dot.com bubble of the year 2000. However, not all dividend paying companies are created equally, and this year 14 new names were added to the dividend aristocrat list. One of the new names that was added this year was MDU Resources Group (NYSE: MDU). The company is an oil and natural gas exploration company, construction materials company, and a diversified electric and natural gas distributor all rolled into one. Many investors assume that utilities all basically work the same and look for higher yield as the defining factor between which stock to buy. However, for a company to be a good long-term investment we need to look not only at yield, but also payout ratio and dividend growth.
Energy stocks have been heating up recently due to the prospect of rising oil and gas prices in light of political tensions with Iran and the need for Iran’s largest customers to look elsewhere for their energy needs if an embargo is put in place by the European Union. Energy companies with few to no interests in the Middle East stand to gain the most as the demand for more »