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skinneej
Prolific Poster
11907 Posts |
 Posted - 09/09/2010 : 09:44:41 AM
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| @ 37.31... At that price the dividend is at 9% yield and they have been paying them pretty steadily since 1987. In this market, as long as they keep paying the dividend, I don't mind taking that kind of return for a while. If the stock takes another dip over the next few months and get's the dividend > 9%, I will probably double down. |
Edited by - skinneej on 09/09/2010 09:45:31 AM |
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JordanOnaYak
Senior Member
1000 Posts |
Posted - 09/27/2010 : 5:59:38 PM
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I have been trying to get a feel for when they may resume their dividend. If it takes 5 years for them to start paying again while they rebuild their cash reserves, then it might not be worth it. Also, if it does resume, I would expect it to be lower per share to account for the lower share price.
14' Pamlico 140 Angler w/ rudder
Kayak, SCUBA, or both. |
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skinneej
Prolific Poster
11907 Posts |
Posted - 09/28/2010 : 9:34:16 PM
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| They said that they will revisit it in 2011. The stock is priced as it was in 1998. They make about $20 billion a year, so even if the oil spill costs them $40 billion, you are talking two years of earnings. I think that they already took a 32 billion write off (20 billion set aside for cleanup already). Regardless, after they pay for it, they are back to making money again... Most of GB workers probably have BP in their pension. It's in their best interest to give them any british government support that they can! |
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JordanOnaYak
Senior Member
1000 Posts |
Posted - 09/28/2010 : 11:01:46 PM
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But do you think they will reinstate the dividend at the previous amount? I kinda thought that they would slash it to half like most companies that see share value dive like that.
14' Pamlico 140 Angler w/ rudder
Kayak, SCUBA, or both. |
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skinneej
Prolific Poster
11907 Posts |
Posted - 09/29/2010 : 10:16:37 AM
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It's really hard to say. I think that their payment has been some percentage of net profits (40% maybe???). It will be interesting to see if they resume with the same dividend policy next year. Also, they might make less net profit over the next few years depending on how they charge off the oil spill. I'm not buying this stock for a quick trade. I plan on holding it as a long term asset. Also, recall that their profit revolves around the price of oil, etc.
According to http://en.wikipedia.org/wiki/BP, "BP's UK dividends represent approximately one-seventh of all dividend payments in the UK and form the basis of many pension schemes." I would think that the British government needs to do everything that they can to help BP recover or they may be facing a pension crisis (or at least a voter crisis pissed about their pensions).
Anyway, I plan on buying some more, but UNDER $40. I got it at $37.31 so I am up 7% since purchase. Hopefully we will see another pullback or something. I"m definitely jealous of those that got it around $30. |
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Mandopickr
Senior Member
378 Posts |
Posted - 10/06/2010 : 09:21:17 AM
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| Well, so much for your pull back, but $4 a share in a month should be some consolation. |
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skinneej
Prolific Poster
11907 Posts |
Posted - 10/06/2010 : 12:14:12 PM
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Yeah, it has me up 11+% so far, but I think that the whole market has been pretty hot and heavy for the last month. I also bough some ERF @ 20.14 per share a year or so ago. They pay a monthly dividend of 18 cents which gave me 10.7%/yr on my cost basis. It's been pretty flat up until September and then it's been hot with the rest of the market. I'm up like 32% since then. I think that is the stock that I am excited about the most right now. When natural gas prices are high, they seem to pay a pretty juicy dividend (2-3x as much as right now). They are about 50/50 nat gas/oil.
Looking at this chart:
... it seems that if you bought natural gas around the $4 range (current prices), in the past decade that you did pretty well most years. That's my simpleton logic on this stock. I probably won't buy any more until winter time. If we have a cold winter and natural gas prices rise, well, then I get a nice dividend. If we have a mild winter and natural gas rates fall back down to below $4 or this stock get's hit hard, then I will probably buy all that I can. Either way, I am getting paid to wait with a nice dividend!!! |
Edited by - skinneej on 10/06/2010 12:15:59 PM |
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skinneej
Prolific Poster
11907 Posts |
Posted - 10/12/2010 : 11:28:38 AM
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| They changed the chart on me!!! It originally showed back over several years. |
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Mandopickr
Senior Member
378 Posts |
Posted - 11/10/2010 : 9:10:11 PM
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| GOt tired of holding Fidelity Nat Gas Mutual Fund without anything to show for it, so sold all shares. LNG has had a nice run up since September, and TTM is getting close to doubling. Market has had a nice run up since September, so time to some profits. Even HQS is starting to have some momentum. |
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FatCat
Senior Member
366 Posts |
Posted - 01/12/2011 : 10:33:48 AM
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You are looking pretty good with BP, after the last few weeks. looks like it will continue to move if the dividend will be reinstated in the next couple of months.
Was looking at CHK again, but I think I missed that boat. |
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Bought some BP stock the other day...
