International energy stocks have done extraordinarily well this year, juiced by a recovery in oil prices and stabilization in the value of the Canadian and Australian dollars—currencies that had come under significant pressure in recent years.
On a year-to-date basis, the 13 holdings in our International Portfolio’s conservative sleeve have gained an average of 20.5 percent. The seven stocks in our aggressive sleeve, which entail more exposure to commodity prices and absorbed a harder hit during the down-cycle, have generated an average total return of 55.9 percent.
As part of our background work for this issue, we’ve updated our comments and ratings for the more than 90 names in our International Coverage Universe. We discuss our key takeaways from this exhaustive (and frequently exhausting process) and highlight our best investment ideas in this universe.
These emerging shale plays are driving the recent recovery in Midcontinent drilling activity.
Master limited partnerships issued significant amounts of debt and equity to build pipelines and other infrastructure needed to support the shale oil and gas revolution. The midstream construction boom has started to wind down, ushering in a period of consolidation when management teams focus on strengthening their balance sheets.
Weak demand, a wave of contract expirations and excessive leverage are all reasons to remain bearish on offshore contract drillers. Investors should continue to avoid these value traps.
Overall equity issued by energy-focused master limited partnerships (MLP) declined by 58 percent last year; we expect this trend to continue in 2016.
The energy industry’s growing consumption of fresh water for hydraulic fracturing and approaches to disposing the resulting wastewater have created significant challenges. We highlight some of the solutions.
This week brought rush of third-quarter earnings and three acquisitions involving midstream MLPs. Here’s our take on this flurry of deal announcements.
US oil production appears to be bottoming, but investors seeking to profit in an environment where prices will likely range between $40 and $60 per barrel must pay attention to basin-specific trends as well as companies' balance sheets and acreage quality.
We delve into some the recent trends in mergers and acquisitions involving master limited partnerships and other midstream operators.
Second-quarter earnings season is done and dusted for midstream master limited partners (MLP) that own pipelines, processing and fractionation capacity.
Elliott and Roger on Dec. 27, 2016
Balanced portfolios of energy stocks for aggressive and conservative investors.
Our take on more than 50 energy-related equities, from upstream to downstream and everything in between.
Our assessment of every energy-related master limited partnership.
Roger Conrad’s coverage of more than 70 dividend-paying energy names.