With few exceptions, energy stocks have been taken to the woodshed this year.
Fortunately, some proactive hedging has helped to offset some of the downside in our Model Portfolios. In January 2014, we began to take profits in some of our riskiest holdings and add exposure to airlines and other industries that tend to benefit from lower oil prices.
In this issue, we reassess our picks in the airline, cruise, convenience store and petrochemical industries in light of the increasing risk of a bear-market correction in 2016.
The severe downdraft in the prices of crude oil, natural gas and natural gas liquids has pressured producers’ cash flow and outpaced reductions to service costs and capital expenditures. Accordingly, the cash flow shortfalls that predominated in the salad years have continued in the lean years, setting the stage for further spending cuts in 2016.
Data from the Commodity Futures Trading Commission indicates that hedge funds and other institutional investors have shorted the equivalent of 160 million barrels of West Texas Intermediate via futures contracts.
The US-oil-directed rig count ticked up last week, but investors shouldn't overlook the reduction in international drilling activity.
With the exception of upstream operators, master limited partnerships have held up reasonably well relative to other groups in the energy sector. We survey some of the risks and opportunities.
The recent wave of general partners acquiring the master limited partnerships under their auspices doesn't reflect a fatal flaw in the structure or this relationship.
Sensationalist predictions about oil prices have become all the rage over the past two months, but they won't necessarily help investors make money. We explain our outlook for crude-oil prices and why a buying opportunity may be around the corner.
Fluctuations in the US dollar's value relative to major international currencies can influence crude-oil prices. But many more important factors are also at play.
We attended the National Association of Publicly Traded Partnerships' MLP Investor Conference and lived to tell the tale. Here are some of our key takeaways from the most important event of the year for MLP investors
Schlumberger's quarterly earnings call usually includes loads of useful insights for energy investors; the company's most recent conference call was no exception.
Elliott and Roger on Nov. 30, 2015
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.