Diversified Energy Share Discussion Threads

[bluemango] 02/10/2023 15:01

Assume today's jitters were related to fears that high interest rates could stay for longer than anticipated? As evidenced by strengthening dollar again.

[johnhemming] 02/10/2023 14:48

>Alotto. Your conclusion is incorrect. You are not including revenues from pre contracted sales for the next
>12 months at 50% gross margins and circa 30% free cash flow margins. The company would only need
>the $120 million to "run the business" of it had no revenue.
Although that is true, there are cash flow implications of movements in the price of gas. As the gas price moves upwards they need less working capital and get a cash flow boost.

Hence the recent 10% price increase should increase liquidity in itself.

[stevensupertrader] 02/10/2023 14:36

DEC still falling now under 78p - yield is flying but Share Price is falling off the cliff. Who really dare to BUY ! even Buy back cannot stop this run away train 🚂 heading into capitulation

[cassini] 02/10/2023 14:21

It's clearly the US market doing this. There's a lot of stress in the markets judging by interest rates blowing out higher still (US 10 yr 4.65%).

Also the dollar index is 106.75.

Bit of a disproportionate hit for DEC today though.

[alotto] 02/10/2023 13:56

"Dividend yield and Share price moving in opposite direction" that's always the case.
Something must have caused the sudden fall of the share price in the afternoon.
God knows what's brewing behind the scenes

[stevensupertrader] 02/10/2023 13:55

DEC broken through the new low of 79p .
The BB ( buyback) really wastes of Company funds - DEC now yielding over 17.5 % annually . Dividend yield and Share price moving in opposite direction .

[aleman] 02/10/2023 09:33

jh - Operators cut gas rigs last week (higher maintenance than normal, I think) and there was strike news in Nigeria.



In a move that could cut output in coming months, U.S. energy firms last week cut the number of oil and gas rigs operating for the first time in three weeks, energy services firm Baker HughesBKR.O said on Friday.

U.S. oil rigs fell by eight to 507 last week, their lowest since February 2022, while gas rigs dropped by three to 118.

[lomand01] 02/10/2023 09:18

Alotto. Your conclusion is incorrect. You are not including revenues from pre contracted sales for the next 12 months at 50% gross margins and circa 30% free cash flow margins. The company would only need the $120 million to "run the business" of it had no revenue.

[lab305] 02/10/2023 08:19

Yes cash .They have spent next to nothing so far. Every penny spent saves 17%. Good point on watching Eric though.

[johnhemming] 02/10/2023 07:59

The US gas price jumped about 10% to around 3.2 on 27th September. Does anyone know what caused this?

At the moment it looks like it will stay there.

[alotto] 02/10/2023 07:31

What weapon? Cash? DEC has some $120 millions liquidity. They considered a buyback of about $75 millions. That would eat up most the liquidity available, which is needed (to an extent to me unknown) to run the business.
We only need to see and wait what's going on in the next trading update. In the meantime I am keeping an eye on the outgoing CFO (his LinkedIn profile), I am curious to see what is the career he is going to pursue.. or if something is fishy around his resignation.

[lab305] 02/10/2023 07:16

Friday no buybacks.....shares dropped. Will they ever learn or do they just not care ? They refuse to deploy the one weapon in their armoury to fight this 13 month relentless fall.

[alotto] 01/10/2023 12:55

Check this video




The following is from the latest announcement from DEC:
Creating Value Through Stewardship
"Increased MSCI sustainability rating to AA"

How much confidence could this give to investors?

Thank you to all of those that can enlighten me.
Ale

[meanreverter] 29/9/2023 19:50

IG paid the dividend today at the rate of £0.811522 per dollar, rather than at the £0.80436 rate announced in DEC's RNS of 19 September. I'm not complaining, as it happens to be favourable by 0.89%.

[cassini] 29/9/2023 19:27

Thanks for the commiserations folks, I suspect more than a few here have been touched by the curse of the dual mass flywheel ;0)

I've just had an injector replaced as well and they're not cheap either. As it's the weekend I'll continue the off-topic theme a little to reply to points raised:

The first thing I asked the garages who quoted (£1,250, £1,350) was to ditch the dual mass flywheel and fit a solid flywheel with a conversion kit. No can do they said, there is no conversion kit for your car. There is a conversion kit for the 109 bhp 1.6 hdi engine, but none for my 112 bhp 1.6hdi engine ;0)

Oh, the 109 bhp solid flywheel/clutch conversion kit would fit on my car just fine but my driveshafts aren't rated for 112hp transmitted via a solid clutch, they'd have to be changed too and that would negate any saving...

So I asked if they could just replace the clutch friction plate and leave the dual mass flywheel be. I mean, I've never had a solid flywheel wear out on me, are dual-mass ones that more fragile? No one would do it. They wanted to do it by the book.

My options are to bite the bullet or seek out the darkside of the garage fraternity under a railway arch somewhere and wave cash in front of them for an unapproved repair ;0)

[1knocker] 29/9/2023 18:30

Yes, HL have now credited my account too. My largest ever DEC dividend - long may it continue.

[bluemango] 29/9/2023 17:35

HL has now credited the dividend.

[loafingchard] 29/9/2023 17:35

The dual mass flywheels start to clatter as the springs weaken over time, not considered serviceable under normal circumstances.

[loafingchard] 29/9/2023 17:33

Dual mass flywheel only needs replacing if its misbehaving, that said half the cost is usually labour so arguably worth doing while the gearbox is out. You can replace the dual mass with a traditional solid flywheel but expect it to be a bit lumpy on idle. The dual mass is designed to reduce vibration and is standard issue on modern diesel cars.

[cassini] 29/9/2023 17:15

ii has paid the divi.

I need the cash, my car's clutch has just started to go and it's paired with a dual-mass flywheel that must be changed at the same time.

I needed a stiff drink after hearing the quotes...

[lord gnome] 29/9/2023 17:12

ii paid on the nail as always.

[joey52] 29/9/2023 16:14

AJ Bell not paid today either and they normally pay on the day, in the afternoon.

[1knocker] 29/9/2023 15:54

Very irritating. HL paid my IMB dividend today, but not the DEC divi. So I guess it sits in their bank account rather than mine over the weekend, if not longer.

[1knocker] 29/9/2023 09:49

Anyone proposing to reinvest the dividend might do better to put in a 60 day limit order a shade below today's price. Not much joy in buying today and competing with others reinvesting the dividend. its a volatile market, 60 days will get you in before the next ex div date, and you can earn a bob or two on the money while you wait for the order to trigger. The share price may run away from you and you will miss the boat, but it has not shown much sign of doing so recently.