Diversified Energy Share Discussion Threads

[fardels bear] 17/3/2022 18:44

Correct. Good news! We've bored the downticker to death.

[campervan1] 17/3/2022 18:29

That would be 15%

[sunbed44] 17/3/2022 18:27

Gvq and camper thank you both. Out of interest before I contact them, do you know if and what they withhold if you hold DEC shares in ISAs

[campervan1] 17/3/2022 17:47

And I've just had confirmation from Hargreaves Lansdown that there will be zero WHT in my SIPP.

[qvg] 17/3/2022 17:37

sunbed 44. I have my SIPP with AJ Bell. No WHT deducted from US shares' dividends, no W Ben 8 required

[podgyted] 16/3/2022 22:15

Every so often I come here and think "good" 15 new posts.

Every time I'm disappointed 'cos its another discussion on the bloody taxation of dividends.

[gary1966] 16/3/2022 12:27

Elsewhere must have some pretty big cons unless you have a small holding of DEC as that would really add up over a year losing 30% of your dividends.

[sunbed44] 16/3/2022 12:21

Halifax are a nightmare to get definitive answers from but there is definitely no way around them stopping 30pc even if in SIPPs. I have a lot with them but still make 8.5pc even with the big hit. Am looking to move SIPP to circumnavigate this preposterous situation but not decided where to move to as there are pros and cons with them all.

[lab305] 16/3/2022 11:07

Yep . Every three months. As I suggested before there should be a special thread just for dividends.

[sunbed44] 16/3/2022 10:43

Halifax stop 30pc withholding tax no matter whether in SIPP or not and the W8ben makes no difference with them at all. We go through this on here every 3 months

[campervan1] 16/3/2022 10:01

Thanks for the response. All the more reason now to take up a position here!

[ramellous] 16/3/2022 09:51

Yes, I have many US dividends coming into my sipp and there is no withholding tax.

[gary1966] 16/3/2022 09:39

Yes. Outside of SIPP not so clear cut as seems to depend if your broker is part of a bank.

[campervan1] 16/3/2022 09:29

Can anyone give me a definitive answer to this?
I've completed the W-8BEN form and I've read somewhere that US dividends are exempt from withholding tax for US shares held in a SIPP.
Is this true? Thanks.

[1knocker] 15/3/2022 10:22

Bought some more today at 106.6. Its the total return, not just the SP, which matters. When shares are on sale, buy.

[sunbed44] 15/3/2022 10:17

Spot on mate i just like to throw the odd error in to ensure people are reading carefully ha ha ha thanks for spotting

[gary1966] 15/3/2022 10:16

sunbed,

Think that should be pqtr not pa.

[sunbed44] 15/3/2022 10:06

Im in here mainly for divi but any share price growth would be very welcome. So long as they hedge whatever they need to to fund debt reduction and sustain plus 4c pa divi i dont give 2 hoots

[asp5] 15/3/2022 09:50

DEC have locked in an accelerated debt reduction path that means all current debt will be repaid over next 8 years. It is very hard to go bust/hit problems when you have no debt and stable margins of ~50% (especially given most wells will produce for another 50+ years). This will put them in a very strong position going forward and in my view is the right thing to do for long term value delivery. For me this translates to a secure 11+% return for many years to come.

I also expect steady long term share price appreciation for those with patience as DEC mgmt. have shown/demonstrated the discipline to only make accretive acquisitions.

There has been short term share price volatility as concerns over dilutive growth, green issues, ARO, concerns over acquisition costs (due to high gas prices) etc. have hit one after the other. DEC have clearly addressed each of these topics so time is now needed for them to demonstrate results - with share price then benefiting subsequently.

I see current share price weakness as a fantastic opportunity to build my position. Taking a step back, DEC share price has gone from 60p to 108p over the last 5 years (including a number of capital raises). This is an 80% increase (~12% pa avg return in addition to dividends). Most analysts currently have share price targets 30-40+% north of where we are today.

I think on balance of risks that DEC is a solid value buy at the moment.

[lord gnome] 15/3/2022 07:35

The GBP sinking against the dollar means that the upcoming divi is worth 3.25p per share. Even after 15% tax that's an annual rate of 11p per share. DEC is silly cheap.

[sunbed44] 15/3/2022 00:26

Got a lot of focus on shares with good capital growth potential and that either pay a dividend that should grow from here or will hopefully be doing so soon. Got decent holdings in DEC 11pc yield i3E 6.5pc yield JSE 1.75pc yield SAVE hopefully starting at 2pc next year SEPL 7pc and WEN 7pc. At least when shares dip you are automatically buying on the dips if reinvesting dividends and you get lucky with payment cycles. FAB to get strong monthly dividend at i3E who pay monthly- better than going to work LOL

[sunbed44] 14/3/2022 22:06

Just keep taking fantastic dividends set to auto reinvest at these crazy low prices and when share price does rise to 130 - 160 you will reap really solid gains. Too many people watch and worry about short term movements in this game.

[scrwal] 14/3/2022 21:38

There will be share price inertia now because of the very high hedging in the next 2 years as the income looks to be basically fixed. However margins will be hit as taxation costs are based on market values of gas not the lower hedged ones.

The company can't boost things as even an acquisition will reflect the higher prices so all that could be done would be to buy unhedged production so they could lock in a higher cash flow in the shorter term if prices are expected to remain stable.

The longer term planning is experiencing short term pains.

[lab305] 14/3/2022 20:54

There is a complacency on here as they pay a good dividend. Imagine what they could pay if they hadn't sold off all the family silver for peanuts. I understand that they must hedge a percentage to assure debt repayment and dividend but 90% ? They don't need to be fortune tellers as they see demand way ahead . Now they are way behind the curve and will be so for years. The graph is terrible and price pathetic. I am still a large holder here but not wearing rose colored glasses.

[simplemilltownboy] 14/3/2022 17:14

Very surprised as well. Given strong forward prices, higher hedges, appreciating dollar and the fact that US gas is a relatively safe bet in this market. I will just wait for the next divi.GLA