| | | I think there may be some truth in what maverick61 is saying, but I don't think it is the whole story. Despite my intention to be a long-term investor in D, its recent sharp decline gives me pause. D is down 21%--or about $17--since the start of the year. The merger proposal was announced Jan. 3, and from that date until the FERC ruling was announced on March 14, D fell about $7, or around 9%, during a period when the overall market was about flat (actually up slightly).
Most of D's decline--about another $10, has occurred since the March 14 FERC ruling. I am just not sure all of the YTD decline can be attributed to the proposed merger, as Dominion Midstream and Dominion have certainly been hurt by the FERC ruling.
Far be it from me to disentangle the two effects. Certainly the Scana merger is looking pretty messy right now, but most of D's decline has occurred in the past month, since the FERC ruling. I feel pretty confident they both have been factors in D's poor performance. Like most here, I hope D recovers and thrives, but I do pay attention to price trends over (mostly over a longer period of) time, as possible indications of any meaningful problems with the company. I hope this is not the case with D, but I will continue to monitor it.
Finally, since most of my D purchases have been this year, I am in a sea of red ink. I am at least thinking about selling some D shares at a loss, as I have a large gain already this year. Unless something were to change drastically, I would look to buy them back some time 31 or more days later. |
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