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Strategies & Market Trends : Dividend investing for retirement -- Ignore unavailable to you. Want to Upgrade?

To: Steve Felix who wrote (5915)	9/23/2010 10:44:29 AM
From: E_K_S	Read Replies (1) \| Respond to of 34328

Hi Steve - Funny you should mention EGAS. The stock has been bouncing around recently on low volume. I put a GTC order to double my position at anything below $10.00/share. Based on their annual dividend payment this would represent a 5% yield. The stock needs to fill the gap made on Dec 21, 2009 where it traded 368K shares and had a price range of $8.40-$11.15. Because this stock is so thinly traded, a 20% daily price move is not unreasonable especially with an event like a secondary offering. (It's not really a secondary but it's a plan that allows the CEO to sell his restricted shares he received by merging his small NG company into EGAS). I have been studying their business model, their company owned assets and their stated expansion NG distribution strategy and like what they offer. It's still a very small fish in a pretty large market and I expect that the company will eventually merge (or be acquired) by a much larger player. I hold my tracking position in my taxable account. This one may be ok for an IRA account since the LT growth potential is large. The company could also be considered a value play. My strategy is to accumulate shares any time the dividend yield is greater than 5%. EKS