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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Mattyice who wrote (53574)	3/11/2014 10:30:47 AM
From: E_K_S	Respond to of 78760

Hi Mattyice - Those value investors are much more knowledgeable than you or I and have huge bets on the company. For now, I am going to go w/ their valuation and judgement. I also have been looking at Canadian Sands area and some of the companies have been discussed on this tread as very nice value buys. I am focused on the pipeline and processing companies up there. I discovered INTER PIPELINE LTD (IPL.TO) a pipeline located in Canada that pays monthly dividends. You want to hold this in an IRA and/or ROTH to avoid the Canada foreign tax. The yield is 4.9% which is a bit low but I have on my watch list to start a position if/when the yield goes up to 6%. Two other Canadian pipelines I own that have nice dividend streams: Pembina Pipeline Corporation (PBA) - m onthly payer at 4.2% Veresen Inc. (FCGYF) - This is a monthly payer. Yield of 6% As long as the oil & NG flows through the pipes, you get paid. Veresen Inc. is also planning on a NG export terminal in Oregon but that is years out. That's a direct path to the Asia market and will result in huge growth for the company when completed sometime in 2018-201 ----------------------------------------------- If you have looked at any of these pipeline/processing companies and or know of others there, please post a link. The pipelines have limited commodity risk and basically are a toll gate that generate FCF. Several of these companies are small and inefficient w/ high overhead costs. If/when they combine the pieces (like what Veresen is doing) they become more profitable, have lower operating costs w/ efficiency of scale and may be able to negotiate higher and longer term processing/transportation agreements with their larger distribution footprint. I do think there are some potential value buys there that will also provide some good future growth. EKS

To: Mattyice who wrote (53574)	11/17/2014 1:18:50 PM
From: E_K_S	Read Replies (1) \| Respond to of 78760

Encana Corporation (ECA) -NYSE Started a small position last week with ECA. The company has sold some non-core assets, has consolidated their acreage in U.S. and Canada and has good NG reserves. I have been clearing out my small cap E&O losers and replacing them with a few small cap names (SFY & MHR) and now ECA. I have been following ECA since they started to divest themselves last year from many of their non-core holdings. The stock came up undervalued on my on my Graham No valuation so I started a small position @ $17.31/share. I sold out of my DEJ and may also close out SSN one that I have held a long time but just keeps falling in price. My premise is that if I focus on profitable E&O companies with good acreage that can service the NG sector that have a sustained drilling program that replaces their reserves, if/when the market turns, these stock will be higher in price. EKS