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

To: Elroy who wrote (69292)	12/10/2021 8:23:10 PM
From: E_K_S	Read Replies (1) \| Respond to of 78466

Do you buy and sell single digit percentage positions in each individual stock you own? You can Paul seem to trade all the time. I buy stock, and let it sit there for years and sometimes decades....... I am a long term investor. Unfortunately with MLP's, you can not sell your high cost shares (ie sell LIFO and/or select the lots you sell) since shares are sold FIFO (so in all cases the shares sold are the ones w/ the largest depreciation recapture). As an example my No 1 position is CVX shares are from the Texaco/Chevron merger (10/2000) 21 years ago) The SI Time machine only goes back to this post to Paul 3/2011 In the late 90's I bought Texaco (around $28.00/share) for it's 5% dividend and in October 2000 CVX purchased them. In September 2004 CVX split 2:1 so my $28.00 shares are now $14.00 shares. ------------------------------------------------------- UAN represents a 1.8% portfolio position w/ buys in 2019 and 2020 at an avg split adjusted price of $15.75/share ( I did sell 50% of those shares to book a tax loss) So my current position is doing well +407% (over 3 years); not a fun ride based on the graph below ------------------------------------------------------- Re: UAN Management What can management do better? How about using the FCF (EBITDA) to pay down debt in the good times (when fertilizer prices are high). That will increase their operating margins. Then when the fertilizer prices fall, they s/d still be able to post a profit. So, reducing debt over this next cycle will reduce their interest expense especially as rates increase. So, what is the relationship w/ Carl Icahn that owns the parent company CVR Energy (CVI)? It seems like UAN is being played to his interests not the other unit holders. Why not use those funds to pay down UAN's debt? Icahn is using the Parent company CVR to now bid/buy other companies to the detriment of UAN unit holder. CVR is Using Typical Carl Icahn Campaign Tactics of Misleading Statements and Attacks to Distract from an Attempt to Take Value from Delek Shareholders - CVR acquired a 15% stake in Delek last year, initially stating that it wanted to acquire Delek. There are a lot of moving parts in what Icahn is doing but it is not helping out UAN (or the unit holders), it is benefiting Icahn! In hindsight, the better investment may have been in Cvr Energy Inc (CVI). (orange=UAN; CVI-black) So what is the end game for CVI & CVR? FWIW; I own many of the companies discussed in the article linked above regarding the pipelines/processors as I find them to have a lot of value. Dominion sold their pipeline/processor (I believe to a Buffet company); PSX was spun off by COP w/ similar assets. Carl Icahn is trying to acquire many of these assets using CVI as his investment conduit. Does he eventually package CVI to sell it to a much larger processor (like PSX) and UAN shareholders get taken under? I do not know but It's something for all UAN investors to ponder. Perhaps UAN may/could be the 'value' asset that allows Carl Icahn to 'Exit' his CVI position.