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

To: Elroy who wrote (72326)	12/18/2023 5:33:45 PM
From: Elroy	Respond to of 78717

Feb 13, 2023 -- What I can say is if the market determines that NGL is not going bust, and is instead an ongoing concern with some reasonable growth prospects (their water business), then it's probably easy to value it at $10 to $15. That question (whether the banks will refinance and extend NGL's debt) is the big question for the next two years. Today it's $2.68, so there is the high risk high reward aspect that appeals to me. Today NGL's preferred stock is trading above par. I think that means they aren't going bust. They should refinance their debt within six months. Then they've just gotta do something about their preferred stock which is currently in arrears. The today value of the preferred stock indicates the market thinks the arrearage is going to get pain in the reasonable near term (a year). Once that happens $10 is a reasonable value for NGL. From there, the price will rise (or fall) with business trends, and recently (past few years) trends have been very positive (at least in terms of Today NGL is a bit above $5.00. It's not too late to get on the NGL water pipeline train all you value investors, this one has a ways to go.....