ourkid8 Posted October 8, 2014 Share Posted October 8, 2014 Why are you assuming they will need to sell non core assets? Why can't they dial back their 2015 capex commitment by $200M to fund the buyback? We expect management to be great capital allocators and their sum of parts analysis from management is$15/share. Lets break down both scenarios: Share repurchase = 275% return to repurchase stock at the current price of $4 (based on a sum of parts analysis of $15/share) Drill = 70-90% IRR per pud Repurchasing shares at the current price while still maintaining your reserves is by far the best allocation of capital. Tks, S Let's see if they actually buy back shares. If they don't . . . I really dont think they should. Keep the money. They are still leveraged and really have no non core assets to sell. They are all in Mississippi. Yeah, I believe this was the worry when they announced the buyback authorization. The market reacted negatively, if I recall correctly. So I feel ya on that, though I go back and forth on whether they should or should not. Link to comment Share on other sites More sharing options...
bmichaud Posted October 9, 2014 Share Posted October 9, 2014 This company and stock disgust me - the gall of these guys to think they can buy back stock is appalling. I can't stand gloating about previous stock picks, especially when it happens to be simply fortunate timing (ala moorecapital had a penchant for pointing out picks that worked out after only three months...)....but I really would love to put up a chart showing the performance of SD versus DVN over the past 12 months... Link to comment Share on other sites More sharing options...
alertmeipp Posted October 9, 2014 Share Posted October 9, 2014 Why are you assuming they will need to sell non core assets? Why can't they dial back their 2015 capex commitment by $200M to fund the buyback? We expect management to be great capital allocators and their sum of parts analysis from management is$15/share. Lets break down both scenarios: Share repurchase = 275% return to repurchase stock at the current price of $4 (based on a sum of parts analysis of $15/share) Drill = 70-90% IRR per pud Repurchasing shares at the current price while still maintaining your reserves is by far the best allocation of capital. Tks, S Let's see if they actually buy back shares. If they don't . . . I really dont think they should. Keep the money. They are still leveraged and really have no non core assets to sell. They are all in Mississippi. Yeah, I believe this was the worry when they announced the buyback authorization. The market reacted negatively, if I recall correctly. So I feel ya on that, though I go back and forth on whether they should or should not. Yes, they can. But that means it will take them longer to get to cash flow positive. But if they really can monetize their infrastructure for 1+ billion soon, it is a different story. Link to comment Share on other sites More sharing options...
ourkid8 Posted October 9, 2014 Share Posted October 9, 2014 The paperwork is currently with the government and we should receive the nay or yay approval in early-mid 2015. Right now Sandridge needs to address the operational challenges they faced from last Quarter and repurchase the full $200mm in shares immediately at these rediciolous prices. Tks S Why are you assuming they will need to sell non core assets? Why can't they dial back their 2015 capex commitment by $200M to fund the buyback? We expect management to be great capital allocators and their sum of parts analysis from management is$15/share. Lets break down both scenarios: Share repurchase = 275% return to repurchase stock at the current price of $4 (based on a sum of parts analysis of $15/share) Drill = 70-90% IRR per pud Repurchasing shares at the current price while still maintaining your reserves is by far the best allocation of capital. Tks, S Let's see if they actually buy back shares. If they don't . . . I really dont think they should. Keep the money. They are still leveraged and really have no non core assets to sell. They are all in Mississippi. Yeah, I believe this was the worry when they announced the buyback authorization. The market reacted negatively, if I recall correctly. So I feel ya on that, though I go back and forth on whether they should or should not. Yes, they can. But that means it will take them longer to get to cash flow positive. But if they really can monetize their infrastructure for 1+ billion soon, it is a different story. Link to comment Share on other sites More sharing options...
ourkid8 Posted October 9, 2014 Share Posted October 9, 2014 Two more open market insider buys. Date Filed Reporting Name Relationship Trans. Date Shares Price $ Total Value $ 07 Oct 2014 DOBSON EVERETT R Director 06 Oct 2014 38,900 3.93 152,803 07 Oct 2014 DOBSON EVERETT R Director 03 Oct 2014 15,000 4.10 61,500 16 Sep 2014 CHANG WAYNE SVP & President Midstream 12 Sep 2014 10,088 4.96 49,996 Link to comment Share on other sites More sharing options...
txlaw Posted October 9, 2014 Share Posted October 9, 2014 Well, they just hired an EVP and President of the saltwater gathering ops. So it looks like they might be serious about monetizing the midstream ops. http://phx.corporate-ir.net/phoenix.zhtml?c=196066&p=irol-newsArticle&ID=1975744 Link to comment Share on other sites More sharing options...
gordoffh Posted October 11, 2014 Share Posted October 11, 2014 these insider buys being reported on Yahoo board - if correct not insignificant when added to those mentioned below 10/9/2014 Everett R Dobson Director Buy 44,300 $3.87 $171,441.00 10/8/2014 Everett R Dobson Director Buy 30,400 $3.90 $118,560.00 10/6/2014 Everett R Dobson Director Buy 53,900 $3.98 $214,522.00 Link to comment Share on other sites More sharing options...
gordoffh Posted October 15, 2014 Share Posted October 15, 2014 can you say short squeeze finally something positive Link to comment Share on other sites More sharing options...
compoundinglife Posted October 15, 2014 Share Posted October 15, 2014 can you say short squeeze finally something positive Schwab raised the rate on my loaned out shares from 2% to 6% today. Link to comment Share on other sites More sharing options...
alertmeipp Posted October 23, 2014 Share Posted October 23, 2014 SandRidge Energy, Inc. Announces Increase in Borrowing Base and Extension of Credit Facility http://finance.yahoo.com/news/sandridge-energy-inc-announces-increase-204900809.html "The continued success in our Midcontinent drilling program comfortably supports an increase in our revolver borrowing limit from $775 million to $900 million, which is currently completely undrawn," noted SandRidge CEO and President James Bennett. "We want to assure our shareholders SandRidge is uniquely protected against risks associated with declining crude oil prices plaguing the market today. The combination of our attractive hedge position of over 90% of remaining projected 2014 liquids volumes and the majority of planned liquids production in 2015 hedged at prices over $90 per barrel, as well as our focus on further reducing drilling costs per horizontal lateral well, provides protection to our cash flows and liquidity." Link to comment Share on other sites More sharing options...
ourkid8 Posted October 24, 2014 Share Posted October 24, 2014 http://finance.yahoo.com/news/sandridge-energy-inc-announces-filing-113000602.html SandRidge Energy, Inc. Announces Filing of Registration Statement for MidCon Midstream, LP Initial Public Offering OKLAHOMA CITY, Oct. 24, 2014 /PRNewswire/ -- SandRidge Energy, Inc. ("SandRidge") (SD) announced today that its wholly-owned subsidiary MidCon Midstream, LP ("MidCon Midstream"), has filed a Registration Statement on Form S-1 with the U.S. Securities and Exchange Commission ("SEC") relating to its proposed initial public offering of common units representing limited partner interests. MidCon Midstream is a Delaware limited partnership recently formed by SandRidge to own, operate, acquire and develop assets used to gather, process and dispose of saltwater produced alongside oil and natural gas. MidCon Midstream expects its initial assets will include well connections, gathering pipelines and disposal wells in the Mid-Continent region of the United States. Link to comment Share on other sites More sharing options...
gordoffh Posted October 24, 2014 Share Posted October 24, 2014 Good news lets take this stock higher Link to comment Share on other sites More sharing options...
compoundinglife Posted October 24, 2014 Share Posted October 24, 2014 Good news lets take this stock higher http://www.marketwatch.com/story/sandridge-energy-inc-announces-filing-of-registration-statement-for-midcon-midstream-lp-initial-public-offering-2014-10-24 And down %5 ATM. Link to comment Share on other sites More sharing options...
txlaw Posted October 24, 2014 Share Posted October 24, 2014 Prospectus: http://www.sec.gov/Archives/edgar/data/1622869/000119312514380765/d807090ds1.htm Link to comment Share on other sites More sharing options...
txlaw Posted October 24, 2014 Share Posted October 24, 2014 Pro forma net income of $32.8 million next year. Link to comment Share on other sites More sharing options...
alertmeipp Posted October 24, 2014 Share Posted October 24, 2014 Pro forma net income of $32.8 million next year. hmm... even 10x is 330m, was that supposed to be higher? Link to comment Share on other sites More sharing options...
pabraifan Posted October 28, 2014 Share Posted October 28, 2014 Pro forma net income of $32.8 million next year. hmm... even 10x is 330m, was that supposed to be higher? Per prospectus, the Proforma EBITDA would be $44.7 mil for 2015. However, this article says Bennett suggested saltwater disposal system produces $135 mil EBITDA: http://www.fool.com/investing/general/2014/03/10/shares-of-sandridge-energy-inc-could-surge-to-1550.aspx Am I missing something? Are they the same assets? Link to comment Share on other sites More sharing options...
gordoffh Posted November 5, 2014 Share Posted November 5, 2014 Pretty impressive quarter a little over half of 200 m buyback utilized good growth increasing guidance great hedging I needed this Link to comment Share on other sites More sharing options...
alertmeipp Posted November 5, 2014 Share Posted November 5, 2014 That is aggressive buyback. But market will not like the increase of Capex Link to comment Share on other sites More sharing options...
alertmeipp Posted November 6, 2014 Share Posted November 6, 2014 Pro forma net income of $32.8 million next year. hmm... even 10x is 330m, was that supposed to be higher? Per prospectus, the Proforma EBITDA would be $44.7 mil for 2015. However, this article says Bennett suggested saltwater disposal system produces $135 mil EBITDA: http://www.fool.com/investing/general/2014/03/10/shares-of-sandridge-energy-inc-could-surge-to-1550.aspx Am I missing something? Are they the same assets? I don't follow SD closely anymore. Did the CEO really say 135m EBITDA? vs. 44.7m now... Link to comment Share on other sites More sharing options...
pabraifan Posted November 6, 2014 Share Posted November 6, 2014 Pro forma net income of $32.8 million next year. hmm... even 10x is 330m, was that supposed to be higher? Per prospectus, the Proforma EBITDA would be $44.7 mil for 2015. However, this article says Bennett suggested saltwater disposal system produces $135 mil EBITDA: http://www.fool.com/investing/general/2014/03/10/shares-of-sandridge-energy-inc-could-surge-to-1550.aspx Am I missing something? Are they the same assets? I don't follow SD closely anymore. Did the CEO really say 135m EBITDA? vs. 44.7m now... See here: http://www.fool.com/investing/general/2014/03/10/shares-of-sandridge-energy-inc-could-surge-to-1550.aspx I am wondering if it's the same company in the prospectus vs. in the article. Link to comment Share on other sites More sharing options...
alertmeipp Posted November 6, 2014 Share Posted November 6, 2014 Down 10 percent. Any bad news from the cc? Link to comment Share on other sites More sharing options...
alertmeipp Posted November 6, 2014 Share Posted November 6, 2014 Listened to the call. Seems alright. But lowering capex next time and leveraged balance sheet probably make ppl nervous? Link to comment Share on other sites More sharing options...
thefatbaboon Posted November 28, 2014 Share Posted November 28, 2014 Tom Ward...some people are lucky even when they're unlucky! Link to comment Share on other sites More sharing options...
alertmeipp Posted November 28, 2014 Share Posted November 28, 2014 Yes. Best time to sell was when tpg was first involved. What a nightmare. They can't make money when hedge is off at this price. Link to comment Share on other sites More sharing options...
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