A.I.M. Users Bulletin Board

[SFSecurity]

Hi Gang, What do you think of VNR for a dividend producing stock for a tax protected investment? Current income is $0.1175/month, about 15% annualized on a current price ~$8.55.

Beta is only 0.81, loss in the last 52 weeks from peak price ~67% with revenue over the last 12 months of ~$5.98/share. Revenue is down ~40% over the last 12 months, cash on hand as of last quarter was only $4.13M or $0.05/share but the payout is a bit more than double that per month. They have been a steady payer of dividends but cut the dividend as of the first of 2014 by a bit less than half like many other stocks.

If one were a short term trader one could have gotten in at roughly $6.00 about a week ago and out now for a good profit but that seems much too risky for me.

My guess is that it is not likely to go out of business and it will struggle until oil goes up to $60 and then it will take several years to get to a lower debt/income ratio.

Best,

Allen