No Credibility to InsiderFinancial
No matter what your position is, a bull or bear, never sell out your integrity. While I love what your source has to say, there is no credibility to this source.
InsiderFinancial has no credible history as a quick Google search will reveal. They have only a history of pumping stocks. And I would not even trust their disclosure of having not received any payment. I would read into that they have no traceable compensation to their understanding.
There are also several misleading statements in it. For one, it says "In the meantime, the company is generating cash from the sale of oil and natural gas to keep operating." This is not true. Sandridge is cash flow negative. Their burn rate will put them into insolvency in less than one year without a massive turnaround in a oil prices and/or a massive dilutive equity swap of some sort. A prepack is another, real option. And unlike Chesapeake, they have not vehemently denied it as an option they are considering.
It then says, "n the last earnings call, CFO Julian Bott said the company has $790 million in cash and access to undrawn credit lines that gave it access to total capital of $1.9 billion. It is in the creditors best interests to negotiate a debt exchange because SandRidge could access all of its cash and bleed the creditors dry. In effect, this puts SandRidge in the driver’s seat and not the creditors."
In actuality, Sandridge has already accessed all undrawn credit lines. Sandridge is not in the driver's seat. Saudi Arabia is in the driver's seat.
CNN Money, Seeking Alpha, A money manager of a legitimate hedge fun putting his money with his mouth, or a registered analyst of a legitimate firm -- these are just some examples of credible sources. InsiderFinancial has about as much credibility as the 700 Club or Bill O' Reilly's "No spin zone."
