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No, you can sell now (any shares you have purchased that have settled.)
Might get back there again today.
Thanks. I've watched some of these Brankrupt stocks start trading on the OTCBB. The PPS drops quickly, but often times makes a nice comeback. ( temporarily) For whatever reason, a lot of traders like to trade the new "Q" stocks. I might hold for a little while.
Chapter 11 Brankrupcy filed. Ouch!!
http://phx.corporate-ir.net/mobile.view?c=219127&v=203&d=1&id=2145014
Dismal. But may still have life. It will be gutsy to buy now.
Biggest Wave Yet of U.S. Oil Defaults Looms
By Asjylyn Loder, Donal Griffin and Jodi Xu Klein - Feb 24, 2016, 9:15:51 PM
In less than a month, the U.S. oil bust could claim two of its biggest victims yet.
Energy XXI Ltd. and SandRidge Energy Inc., oil and gas drillers with a combined $7.6 billion of debt, didn’t pay interest on their bonds last week. They have until the middle of next month to either pay the interest, work out a deal with their creditors or face a default that could tip them into bankruptcy.
If the two companies fail in March, it would be the biggest cluster of oil and gas defaults in a month since energy prices plunged in early 2015.
"We’re just beginning to see how bad 2016 is going to be," said Becky Roof, managing director for turnaround and restructuring with consulting firm AlixPartners.
Debt-Fueled Boom
The U.S. shale boom was fueled by junk debt. Companies spent more on drilling than they earned selling oil and gas, plugging the difference with other peoples’ money. Drillers piled up a staggering $237 billion of borrowings at the end of September, according to data compiled on the 61 companies in the Bloomberg Intelligence index of North American independent oil and gas producers. U.S. crude production soared to its highest in more than three decades.
Oil prices have now fallen more than 70 percent from a 2014 peak, and banks and bondholders are fighting for scraps. Bond prices reflect investors’ fears. U.S. high yield energy debt lost 24 percent last year, the biggest fall since 2008, according to Bank of America Merrill Lynch U.S. High Yield Indexes.
Both Energy XXI and SandRidge could still reach an agreement with creditors that will give them time to turn their businesses around. SandRidge said last week that it missed a $21.7 million interest payment. The company owes $4.2 billion, including a fully-drawn $500 million credit line. Energy XXI, which owes $3.4 billion, said in a filing last week that it missed an $8.8 million interest payment.
David Kimmel, a spokesman for SandRidge, said it has the money to make interest payments due in February, March and April. He wouldn’t comment on SandRidge’s options if it doesn’t make the interest payments by the end of the grace period. David Griffith, investor relations associate with Energy XXI, did not respond to an e-mail seeking comment.
Now What?
The companies’ failing to pay interest on their bonds may be a way to help motivate creditors to renegotiate debt, said Jason Wangler, an energy analyst with Wunderlich Securities in Houston.
"It’s a negotiating tool," Wangler said. "They say, ’I’m not going to pay you. Now what are you going to do?’"
Energy XXI owes $150 million to banks including Royal Bank of Scotland Group Plc, UBS Group AG and BNP Paribas SA, among others. SandRidge has fully drawn its credit line with banks including Barclays Plc, Royal Bank of Canada and Morgan Stanley, according to data compiled by Bloomberg. The banks declined to comment.
SandRidge is likely to file for bankruptcy, analysts at junk bond research firm KDP Investment Advisors Inc. wrote in a report last week. S&P wrote in a separate report that Energy XXI is probably going to file. Since the start of 2015, 48 North American oil and gas producers have gone bankrupt with a total of $17.3 billion in debt, according to law firm Haynes and Boone. The largest was Samson Resources Corp., which entered Chapter 11 in September owing more than $4 billion.
More Coming
Others are probably coming. The number of U.S. companies that have the highest risk of defaulting on their debt is nearing a peak not seen since the height of the financial crisis, according to a report by Moody’s Investors Service earlier this month. The oil and gas sector took up the biggest share, accounting for 28 percent, or 74 borrowers.
Most of the shale industry’s debt is in the form of bonds, according to data compiled for the Bloomberg Intelligence index. Of those $197 billion of securities, $101 billion is junk-rated.
Bond investors aren’t likely to recover much money from oil and gas companies that default. Standard & Poor’s estimates, for example, that Energy XXI’s and SandRidge’s unsecured noteholders will receive, at most, 10 cents on the dollar.
Banks are setting aside more money to cover potential losses on souring energy loans. S&P estimates that credit lines to these companies could be cut by 30 percent by April, when banks conduct one of their twice-yearly evaluations of their loans.
"We are at the very beginning of the next wave of energy defaults," said Paul Halpern, chief investment officer at Versa Capital Management, which manages about $1.5 billion of distressed debt.
More articles on Oil, Debt
You should get off of Twitter. (Like EXXI, Its stock was also in the red today.)
Yep. Almost EVERY oil stock up to some degree except this. Down14%.
You are not stuck. Give it a week. Will be in the teens soon.
Almost time to buy again.
Thus is turning out to be a good stock to swing trade or even day trade.
Wow. Very short flight.
You may double by end of today. Good luck.
It is up nicely in pre-market!
Nice prayer! Where is it from?
This thing almost doubled from its low yesterday.
I'm giving it til the end of the week? See what support level it develops.
There was money made today. Look at the buying - 1.5 mil bought at .34. Sell that at .42 and you had a nice 20% gain.
Looks like this is going to be a heavy volume day with 2 mil shares already traded.
I just read that 42 US oil companies have filed for bankruptcy so far.
http://www.bloomberg.com/news/articles/2016-01-20/some-bankrupt-oil-and-gas-drillers-can-t-give-their-assets-away
http://money.cnn.com/2016/01/14/investing/oil-bailout-us-washington/
Yep. You nailed it. Wonder where the bottom is. Maybe you should wait a bit before buying. When you think it can't go any lower - surprise! I think I will wait to see an upward trend. I'm done with trying to catch the bottom.
Crude will eventually turn around and when it does all these oil stocks have a lot of room to run. I see a ten bagger here and that is what keeps me coming back.
I agree. .66 may not be the bottom, but close. I think we will see a 30-40% bounce on this. Look at KEG today.
Looking to buy again at $32.
In the 2009 crisis this stock got to $1.25 a share, then went back to over $30. At these prices, it looks extremely attractive IF it can survive this crisis.
Yea. Really getting crushed.
Another good day.
A little sell off at the EOD, but over all a good day. After hours has it back to 15.5
Incredible volume. Almost 10x normal. One of the highest volume days for the entire year.
Up 50%. I would say that is a bounce!
Reverse stock split of 1-10 coming in January.
http://www.prnewswire.com/news-releases/key-energy-services-announces-intentions-regarding-continued-listing-requirements-300194245.html
How is this still on the NASDAQ after two splits and over a year under a dollar?
What's up with this? + 17% this morning.
I thought it go higher, at least $4
Big money today!!
Better then expected quarterly report and today's pump by Glenview Capital Management has pushed this up nicely. Should see continual improvement through the end of year. Definitely a buy.
http://seekingalpha.com/news/2932476-glenviews-larry-robbins-talks-up-fmc-corp-at-robin-hood-conference?uprof=46&dr=1#email_link
Wow. This is terrible. Is this going the way of MHR? Did investors get spooked?
What a difference a year makes. Bought and sold for a fair profit back in Nov of 2014. If I had held a year, I would be looking at a four bagged right now.
And you posted this news from 2013 for what reason? Are you implying that Biometric might purchase Enteromedics because the the ex CEO of Lanx is now the CEO of ETRM?