KWK rises and falls with the price of natural gas as do most producers.
There are several additional factors that account for our interest .
We bought KWK for Jack A. Bass Managed Accounts because they are seeking to turn an overleveraged ship and the recent $485 M sale of assets is part of that.
Equally interesting is that the recent rise in nat gas pricing allows KWK to roll over successful hedges at prices that have rallied.
Finally a 25 % short position means volume and price support. At this point we have not seen any sign of short covering – that is unusual volume day after day .
|Open||3.18||P/E Ratio (TTM)||—|
|Last Bid/Size||3.26 / 59||EPS (TTM)||-2.13|
|Last Ask/Size||3.27 / 427||Next Earnings||24 Feb 2014|
|Average Volume||2,960,777||Dividend Yield||0.00%|
|Day High||3.27||Ex-Dividend Date||—|
|Day Low||3.08||Shares Outstanding||177.1M|
|52 Week High||3.54||# of Floating Shares||123.7796M|
|52 Week Low||1.44||Short Interest as % of Float||24.77%|
Natural Gas Pares Decline as Supply Decline Matches Forecast
Natural gas futures pared declines in New York after a government report showed a U.S. stockpile decline that matched analyst estimates.
The Energy Information Administration said inventories fell 230 billion cubic feet in the week ended Jan. 24 to 2.193 trillion cubic feet. Analyst estimates compiled by Bloomberg showed a withdrawal of 231 billion. A survey of Bloomberg users predicted a decrease of 230 billion.
“It’s still a pretty healthy draw,” said Kyle Cooper, director of research with IAF Advisors in Houston. “The run up over the last few days has already priced in very large withdrawals and also you have a weather forecast at the very back end that looks to be moderating.”