Husky Energy Inc. cumulative redeemable preferred T.HSE.PR.B

RE:Any thoughts on how low this can go?

[konzelmann]

The dividend change really threw people for a loop. People either are just pissed off that they're not getting cash, or they're getting the wrong idea - they think that the dividend change indicates weakness. However, the numbers don't show that Husky has any weakness really, except it's just trying to improve the numbers even more. So the perception of weakness provides a buying opportunity. Or, alternatively, if people are just pissed off about not receiving cash, they're dumping a stock they shouldn't, and this also presents a buying opportunity. That is why Husky is a better buy than Suncor. That doesn't mean Husky will outperform Suncor tomorrow - but it means when oil recovers a bit and the dividend is turned back into a cash dividend, there's going to be a lot of potential for gains here that usually you don't get from a company of this quality. The market has it all wrong right now.