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

Evaluating Reward Opportunity of Preferreds

[RagingBull3]

As with all stocks that are 2 main Rewards:

1) Dividends/Yield:    There's no question, Yields on HSE Preferreds are HIGH.    Finding such high yields on a relatively (to its peers) "solid" company is rare.    We all know that usually dividend "reward" is usually very small to Capital/share price Gain....   But, when something this rare appears, it's worth consideration.   

2) Capital/Share Price Gain:   With such high yields, share price bound to increase.   With interest rates at "effective lower bound", interest bound to increase, which will increase dividends and yields.     There is also chance of company going Private. In this event, Preferreds redeemed for $25 I believe.  

Bottom Line.... After reset, these Preferreds are at the BOTTOM in terms of Dividends/Rates.      Buy the BOTTOM!!!

Just my opinion.     Usually you can't time the Bottom.... But in this case, BoC effectively telling you THIS IS THE BOTTOM!