RE:RE:RE:RE:Looking for entry pointI tend to think that a 50% cut in dividend is highly likely, and given other volatility concerns astute buyers will want a yield of no less than 5%. That puts a potential share price at $9.58. That's about where I will start buying.
I agree that AQN and roll up their interest costs into their rates, but that takes rate hearings. It's a long process. Some may have already been underway and can't be revised. Rate hearings mean objectors can weigh in. It could be quite a while before the rates are "right-sized".
Book value is meainingful, but I think it has to be discounted by the intangibles - only count full depreciated hard assets.
Takeover bid? I think it's way too soon for that. Any takeover bid would likely include a premium to share price and I think any potential suitor would want to see prices in the 7's or 8's before that happens.
How much will interest payments rise per month to finance Kentucky?
jx7000 wrote: 1condor wrote: Like I have been saying...have patience with this one...more downside into the 9's.
I agree. Knowing that there's probably a div cut coming, I would not buy before that happens. This reminds me all too much of TransAlta Utilities (now TransAlta Corp) back in the day. The only good thing that could happen soon is a buyout offer but it better not be from Brookfield. They came in and swooped up shares of IPL about three years ago for very miniscule premium. IPL also had a good div at one time before they cut it and had also taken on too much debt. They had no choice but but to beg for mercy.