duc's 'Margin of Safety' investment

[ducati916]

Dividend paid $161.12: buy 35 shares @ $4.65

New total 2049

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duc

 

[ducati916]

Dividend paid $122.94

Buy 30 shares at $4.01

New total = 2079

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duc

 

[ducati916]

Dividend paid $122.94

Buy 30 shares at $4.01

New total = 2079

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duc

I've put an order in for 700 @ $1.35. I'll see if it executes when the market opens.

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duc

 

[ducati916]

So AMZA never traded that low.

So purchase 500 at $1.51 of which $124.74 was dividend reinvestment.

New total: 2579

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duc

 

[ducati916]

Dividend paid $77.37

Buy 77 shares.
New Total 2656

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duc

 

[ducati916]

NEW YORK, April 17, 2020 /PRNewswire/ -- The InfraCap MLP ETF (NYSE Arca: AMZA) (the "Fund") has declared a monthly distribution of $0.25 per share ($3.00 per share on an annualized basis). This rate compares to a monthly rate of $0.03 per share paid in the prior month ($0.30 per share on a split-adjusted basis), which was paid prior to the Fund completing a 1-for-10 reverse split. The distribution will be paid April 28, 2020 to shareholders of record as of the close of business April 21, 2020.

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duc

 

[qldfrog]

How is amza going for you @ducati916 ?
Added a few last week after the price fall..still see a long term annuity like potential for this
Oil and gas will still power the US for the next decades.

 

[ducati916]

How is amza going for you @ducati916 ?
Added a few last week after the price fall..still see a long term annuity like potential for this
Oil and gas will still power the US for the next decades.

Anything oil/gas related is hated and cheap currently. If this is not the bottom for the industry, then I don't know what a bottom would look like.

Going forward, the current conditions will squeeze all the competition out of the market. What is left will become very profitable. As AMZA simply holds a basket of stocks, I like this a lot going forward.

Would I like to be buying my initial position now? Of course, but, that's just how it goes sometimes. I'll post an update once this dividend is paid and I purchase further stock. It is actually not as bad as you might initially think.

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duc

 

[qldfrog]

was definitively not teasing you on this one:I lost a bucket average purchase price 51$ vs current $11
got a bit of distribution but still down to 30% of initial capital outch

 

[ducati916]

was definitively not teasing you on this one:I lost a bucket average purchase price 51$ vs current $11
got a bit of distribution but still down to 30% of initial capital outch

Indeed.

But due to its structure (MLP) it has to distribute its income. At the moment the income is down. But as the oil patch improves (paradoxically the oil bust is the best thing that could have happened) due to bankruptcies, lock-ins, etc, so income and distributions will rise. Use the current distributions to add shares: 5 here, 10 there, all makes a difference going forward.

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duc

 

[Value Hunter]

Oil is somehwere near a cyclical low and of course there will be a cyclical bounce higher in the next few years so if you just want to trade the cyclical bounce there may be an opportunity.

But long-term oil and gas are declining industries. Every year the technology for renewable energies improve and they become cheaper and cheapr to produce. At the rate we are going most oil and gas supply will be uneconomical in another 10 - 15 years. The writing is on the wall.

 

[ducati916]

1. Oil is somehwere near a cyclical low and of course there will be a cyclical bounce higher in the next few years so if you just want to trade the cyclical bounce there may be an opportunity.

2. But long-term oil and gas are declining industries. Every year the technology for renewable energies improve and they become cheaper and cheapr to produce. At the rate we are going most oil and gas supply will be uneconomical in another 10 - 15 years. The writing is on the wall.

1. Probably true.

2. Renewables are currently a (bad) joke, based I must admit on a fairly limited amount of research. But based on that (limited) amount of research, I do not see oil/gas being 'replaced' by renewables as they exist today, ever. Now if something 'new' pops up, I'll reserve my right to amend my position.

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duc

 

[ducati916]

Once I receive May's dividend (already have April's) I'll re-invest (bi-monthly going forward) them.

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duc

 

[ducati916]

So some good news for AMZA:



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duc

 

[ducati916]

InfraCap MLP ETF (NYSEARCA:AMZA) declares $0.24/share monthly dividend, in line with previous.

Forward yield 17.13%

Payable July 28; for shareholders of record July 21; ex-div July 20.

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duc

 

[ducati916]

So an update:

Shares: 266
Cash: $574.56
Total: $6040.86



So still underwater by some 40%. So this is the start of year 3 out of 5.

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duc

 

[ducati916]

So I haven't updated for a while:



I've sold some shares today.

I'll come back with a fuller update later.


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duc

 

[ducati916]

Quick update:

Shares: 287
Cash: $1,205.96


Starting capital $10,000
Current value: $8,403.36
Cash: $1.205.96

Total: 9,609.32

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duc

 

[ducati916]

Update:



Starting Capital $10,000
Current Equity Value: Shares #306 = $9201.42
Cash: $1,407.67

Total: $10,609.09

So now showing a small profit. Taken some time. From Jan 2019 to today. The challenge was I think for 5yrs. That means 2yrs to go.

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duc

 

[ducati916]

Starting Capital $10,000
Current Equity Value: Shares #366 = $11, 635
Cash: $1,427.54

Total: $13,062.54



It will run until 2023.

With energy where it is currently, should continue to do well.



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duc