Q: Yet another query/ clarification. In your reply to Dan's question re oversold oil and gas stocks you listed some of my favourites such as PEY, SGY, WCP and TOU.
The first 3 pay decent dividends and I am looking at adding to my position. However in another O &G answer you mentioned the likelihood of a flood of dividend cuts in the fairly near future if oil prices do not rebound. Such dividend cuts would likely drive share prices down even more.
Would you consider the stocks above (not TOU - no dividend) to be less likely to reduce their dividend? Case in point: SGY is now showing an 11.8% yield - enough to make a wounded investor salivate! Could you justify doing some buying right now.
Thanks.
The first 3 pay decent dividends and I am looking at adding to my position. However in another O &G answer you mentioned the likelihood of a flood of dividend cuts in the fairly near future if oil prices do not rebound. Such dividend cuts would likely drive share prices down even more.
Would you consider the stocks above (not TOU - no dividend) to be less likely to reduce their dividend? Case in point: SGY is now showing an 11.8% yield - enough to make a wounded investor salivate! Could you justify doing some buying right now.
Thanks.