What improvements would you like in Yahoo! Finance Message Boards? Please send us feedback.
Message Boards Settings Buckeye GP Holdings L.P. (BGH) - Quote Info
Re: BGH downgraded by Deutsche Bank     12-Aug-09 08:47 pm    
Well, the pipeline MLPs are being downgraded because they have run up in price. Since they are primarily valued on the expectation of dividend payout, there isn't much price appreciation left in the short run.

In addition, because of the runup in price, they are selling new "units" or shares, which dilutes their earnings. This is typical of MLPs, though. Since they pay out their profits, they have no source of funds other than borrowing or selling new shares. They tend to sell share when the market is good, not when the market undervalues their shares. The presumption is that they'll do something with the money that, in the long run, more than makes up for dilution of the shares.
Rating :
 (1 Rating)
Rate it:
awful/not related to \pooraveragegoodexcellent

smorefi60

Online Now

48/Male
China


View Messages

Ignore User

Report Abuse

< Previous Message |   Next Message >
View: Simple | Summary | Expanded
As: Threaded | Msg List
Page 1 of about 1   First | < Prev | Next > | Last

Messages in Topic

Minimum rating: What's this?
  Subject Author Rating Time of Post (ET)  
 
BGH downgraded by Deutsche Bank. Valuation of GP conne...
jamesj7606 Rate it 22-May-09 09:40 am  
 
Hmmm, actually the valuation of the GP is based on...
rrb1981 Rate it 27-May-09 07:09 am  
 
Re: BGH downgraded by Deutsche Bank
smorefi60
Online Now
(1 Rating) 12-Aug-09 08:47 pm  
View: Simple | Summary | Expanded
As: Threaded | Msg List
Page 1 of about 1   First | < Prev | Next > | Last

Buckeye GP Holdings L.P. (BGH)

Chart for Buckeye GP Holdings L.P. (BGH)
At 11:33AM ET: 28.31 Down 0.02 (0.07%)
Symbol Lookup