Atlas Pipeline continues dividend: stock falls
Atlas Pipeline Partners (APL: 14.28 +0.11 +0.78%) has declared a 3rd quarter dividend of 96¢, matching the 2nd quarter payout. In the two trading days since the announcement the share price has dropped almost 15%. This has me quite confused. I would understand if the market was pricing the stock at a 7% yield and the price falls because the dividend did not increase, but at $19 APL is yielding 19%. Even more incredible, Atlas Pipeline Holdings (AHD: 6.74 -0.06 -0.88%) increased the dividend from 42¢ to 51¢ and that stock is off 20% to yield over 20%. AHD operates the general partner interest in APL, receives the GP incentives and holds over 5 million units of APL.
APL, AHD, Atlas Energy (ATN: 30.19 0.00 0.00%) and Atlas America (ATLS: 34.395 -0.105 -0.30%) report earnings Monday, Tuesday and Friday next week. I will be paying close attention to try to find out why the market does not like these companies. I believe they are among the best managed in the natural gas arena and have some unique factors going for them.
APL is a component of this site’s hypothetical Income Portfolio. ATN is in the Opportunities Portfolio.
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Tim,
I like your commentary. However when I try to check out your income portfolio page, the page is blank.