Trade Entry: Eagle Rock Energy Partners
Today, I am adding a new open trade position for Eagle Rock Energy Partners LP (Nasdaq:EROC).
Eagle Rock is an upstream MLP that has significantly restructured its business operations over the last year. Unlike the other upstream MLPs, EROC has a pile of cash assets that it can put to work in this low energy price environment. In the shorter term, fourth quarter results, which come out next month, should be very strong compared it Eagle Rock’s upstream peers. I will cover EROC in more detail in the monthly newsletter coming out this weekend.
Also, Seeking Alpha will publish an article on Eagle Rock by me after the market closes today. The article is currently restricted for viewing by Seeking Alpha’s premium subscribers. There is a chance that the article may help push the EROC value higher, so I think my 30 Day Dividends Subscribers need a chance to get in before the general investing public sees that article.
Trade: Buy EROC today at about $2.50 per unit.
Target: 25% gain in the next two to three months.