SPH - FerrellGas Partners: Nails In The Coffin
I cast a wide net in my research but I can’t possibly touch all areas of the market. Still, big drops and distribution cuts tend to cross my radar, so inevitably Ferrellgas Partners (FGP) price action caught my eye. The Q4 earnings miss, coupled with some sober (although truthful) statements during the conference call sent shares reeling downward. Making matters worse, the distribution was suspended.
Should investors have seen this coming? I think so. Just thirty minutes of due diligence on the financials and capital structure was enough to tell me why