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home / news releases / USDP - USD Partners: FY 2020 Will Be Slow But The Dividend Cuts Aren't That Bad


USDP - USD Partners: FY 2020 Will Be Slow But The Dividend Cuts Aren't That Bad

Thesis

USD Partners (USDP) was on a tear prior to the reduction in oil demand, and the Saudi-Russian oil price war that was triggered amid the prevailing pandemic. The company's dividend profile had seen 19 consecutive dividend hikes until recently, when USDP slashed its quarterly payout by ~70% QoQ in an attempt to reduce its towering debt in these shaky times; which is a good management decision, in my view. However, this ended the prolonged era of dividend hikes.

The oil market crash had a devastating impact on the share price which tanked

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Stock Information

Company Name: USD Partners LP representing limited partner interest
Stock Symbol: USDP
Market: OTC
Website: usdpartners.com

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