"I wouldn't stay short for too long."
Perhaps you would like to offer some analysis that MHR is a buy at these levels? Not being snarky, I would love some real analysis.
I know this is a message board and hard to follow posts but I have been net short MHR from 1.70 (and first started looking at it from a long perspective). I have also covered plenty on the way down and mentioned that in posts here as well. I am net long energy stocks so I am by no means celebrating my MHR call, but at least it and a few other shorts helped mitigate some of my losses on energy longs.
Here is my analysis and short from 1.70 on 6/2/2015.
http://www.investorvillage.com/smbd.asp?mb=9810&mn=1848&pt=msg&mid=14990352
While it may not seem like that long ago, 4 months off of leases makes them less valuable. JV hasn't done anything and wouldn't surprise me with lower prices that nothing gets done. Lower prices also means less drilling and that means less production flowing through Eureka. The fact that a sale has not been announced leads me to believe they are not getting the bids they want. Plus, look at MLP and see the high quality ones are off 20-30%. Does that mean the 450MM that I used then is too high?