Pharmaceutical And LNG Stocks Are Driving The Market Higher Today

A fresh update on 2016 guidance sent Oneok Partners LP (NYSE:OKS) shares soaring by 15%. In a press release, the company’s managing partner ONEOK said it expects revenues to increase, driven by volume and fee-based margin growth. The company also said the dividend will not change in 2016 and that it expects free cash flow after dividend and cash on hand to add up to $250 million, available for the support of Oneok Partners.

At the end of September, 8 of the hedge funds we follow reported a long position in Oneok Partners LP (NYSE:OKS), down from 9 a quarter earlier. Dmitry Balyasny used the opportunity to buy the stock on the dip, as Balyasny Asset Management reported a 10% increase in its holding to 109,132 shares valued at $3.19 million at the end of the quarter.

Having survived a massive hammering last Thursday when shares fell by more than 50%, Teekay LNG Partners L.P. (NYSE:TGP) has regained some ground today after shares surged by as much as 21%. The stock fell of a cliff after the company announced plans to reduce quarterly cash distributions to $0.14 per share from $0.70 per share. Teekay intends to use this money to service existing debt and to fund equity capital requirements in order to avoid the need to raise money from capital markets. So far this year, the stock has been falling like a rock, losing more than 70% of its value.

Teekay LNG Partners L.P. (NYSE:TGP) is not far behind Oneok Partners, having attracted the attention of only seven hedge funds, which held less than 1% of its common stock. Israel Englander took advantage of the falling prices to load up on Teekay shares during the third quarter. In its latest 13F filing, Millennium Management reported a holding that amounted to 237,341 shares worth some $5.68 million.

Disclosure: none