Knot Offshore Partners LP Common: Focus On The Expected Recovery

Long PlayerInvesting Group LeaderFollow5ShareSavePlay(10min)CommentsSummaryKnot Offshore Partners LP (KNOP) remains a strong buy as the offshore industry recovery is in its early stages. KNOP's recent private offer signals a significant market undervaluation compared to insider expectations of future earnings improvement. The cyclical nature of KNOP's business means past performance is not a reliable predictor. KNOP is an out-of-favor stock in a frothy market. Future valuation hinges on industry standing at recovery "when we get there". This idea was discussed in more depth with members of my private investing community, Oil & Gas Value Research. Learn More » liorpt/iStock via Getty Images Knot Offshore Partners LP Common Units (KNOP) have really not participated in the recent rally caused by higher oil and gas prices. The stock price is up from the last article as thisThis article was written byLong Player25.53K FollowersFollowLong Player believes oil and gas is a boom-bust, cyclical industry. It takes patience, and it certainly helps to have experience. He has been focusing on this industry for years. He is a retired CPA, and holds an MBA and MA. He leads the investing group Oil & Gas Value Research. He looks for under-followed oil companies and out-of-favor midstream companies that offer compelling opportunities. The group includes an active chat room in which Oil & Gas investors discuss recent information and share ideas. Learn more.Analyst’s Disclosure: I/we have a beneficial long position in the shares of knop either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Disclaimer: I am not an investment advisor, and this article is not meant to be a recommendation of the purchase or sale of stock. Investors are advised to review all company documents and press releases to see if the company fits their own investment qualifications.Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.