re: Stone energy. Anyone with info

I sold at $12.30 with a cost basis of $3.70. Enjoy the ride fellas.

Up 20% now

probably shorted to death and people are covering.

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They recently made the required payment against their debt

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To put this into better context, they didn't pay their last major interest payment by the deadline. They managed to make the interest payment during the grace period, averting default and/or bankruptcy... for the time being.

What I don't think people are noticing is that SGY has $300 million in senior convertible notes due in March 2017, which they can't afford to pay. So SGY is in talks with the debt-holders to figure out a resolution, which would wipe out existing shareholders.

Per page 5 of the latest 10-Q:

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We are in discussions with our banks regarding an amendment to our bank credit facility to address the potential covenant issue. We cannot provide any assurances that we will reach an agreement with the lenders under our bank credit facility on a waiver or amendment on a timely basis, or on satisfactory terms, to alleviate any non-compliance with our debt covenants. In addition to our borrowings under our bank credit facility, we have $1,075 million of senior indebtedness, including our 1¾% Senior Convertible Notes due in March 2017 (the "2017 Convertible Notes"). We are in the process of analyzing various strategic alternatives to address our liquidity and capital structure, including strategic and refinancing alternatives through a private restructuring, asset sales and a prepackaged or prearranged bankruptcy filing. We cannot provide any assurances that we will be able to complete a private restructuring or asset sales on satisfactory terms to provide the liquidity to restructure or pay down our senior indebtedness.

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Give them credit for trying hard to stay alive, but I don't think they're in a viable position. They have too much debt coming due that they can't pay, they will likely see another cut in their credit facility (which means the difference will have to be paid back almost immediately), their operating cash flows at $37 oil is -$68.4 million, they don't have enough cash for any of these issues, and they have negative equity. SGY is a zombie.

Up $6 today. This is incredible

I'm trying to decide where to put my sell point at. I don't want to get too greedy, but I feel like there's a little more to squeeze out.

Word on the street is stone has knocked a few out the park recently in Mississippi Canyon.

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And there it goes, I'm out. Excellent run fellas

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The run up defies logic, but such is the market. They're making good moves, but like onada said, stockholders will likely be left holding the bill at some point without a crazy turn of events. Setting stop limits is the smart play.