GREY:AVNDF - Post by User
Comment by
themangokidon Oct 04, 2011 2:08pm
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Post# 19117567
RE: All time low of $2.95...
RE: All time low of $2.95...yeah, every oil stock getting smoked, particularly the previous oil/gas trusts. I've made the decision, despite the ridiculous valuations, to avoid adding to my oil/gas stocks (I already have pretty sizeable positions) cuz I think oil has more to fall if the economic news, EU and China slowing worries continue.
Still, though, hard to think you can go wrong adding to these beatdown positions. My daylight is getting killed. as of previous quarter 35% payout ratio, growing production, hedged prices, well esteemed management and the stock is getting killed due to its debt level in the upper band of its limit.
AVF will suffer because its small. Although suncor doesn't seem to be fairing any better.
whats different about this market decline than in 2008's is that these oil/gas companies are trading at crazy valuations but oil is still around $75. Image what happens if oil revisits its 2008 low of $35 or even $50. faaaaaaack me.