Post by
RichyRich$ on Jan 25, 2019 4:26am
Up Another 15.0% After Hours on NYSE.
I'm smelling momentum! Maybe a Buyout! Now would be the time to strike for a buyout before the sector rebounds. If there's gonna be a buyout... this would be the perfect time period to do it. If an interested company waits until after the debt is extended and with AECO rebounding from bottom... and the sector rebound and enthusiasm around LNG Canada pipelines being built... Bellatrix may decide to not accept offers down the road. Not sure if they are now. But from a buyer's perspective... you gotta offer at the companies low point. Which is now. With so much resources and exploration land still untapped... one of the large Oil n gas companies could easily offer $600 Million. That would pay off $400 Million Debt and leave $200 Million 81 Million shares = $2.46 per share. We could be in for 5 X Gain in a buyout. The buyer would be happy with low cost spirit river and with no debt and Interest payments if they pay it off in the buyout... that would leave them lots of money to aggressively spend on exploring/drilling more land. A buyer would look at the attractive $12.00/share book value and the low EV/EBITDA which is 7.8. That factors in debt and earnings. They say anything under 10.0 EV/EBITDA is lucrative for a buyout. Good value for a buyer.
Comment by
graffiti99 on Jan 25, 2019 8:22am
Exactly my thoughts as well. This would also explain why insiders are not buying...they would be restricted if in discussions to be acquired.
Comment by
mbuch on Jan 25, 2019 10:14am
I think it was just pumped on Market Call yesterday... FOMOs pushing up price temporarily maybe?
Comment by
ThomasJ0000007 on Jan 25, 2019 11:37am
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Comment by
maldwyn on Jan 25, 2019 11:41am
Yeah the guest made it one of his top picks and predicted big things for it ...of course he did the same thing last year at much higher prices. My guess is a temp bounce, I think this stock needs hard news for a really sustained move, though I am surprised how much it has moved today, although it had beeen down a bit the week previous and is essentially recapturing some lost ground.
Comment by
1condor on Jan 28, 2019 12:44pm
I believe Joe stated that lower oil and gas is expected in the short term. This will hurt BXE...so why would you buy now at 55 cents when it is going lower on falling O/G. Perhaps we already hit the low at 48 cents but I doubt it. Maybe a good trade setting up in the low 40's...if Joe's prediction of lower O/G pans out.