GREY:LSTMF - Post by User
Post by
Mastermind_9999on Sep 30, 2014 4:06pm
252 Views
Post# 22984037
close
closeLooks like we just had a big volume spike before the close and recovered most of our daily losses (down $0.03).
I wonder if any insiders will ever decide to buy again. Or if the company will buy some shares.
As others have said, it makes sense to cut capex and use some of the money to buy back shares. The return will be much greater.
Example:
Spend $500MM on Capex next year or $500MM to buy back almost half of the outstanding shares.
Production would obviously drop from natural declines...say 30%, so we might go from an exit of 35,000boepd to 25,000 boepd. We now only have 100MM shares outstanding....essentially buying back 1/2 of the company for a 30% drop in prodcution. Sounds like a good deal to me.
Might look funny to investors though.