RE:RE:RE:Demand destruction already started:<$100 would be better. $90-$100 would be ideal. The already spiking price ultimately limits the length of the rally. At $90 oil, we could see a 6+ year rally. At $120-$150, that rally might only be 2-3 years.
The value of these companies is in the cash flow they can generate. There is more area under the curve over 6+ years than there is for a spike now with drop in 2 years.
This is an epic opportunity.
Either way, this is not anywhere close to being done.
JohnnyDoe wrote: BayStreetWolfTO wrote: Yes, I heard one commentator say we need to see some demand destruction to avoid a bad spike. His feeling was we see enough demand destruction to keep us in the $120-$130 range without spiking to $150.
I guess we will see. China is really only starting to ramp up...
I much prefer to sit $100-$120 than spike to $150-180...
spurwing2 wrote: https://finance.yahoo.com/news/gas-prices-demand-destruction-already-started-says-strategist-195433877.html
120 would be a perfect sweet spot for a couple of years. Probably wouldn't cause any considerable demand destruction but the story on gas high because of lack of investment will continue to get told. Hopefully we see the wokeism and the lefties shrivel away. 120 from here thru to your June 30, 2023 date would be superb. No debt. 1.3B or so in fcf. 500M float. A buck+ a share in dividends implemented. It's all good