RE:RE:RE:RE:BTE vs MEGI would agree with this. BTE definitely has more torque and is markedly undervalued relative to peers due to overhang from the merger. That will correct in the coming weeks, maybe as soon as next week.
$4.20 was a great time to buy, but at $82 WTI, this is an equivalent opportunity at $5.40. There is a ridiculous amount of cash being generated by this merged entity at $82 and the floor for profitabilty is now way lower adding a margin of safety. Add in all the bullish macro, and I can't think of a better place for your money on April 14, 2023.
However MEG is probably the next best bet. It is also going to have mega torque if WTI stays here for the coming weeks/months, just not as much upside because it's valuation is better.
Oil doesn't need to be higher for the share price to go up. MEG is a great example of that. The cash keeps coming in, the share count goes down and the debt is reduced. So the share price goes up even though WTI is rangebound for 9 months. This is the error many novice energy investors make. They think the share price is tethered to WTI not understanding how much value is being created without any change in WTI.
These will be the days you will look back at and say "I wish I bought more".
Patience my friends!
dandu1924 wrote: I think BTE has more torque than MEG for the future, BTE can make 2 or 3 baggers after the deal. Anyway I am still long with BTE . The next one to watch is ATH because something does not turn fair with the share price since 2 weeks ago.