Cenovus Energy Inc T.CVE

Where is CVE headed?

[CanadianKia]

So i used to trade this Stock a lot earlier this year.


Now i see an easy potential growth of 15-20% in SP based on the direction of oil prices. I think its a good opportunity but curious where everyone is seeing the company in 2021.

thoughts?

[meritmat]

Take this with a grain of salt But I seen a chart we're with 60 dollar oil it would trade at 20 a share 

[CanadianKia]

Well,it was trading well above 10bucks before covid and the merger. So i dont think with those prices of oil it would be insane for it to come close to 20. 

[oilandgasmick]

So what's the advice of the board? Convert the options or ride the nice option premium prices were seeing now?

[Dogsbreakfast4U]

I am keeping the warrants for now. CVE is going to $12 in the next couple of months if WTI stays above $50. If oil goes to $60 this is a $20 stock minimum. 

[oilandgasmick]

I guess that with such a small common share dividend there is no real advantage in converting the warrants to common shares. 

[SQCConsulting]

Makes sense as the warrant allows you to purchase these future $12 plus shares for $6.51

[oilandgasmick]

I sure hope you are right about the 12+ bucks per share but I am still concerned over the $13B in debt the combined entityfd is carrying. As others have said, divestment is key but most energy companies in Canada will be hard pressed to spend billions of dollars to acquire asssets that CVE is looking to dispose of. We shall see what the market apetite is in 2021.

[Shazam57]

I suspect $15 and $20. Last year at this time it was just under 15. With the 2 combined means leaner and more resilient. May even break the $20.