Post by
navajojoe on Jun 12, 2023 3:45pm
$67 WTI, ouch
So that puts WCS around $55 or so, far below the level required to pay the dividend out of free cash flow. Debt will be increasing again unless they cut capex, and that is never a sustainable move.
Comment by
Reachme on Jun 12, 2023 3:58pm
?? Are you a shareholder?? You are always crying here?? How old are you??
Comment by
lovehockey on Jun 12, 2023 4:01pm
Cutting Capex is fine by me when until they stop manipulating the markets via SPR injections. They can pay Dividends no problem, at least for now, then they will stop dividends and that is when the prise of shares will jump. Win win situation for the shareholders.
Comment by
Reachme on Jun 12, 2023 4:37pm
Good post man....I agree with you 100%
Comment by
Relaxrelax on Jun 12, 2023 5:06pm
Makes sense to be safe but I'm not convinced this is just not a head fake. I mean Chevron's stock is down less than 1%. It doesn't look like a stampede out of energy to me.
Comment by
navajojoe on Jun 12, 2023 5:43pm
" they will stop dividends and that is when the prise of shares will jump " ============================================ Ahhhh.........I might give that some second thought. Have you checked the valuation metrics of GXE against their peers? It is the dividend that is holding the share price up, IMO