Surge Energy Inc (Alberta) T.SGY

Eric Nuttall's Liquidity Comment

[PreludeSH]

Nuttall's liquidity comment about Surge is a double edged sword...on one hand it may discourage large fund managers, but on the other hand its a real plus to have a relatively small float to boost a share price up if someone does want in on a large position.

[llerrad5]

I'd much rather have a smaller float.

[churchofnutsacc]

Nuttall needs a large float so that he can easily sell into his pumps. How many times has he already done this with Athabasca?

[harvester]

Excellent point!

[red2000]

I don't see liquidity problem here, see below their may presentation, page 4. https://www.surgeenergy.ca/wp-content/uploads/2022/05/May_Corp_Pres-Q1-Final.pdf Don't be surprise if they bought a private energy producer early 2023... Well positioned to dilute Out. sh. at 18$ or so to buy a private producer ! No ???? A 20M shares dilution === 360M$ of investment ! Only my O !

[Baystboy07]

His comment is not on $SGY liquidity but more for trading volume of the shares...as the size of his fund grows he needs bigger floats and higher trading volumes to make a dent...hence $SGY stock not being liquid enough... GLTA

[dllscwbysfn]

 I thought awhile back he held shares in SGY, I could be mistaken. Anybody know for sure?

[Baystboy07]

he did buy a block from a PE shop I believe and then sold them for a quick 20% gain  

[zack50]

He initially purchased a 9% stake in the company in early January/22 from private equity shareholders who wanted out. The shares were purchased at a distressed price... the stock price rose ~23% in a matter of a week or two, so he sold a portion of his holdings and quickly made a profit of ~$6M by taking advantage of the liquidity window at that time. He later vacated his his complete position in

[dllscwbysfn]

Nuttall always promotes the stocks he owns, thats why I remembered that he had at one point held SGY stock. I believe he will own it again as he loves to be in and out of names at lightening speed. I think he has been in and out of BTE several times just this year. My guess is that the next time he is on BNN 2 out of 3 of his top picks he will no longer hold.