PerspectivePre-pandemic:
* Oil at $65
* Share price at $46
Key events in the past 2 years:
* Operating budget permanently slashed by $1.5 billion in 2020
* Debt reduction target for 2025 is 3 years ahead of schedule
* Approaching 200 million shares have been bought back
* 5 year plan to increase Free Funds Flow by $2 billion/year by 2025 is ahead of schedule
Elliott Capital has targeted Suncor for a reason. My guess is that think they can net about $30 per share by selling off Petro Can and the 4 Refineries. A sale of those assets would still have left SU with its core competency of mining and upgrading which would have produced more than $3 billion of operating cash flow in Q2. What do you think that would be worth? I'm thinking another $40 to $50 per share.
Elliott can't manage the day to day fears of the market anymore than anyone else.
Like Buffet (who continues to buy up OXY), Elliott can see past Biden's political ambition and understands that an ongoing chronic shortage in investment in the industry since 2015 is going to continue to tip the scale
Shorters are gonna SHORT and Haters are gonna HATE. Try not to let their agendas affect your thought process.