Tourmaline Oil Corp (Alberta) T.TOU

TOU verses ARC - I need a TOU Opinion

[MyHoneyPot]

I have done my analysis and using q1 numbers and the ARC post merger forecast, i have ARC generating more than 20 percent higher cash flow then TOU, depending on what numbers you use for oil. At $75 dollar oil i have it generating 27% more.  

ARC generates 69 percent of its revenue from liquids, 60 percent from condensate and oil .

ARC will have at 20% more CF it can carry 20% more debt.(hedges ignored)

If ARC share price would increase 70% it would only then receive the same relative market evaluation as TOU. (ARC = 17 dollars)

Why is this happening I ask respectfully. 

IMHO

[Beakr123]

I think its a pretty easy response MHP, market perception. TOU's name and team are tried and true in the Canadian energy sector. ARX has a new leadership team and after the VII merger are a new company. The market needs to see results and eventually will at which point ARX share price should reflect a positive response. Share price isnt always determined by hard numbers or projected profits

[bagcheese]

1) Tourmaline = largest nat gas producer in Canada and is the cheapest most efficient producer, winner TOU 2) Tourmaline has a much higher Insider ownership of shares than ARC, winner TOU 3) ARC price to book is 2.6 Tourmaline has a price to book of 1.07, winner TOU 4) Tourmaline has a market cap of over 10 billion, ARC is 7 billion, winner TOU 5) Tourmaline has an EPS of 3.25, ARC is .53, winner

[uncutgems]

it comes down to skin in the game. tou managemetn "has it". ARC has "hired guns"...tou is run by a genius...arc is run by "hired guns" who simply try not to make mistakes. those who resist investing in tourmaline, will eventually see the light. it took cheadle years to finally understand tourmaline. but it looks like he eventually did.