Post by
retiredengexec on Aug 07, 2020 1:50am
No sell or Go Private
Recent SP moves demonstrate underlying value. Therefore no sale as value is north of 10. Remember institutional owners own about 60 percent of shares and CPPIB the largest owner is in at 15. As far as going private is concerned, there is no liquidity. Going private only makes it easier to sell to a large buyer and in this market shale has lost its luster. Best course is to get free cash flow up and pay down debt. Thankfully they have finally figured this out. As far as a buy is concerned they have limited ability with current debt levels. I'd like them to buy NVA or BIR. In a later installment I'll take a stab at what their SP could be. BTW I like what they have done this year. David Holt should be CEO for what he has done for Opex and D and C costs. Mainly I think he's gotten rid of the second rate people in these areas. There well costs at just over 7 million per well are super considering that they were as high as 10.5 at one time.
Comment by
northman on Aug 10, 2020 10:23am
Hey retiredengexec - I've been a VII shareholder for sometime and I very much appreciate your thoughtful commentary and insight on this board. Typically I am used to people beaking about single day price moves and when to sell, so it's refreshing to be part of a board that talks about some fundamentals and the long term future of a company. Keep it up!