TSXV:SOU - Post Discussion
Post by
nozzpack on Nov 23, 2022 12:49pm
Brutally Undervalued Even at Current Production
SOU earned $0.05 per share in Q3 which was the first quarter to reflect the initial 3 well drilling program .
Thats an annualized earnings rate of $0.20 per year equivalent to a fair value of $2.10 per share .
Very soon, a 13 well drilling program will begin which will be equivalent to about 15 wells relative to the smaller length of the first three wells.
Integrated production including normal well decline profiles should get SOU to about 15,000 boepd when all wells are tied in .
At that point, SOU should be earning above $0.70 per share which given its scorching growth rate, should get us close to $9 per share.
And, plenty of drilling opportunities after that..
The PE ratio is a simple way to assess whether a stock is over or under valued and is the most widely used valuation measure. National Fuel Gas PE ratio as of November 21, 2022 is 10.84.
https://www.macrotrends.net › charts
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