Lightstream Resources Ltd. LSTMF

My Take

[JohnDD]

Well, this stock has been a pleasant surprise this year. I was checking some price forecasts I made back a few months ago: September 30th: $8.75, Dec 30th: $10.50. Here we are over $9, would never have expected it. But then again, those forecast may still be reasonable?? You just never know - an acquisition of Arcan or equivalent could quickly torpedo the gains we have made. That said, I would be fine to see them pick Arcan's Swan Hills properties ONLY presently producing around 1,500 bbls/day. As long as LTS continues to sell assets at the metrics they are selling at and consistently execute, this stock could/should be trading at least at $100k/boed on an enterprise value. That translates to a stock price of around $12 based on the following analysis: Market cap: $12/share*200 million shares = $2,400k Current debt = $1,950k Enterprise value: $4,350k (2,400+1,950) Current production guidance 44,000 boed EV/boed = $4,350/44,000 = $99k/boed Hopefully the company and stock continues to perform well over the next few months. John