RE:RE:Management Needs To Move Fastfellowship wrote: Management got what it wanted when it made the acquisition. Now it is up to management to make the acquisition work. So far, commodity prices appear to be cooperating. Management cannot take that cooperation for granted though. Commodity prices could drop at any time and management needs to be ready for that drop.
The stock price has significant upside potential as well as downside. Lowering operating costs would provide some stock price downside protection to investors. But that is far from assured. An investment in the stock at the current time is a show of faith that management can more than double the current cash flow. That makes the stock speculative at the current time. This company needs a fair amount of commodity price cooperation at the current time to succeed. If commodity prices drop, investors could be in for a very bumpy and possibly unhappy ride.
Personally when I invested in BTE I got the message that this company management is in line with investors expectations regarding their efforts and stake in the company in the current oil pricing environment. This "type" of article can scare away future investors it can also cause alot of harm for the existing ones. I agree with the idea scrutinizing the Management behaviour, but the person who wrote the article has nothing to say regarding the company positive prospects.
Are you trusting this articles ? Personally I'm not. It sure gives you the general idea that the company is struggling make the ends meet...Why ? You ask me. Have no idea what author interest is in this...
For example they say that current oil prices appear as cooperating...are you kidding me ? Then throwing out there that company efforts are far from being assuring. How negative someone can be about this ? Who is assuring anyone these days ? But why take away what the human factor is doing in that company ? They made an asset purchase, they took a leap of faith to survive...who is that SOB author who wrote this ?
leaps of faith don't add cash flow back into the financial statement only better oil prices will do that. They are boxed in by uncontrollables and the debt they incurred , lenders a taking a more hands on approach with them and giving them little room, like it or not that's reality .