Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Quote  |  Bullboard  |  News  |  Opinion  |  Profile  |  Peers  |  Filings  |  Financials  |  Options  |  Price History  |  Ratios  |  Ownership  |  Insiders  |  Valuation

Northern Spirit Resources Inc. Rights V.NS


Primary Symbol: V.NS.RT



TSXV:NS.RT - Post by User

Post by stockfyon Mar 06, 2019 11:03am
93 Views
Post# 29449417

Overlooked oil-weighted producers: ATU and TGL

Overlooked oil-weighted producers: ATU and TGL
Aside from ATU, another oil-weighted producer with a pristine balance sheet, dividend and production growth with a pristine balance sheet is TransGlobe Energy (TGL) or TGA in the US. The recent AIM listing in London boosts awareness and the company expects that it will attract European investors this year.
 
TGL gives a semi-annual dividend of 3.5 cents in USD, or 7 cents per year in USD, or 4% yield, and its current Enterprise Value of about US$120 million is less than 2 times its annual cash flow.

Also TGL has production growth thanks to its new discoveries in Egypt (Ghazalat and El Alamein), low cost wells and no debt problems because its cash exceeds its debt, so its net debt is negative.

Also TGL will generate free cash flow in 2019 as well because its 2019 CapEx is just US$34 million, which is much less than its projected annual cash flow.
 
At less than 2 times its annual cash flow, TGL has absurdly cheap valuation according to its presentation below:
 
https://www.trans-globe.com/upload/announcement/132/06/2019-01-30-january-corporate-presentation-final3.pdf
 
 
Just my two cents.
 
<< Previous
Bullboard Posts
Next >>