RE:RE:RE:RE:RE:RE:Anyone who Shorted Peyto has done great''You're arguing that PEY needs to go in pure 100% money-saving mode. For example, that they should pretty well eliminate all capex as well as the dividend and use whatever spare cash they have to pay down debt and buy back shares.''
No, no. I never said that. One would rather get out of the stock completely!
It is all a question of dosage.
For the last two years, Peyto should have reduced its dividends and capex program by half and my comments on the forum were written accordingly. Never said to eliminate them.
Production would be 50 000 boe/d today but debt would be around $600m not $1.2B, they would be able to act on their issuer bid and share price would most probably have smooth down at a higher level.
On the other hand, their strategy brings the possibility of buying super cheap PEY shares.
This situation might be an opportunity if they don't go into bankruptcy protection.