An oil Company can surviveI think Crescent point can survive. I know many here have lost lot's of money, on paper and in real life. In no way am I an apologist for past management or many of CPG's corporate sins.
The difference is, the debt. 2.3 billion is way better then 4+. They got a good price on the American Utah assets, the infrastructure deal combined with the hedges, changes the outlook on the company to me.
Maybe, just maybe management found religion. Since the CEO change etc. management has been focused, creative and made a couple og good deals. I am still sceptical about the company exactly for the same reasons many have listed her Ad nauseam.
They have to continue to execute for sure, however, if they do, execute, this would be a name institutions would rush back too. It likely becomes a survivor, and on the other side of this what has become 6 years of crisis for Canadian O&G. If they survive, they become a consolidatory and the market cap goes from 1 billion to 10 billion. The distribution goes from 1 penny back to 27 pennies.
I think Brian Acker called this one, I am not a fan of his, however, he has changed his tune recently and so have I.
If, if's and buts were candy and nuts we would all have a Merry Christmas. Time will tell. on this cheers Matthew