RE:RE:RE:Thoughts about BTEGF from IV board
The theme of the message from the Investor Village Board is that BTE has lousy management with examples. BTE does have lousy mangement. Although they have been forced to place poor hedges by the banks, it was BTE mangement that got them in that position. They over paid for poorly timed aquisitions, diluting shareholder value, and cut capital spending resulting in reducing their output. Management have shown no ability to read the oil market trends. These actions or lack thereof have resulted in the company's recovery taking 2-3 times longer than other companies if oil prices hold.
If new management was brought in, the price of the stock would probably double, however, not much chance of that happening.
The next move up in the stock price will depend on 2nd Qtr results. If they don't deliver, the stock price will be flat. If they deliver the expected results there is still some upside, but the easy money has been made.
The Canadian oil business is based on poor business practices. What other business spends 10's of billions of dollars on a product that they don't who will buy, at what price, or how they will deliver the product. It is totally one big gamble.
Providing a 5 year plan is pure fantasy. There are too many unknown's in five years, especially with a Prime Minister who is intend on taxing the oil business out of existence.