RE:RE:RE:RE:Eric Nuttall ,Nine Point still holding ATHIndeed, using an EV/CF multiple of 4 against the companies unhedged cash flow potential he came up with a target price of 1.91 @ 70WTI
https://twitter.com/ericnuttall/status/1352646378120499205/photo/1 Since then, the company has managed to slightly lower operating breakeven to $43, from $45...so if anything, unhedged cash flow should be even higher than the numbers used by Nuttall Jan 2021
Whether we ever reach the price targets will probably largely depend on generalists reutrning, if and when that ever happens. Canadian energy, whether small, mid or large cap have all had decent runs after bottoming out early last year, but all remain significantly undervalued, especially in comparison to US peers.
That being said, this isn't just a Canadian story, basically asides from the US, most energy stocks world wide seem to be having tough time in general, especially the European ones, which are even more undervalued than Canada.
ComradeKomissar wrote: His thesis is for ATH to be at $1.90 at $70WTI. That's the floor. ATH has some staying power until WTI hits $100