Strathcona Resources Ltd SCR

Primary Symbol: T.SCR Alternate Symbol(s): STHRF

Energy Oil & Gas E&P

Strathcona Resources Ltd. is a Canada-based oil and gas producers with operations focused on thermal oil, enhanced oil recovery and liquids-rich natural gas. The Company has three operations, including Lloydminster Heavy Oil, Cold Lake Thermal Oil and Montney. The Lloydminster Heavy Oil segment has multiple large oil-in-place reservoirs with existing and expanding enhanced oil recovery (EOR) opportunities primarily located in southwest Saskatchewan. Its Saskatchewan thermal properties rely on the same steam-assisted gravity drainage (SAGD) processes as its Cold Lake Thermal properties. It is a producer in the Cold Lake region of Alberta. Its operations include thermal oil producing assets at Lindbergh, Orion and Tucker, with production from SAGD oil assets. Its Montney development is positioned in some of the active regions in the Montney basin, the condensate-rich Kakwa, Grande Prairie, and Groundbirch regions, and produces liquids-rich gas.

TSX:SCR - Post by User

Strathcona Resources Ltd > PENN analyst target $120..would equal to $45.80/Score share

<< Previous

Bullboard Posts

Next >>

Post by pigsandsheepon Aug 05, 2021 6:27pm

457 Views

Post# 33661314

PENN analyst target $120..would equal to $45.80/Score share

See below analyst projection of Penn to $120...that would mean that the .24/share of Penn that score shareholders would get would be worth $28.8 plus the $17 in cash for a total of $45 of value for SCR.

PENN reported a broad-based EBITDAR beat (even ahead of its pre-release), but all attention was focused on the acquisition of Canadian based operator theScore (SCR, NR) for ~US$2.0B. We remain bullish on PENN's Interactive opportunity with clear revenue and cost synergies with the addition of theScore to the Barstool Sportsbook and brand. While valuation is high relative to theScore today, we see them as a meaningful player in the emerging Canadian market and think PENN management has proven themselves as disciplined stewards of capital (see the Barstool deal most recently). We tweak forward estimates with no major changes (estimates exclude SCR for now). PT moves to $120 (from $115) on Canadian upside from the deal.