RE:RE:RE:RE:VETs MO I believe is to rape the company Hedging is usually a losing game as they are pre-selling future production so buyers alway pay less than what future prices are expected to be otherwise why take the risk.
The industry sucks at forecasting future oil and gas prices. When prices rise more than they expected they look dumb but if prices fall they look like heroes but nobody cares because low commodity prices always depress the stock.
Management always uses the argument that they hedge to protect the balance sheet but if they didn't use so much debt they wouldn't have to do that.