RE:RE:RE:CPG VS ARXMyHoneyPot wrote: ARX if you compare its CF to tourmaline, should be have an equal enterprise value, they have twice the liquids. ( i mean crude and condensate )
CPG has about 9% more crude and condy than Arx, and that is about 60% of their cashflow, so CPG has about 66% of ARC cashflow in the way of Oil/Condy.
The gas component Arc has about 10X the gas production, and 2.5 X the liquids production.
So i think you could say CPG has 70% of ARC production with 80% of the share float. So you could say they would trade at 87% of Arc market cap. Similar debt.
ARX market cap is 9 billion, Cresent Point is 3.5 billion.
87% of 9 billion = 7.83 billion so Arc should be 2.23 times higher or $13.24 a share.
But according to analysts ARC average price should be $18.21 based on the consenous of 8 analysts.
CPG should be a 20 dollar stock.
It is to cheap and you should take the opportunity to load up.
ARC will have 1.5 billion in hedging losses in 2021 and almost 700 million in losses in 2022. CPG hedge book has hardly any liability when compared to ARC.
IMHO
Everybody knows that CPG is cheap and undervalued. There is a reason for that however : management and their contempt for shareholders.