RE:RE:RE:What's holding Wcp back? Hi Folks, I'm a Newbie on this forum. Haven't posted before so my apologies in advance if I screw up my first post or two.
Today I unloaded 40k + WCP Shares. I am not a short seller and I really wanted to hold this stock long and strong. Here's why I dumped. March 8/21 WCP HIT $6.82. Today they closed at $7.72. A gain of 13% in 10 months. For the risk, just not worth it. The financial institutions are not overly fond of WCP, less then 30% held by institutions. Very low compared to its peers. Myself, I am not overly impressed with their financials. They are okay but could be much better. I am not overly impressed with all their aquasitions and carbon recapturing until they have shown the shareholders some meaningful returns. There latest acquisition was rated slight neutral by Scotia and slightly positive by TD. Slightly here means more or less, it would make almost no difference. Where it does make a difference is in the return to us shareholders. The latest acquisitions and the announcement of the deal with CO-OP represents roughly a whole dollar per share that could have been returned to shareholders.
Management has commented how they are going to return 50% to the shareholders through share by backs and dividend increases. As Eric Nuttal commented, that's what they've said they're going to do, but they have not done it yet. Their dividend is still 20% below their pre COVID dividend. They have totally diluted the shares from acquisitions.
Gee, they buy back 19 million shares then go and do another acquisition for 16 million shares. That's part of our return???
Until they can show us the money, I wouldn't count on this stock doing to much. Talk is cheap-money talks and BS walks.
I so hope to eat crow big time here, please, please, please make me eat crow. I still hold 10's of thousands of shares.
Sadly we probably have to wait until February 28 to see which way this stock is going to go.
I wish everybody the best here and for the most part this WCP bullboard is one of the best.
Happy New Year