Some figuresAll of you that are experiencing P/E at the thought of SGY reaching $12, I give you some figures.
Also, take into account that there is less drilling, so supply is limited...
First chart: the price of oil the last time it was at $95/b
https://bigcharts.marketwatch.com/advchart/frames/frames.asp?show=&insttype=&symb=cl1&x=46&y=18&time=13&startdate=1%2F4%2F1999&enddate=3%2F2%2F2012&freq=3&compidx=aaaaa%3A0&comptemptext=&comp=none&ma=3&maval=90&uf=8&lf=2&lf2=4&lf3=1024&type=2&style=320&size=4&timeFrameToggle=false&compareToToggle=false&indicatorsToggle=false&chartStyleToggle=false&state=15
Second chart: price of SGY now at $95 oil v price of SGY the last time oil was $95.
https://bigcharts.marketwatch.com/advchart/frames/frames.asp?show=&insttype=&symb=ca%3Asgy&x=56&y=16&time=13&startdate=1%2F4%2F1999&enddate=3%2F2%2F2012&freq=3&compidx=aaaaa%3A0&comptemptext=&comp=none&ma=3&maval=90&uf=8&lf=2&lf2=4&lf3=1024&type=2&style=320&size=4&timeFrameToggle=false&compareToToggle=false&indicatorsToggle=false&chartStyleToggle=false&state=15
Need I say more???
Would Paul like to explain the charts?
Even if SGY started to pay a dividend tomorrow, the best that we could hope for is a double: maybe!!!
Hedge now for one year.
Pay a dividend commensurate with the price of oil.
Keep up to date with reducing debt.
Keep extra cash to buy back share when they go down: and they are going to go downl!!!
Haven't chaged my outlook for the market
snp to 4000, back up to 5000 maybe a little over shoot and then 3600 and probably 3200...
As soon and the Fed raises rates and start to unwind the balance sheet, the market will crash!!!
From snp 5000 to 3200 is a crash. Even if ONLY to 3600...