RE:RE:RE:Your honest opinion on long term shareholders value
Longhaul76 wrote: Simply my reservation is for the long term prospects associated with this industry in Canada. I had even shares between Cenovus and Encanna. Encanna closed shop and went south sending my share count down by about 1/4 or so after the rebranding as Ovintiv and they have also been on a tear and now sit at close to $60. Don't like selling at a loss but I am truly torn.
Ok, well CVE was much better positioned then ECA prior to the 2019 COVID meltdown. One of ECA's reason for redomiciling to the USA was so they could be picked up in index funds with the idea that would create stability in the share price. They do seem to be doing rather well at the moment.
It is far to question the long-term viability of Canadian oil and gas. I do it myself, which is why when I wanted to drill down into oil and gas, I wanted a stock which would be able to navigate difficult situation pretty well.
Cenovus has some of the best Oil Sands assets in the world, very good NG, high priced Asian gas, and a series of refineries that are generally considered pretty good, and of course most important they are a low cost producer.
As time goes on the demand for Oil and Gas will inevitably decrease, other forms of power will become less expensive and more reliable, hopefully better acceptance towards nuclear will also progress.
This is why I wanted a company that is involved at almost every level of the oil and gas extraction value chain, and most important they had a good balance sheet.
I can't say if you should buy or sell, that is for you. But if you want to be an investor in the oil space, CVE is a pretty good place to be