RE:Patience and the Macro environment Always refreshing to read you posts JD.
I certainly encourage everyone to read and understand your position.
Your long-term, diversified balanced approach is something many could learn from.
JohnnyDoe wrote: Been a lot of arguing the past two days with the price of oil going haywire. Look at where this stock has come in the past year and look at the balance sheet repair that will happen over the next 12 months. Right now, wti can take a 20% hair cut and this company is still printing money. They hit the 1.4 debt target. Next target is 800. At these prices, we hit that in about 6 months from now. I say that thinking right now that debt is under 1.3.
where can you get a more sure double than cdn mid caps in the next 12 months? Tech. No. Crypto no. That's almost gambling. Banks? Utilities? Pipelines? I own a couple of each. Great income long term holds, but there's no doubles on the horizon. Heck, I'd be shocked if you can get 25% stock appreciation from them and thrilled if if I do. But these oil companies at prices in the 90 are repairing balance sheets and they're going to be churning out cash like crazy. Nuttal tweeted today that bte can pay back debt and privatize in 2.7 years. It'd take about 4.5 billion in fcf to do that. Let that sink in. 1.3 in debt. That leaves 3.2 billion in fcf that is potentially distributable. We have no idea what they will do with that amount of cash but it is crazy to think about. And we've got a growing production profile on unhedged barrels in the most economic play in North America.
There's just nothing to criticize here. Every day above 90 is pure gold