RE:BTE, WCP, both trading under 3x earnings It seems with this I am on the right track to continue to pile my dividends into both.
Since market value doesn't always translate the key I guess for me remains...pay the debt to $800M...while you do that increase my equity % with buybacks...once you get to $800M pay my dividend at a higher equity %.
Baytex is a bit further behind WCP on debt (and WCP has a dividend). What holds back WCP is clearly the vague actions imo.
I feel IF they stopped with the large block buybacks...starting filing buybacks weekly (or AT LEAST monthly) the stock would rerate.
But alas some in O&G are not the greatest at marketing....they will get there...patience (while I continue buying)
I have said it before and I will say it again....just say NO to block buys...think of it as a marketing tool and file buybacks weekly or monthly.
You don't need to do a news release....we all have access to insider filings...and it will get out there publically.
The cloak and dagger stuff doesn't excite people...oh....and get rid of that stupid word "Discreationary"....it like "Transitory" or the new one "soft landing"...horrible buzz words.
It's like asking your wife how is she feeling...and her telling you she is feeling "discreationary" what thae hell does that mean for me LOL
Wildfury wrote:
Once again, I look at both Baytex & Whitecap shares trading at under 3x P/E Ratios, makes no sense & both are severely undervalued. For example, ARX trades at 15x earnings, TOU at 12x, BIR trades at 9x earnings. I could keep comparing with many other Canadian oil and gas companies that are also in double digit P/E Ratios. Would it be safe to say that Baytex energy shares should be trading at least 10x earnings, equaling approximately $25.00? As for Whitecap resources, a P/E multiple of 10x should be in the $30.00 range. What's holding these two behind in the valuations dept? Is it the outstanding shares & debt? I trying to understand why so many other companies are trading at 10x earnings or above since many also have debt, some have fewer shares & at the same time have less revenue, less production, less FCF. Thoughts on this topic?