POU why to buy
I heard an analyst from Rayamond James Analyst this morning and I thought that he said something that made a lot of sense. -
He currently is not investing in companies that will only do well in their higher price enviroment, he wants companies that would continue to do well in a lower price enviroment and are not real sensitive to the price.
So companies laden with debt like BTE, TVE, although they may do great in a higher price enviroment will struggle with lower prices.This picks of Eric Nuttal are struggling and have been under performers.
POU with 700 million in assets on the balance sheet, and a huge undrawn bank line is in the place to consume some of carnaige that will exist in a lower price enviroment. This is why POU does not evaporate capital with share buyback, and responsibly manages the share float all the time.
IMHO