RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:PerspectiveMoemoney42 wrote: masfortuna wrote: Moemoney42 wrote: I suggest that as many (including the company) are concerned about the high share count.. as well as, as I've mentioned in past posts, some investment houses
will not invest in a company whose shares trade below $10 USD.. I thought I made that clear.?
masfortuna wrote: Moemoney42 wrote: Nextlegup wrote: Admittedly, I'm surprised by the armchair quarterback who seem to have it all figured out on what Baytex should do...and based on the comments, a significant lack of understand as to consolidations...
Consolidating the the shares "DOES NOT" change the return investors receive...You consolidate shares....1 share for two...You have 1/2 the shares outstanding but double the dividend..Your return is no different!
Additionally, consolidations are often viewed as negative by the market..
Baytex is going to do just fine!
Admittedly, they have a lot of shares outstanding..but value will be realized!
GLTA
Talk about arm chair quarterbacks.. too bad some can't read..!
I never said it "changes the return the investors receive" did I.. I said "cutting the share count in half and doubling the divi won't cost the company a penny more"..
If the share consolidation is done during a postition of strength (which I believe we'll see going forward) especially with the debt being paid down it won't be "viewed as negative".. thats just boiler plate jargon as some companies decide to it to maintain listing requirements.. and many of those companies are small or micro cap companies..
If you predit "a position of strength", then why the need to change anything? I don't think the problem is unidimensional as you suggest. Regardless with anagement will do, it will take some time before we get a rewrite on what BTE is worth, IMHO
There are many O&G companies that trade above $10 that have a p/b value (or whatever metric you choose) as low as BTE's.
That's not the point Mas.. I realize what you're saying.. my point is if we can attract another level of investors that will hopefully propel the stock higher as there's more demand for the stock... get it.?
Yes we might Moe. You are right about that, but at the end of the day I think it will be fairly limited so again I think patience is required at this point.