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Gear Energy Ltd T.GXE

Alternate Symbol(s):  GENGF

Gear Energy Ltd. is an oil-focused exploration and production company. The Company carries on the business of acquiring, developing and holding interests in petroleum and natural gas properties and assets. Its operations are located in three core areas: Lloydminster Heavy Oil, Central Alberta Light/Medium Oil and Southeast Saskatchewan. The Company is also engaged in focused on improving oil recoveries through the application of water flood technology. The key properties in the Central Alberta Light asset include Wilson Creek, Ferrier, Killam, Drayton Valley, and Chigwell.


TSX:GXE - Post by User

Comment by Quintessential1on Jan 27, 2024 3:13am
100 Views
Post# 35848333

RE:This may be what Warren calls intrinsic value investing now

RE:This may be what Warren calls intrinsic value investing nowYou might be right about the bottom being in.  I had thought $.60 could have been it and I was waiting for the share price to hit it to average down but it never quite got there.  There may be another chance to before the summer cycle and recovery starts to affect the entire sector.

I can see a certain similarity in GXE's position to WCP's but believe WCP may fair better just because of liquidity.  This small cap stock's liquidity worries me a little.

CJ is in a much better position than both IMO and quite honestly if that is what GXE is competing with it's share price might have to drop lower to compete with CJ's yield to attract investment.  I only like GXE's debt position over CJ's and if commodity prices stay higher and the WTI-WCS spread narrows then GXE might gain some traction in the market but then so might they all.  This sector got a litlle beat up over the winter but it always does.  Sunny summer driving may fix it all up for everyone. 

GLTY and all 


w8asec wrote: It's possible we're oversold and bottomed...

Compared to certain peers (CJ,WCP), we look good now at this pricing... P/E is really low at 3.8 compared to 5.1 & 5.9 

Payout ratio seems to be only 50% compared to 70%

Debt to production is lower also.

Time will tell, but I think I will keep a few stink bids active.


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