RE:The Share Price DriversMLEWICKIMBA wrote: 1. 900M in Combined Debt Target only 120 Days.away. Next threshold will be met by June 30, 2024.
2. Dividend is regular for holding
3. Share Buybacks fuel and add to the return of capital goals of Tamarack.
4. Tightening WCS means Tamarack will have sales of 2 BLN this year. This will really improve the balance sheet on all of the costs and outstanding issues.
I feel Tamarack CEO being cautious. I liked the team on the call. Energetic and driving the business forward.
Share price is undervalued today and a 5 dollar price is reaonable as they deliver on 1 and 3.
Have a good weekend.
ML
I am curious how you get to $2 billion in sales. Is that in USD? What are your assumptions?
Here's the math. Take top end of guidance: 63,000 bbd.
Assume production 24/7 & 365 days: Absurd, but let's just assume. 22,995,000 barrels/yr.
WTI would have to average
$86.97/b for the year to get to $2B USD
Is THAT your assumption?
On the other hand if we assume a more reasonable WTI of $75 USD, production would have to jump to
73,059 bbd for the year, or a jump of 15% over guidance, even with round-the-clock efficiency.
If your $2B is not in USD, then that's adding unnecessary confusion in the mix.