RE:April 2024 Share BuybacksI am hoping it will Trapped. I like to think of them not only saving the current dividend rate but also the potentially increased rate as well.
It looks like this month's buybacks are 10% higher than the previous months. Is this reflective of increased free cash flow due to those higher WTI prices we were experiencing over the last 2 months?
I had said earlier that I hoped that ARX were the ones buying back when the share price dipped under $25 indicating they had raised the intrinsic value of the shares to at least that level. It looks like they feel it is anywhere under $26 per share based on some of the purchase prices. Of course only they know how much they are going to actually save based on future dividend increases but I would say it bodes well that they feel they are still getting them at a discount in the $25+ range.
Just as side note to this topic I really like the resiliency the share sprice is showing in the face of dipping oil prices. Just as one commodity dips here comes NG rising back a little to fill that cash flow gap and I am sure that even the small amount of buybacks help with this effort too keeping the shorts on guard and guessing just how many shares ARX will actually buyback at a lower price.
Really looking forward to earnings and seeing what management has for us.
GLTA ARX BULLS
Trapped wrote: ARX repurchased and canceled 220,000 shares in April. Last month's buybacks alone will save the company approximately $150,000 per year on dividend payments at the current rate.
We'll see next week if this sustained lower level of buybacks translates into a dividend increase along with Q1 earnings to maintain the company's stance on growing shareholder returns over time.
Cheers and GLTA ARX Bulls.