RE:RE:RE:Share buy backs do not serve Share Holders...
look at ARC today, they are trading in the 23 dollar range and just bought back over 25 dollars. --
An extremely shortsighted and deeply flawed take. Not that I would expect you to understand, but I was explaining that the benefit of buybacks take time to kick in. But once they do, look out.
By your same logic, what would you say about the ~80 million shares ARC bought back in the mid-teens? How's that looking to you at the moment? I'd call it genius.
Done consistently over a long period, buybacks are in fact an extremely effective means of shareholder returns.
Your biggest problem is called all-or-nothing thinking and it's an investor's worst enemy.
MyHoneyPot wrote: Buybacks are table pounding when there is FCF and a dividend working.
However when the commodity price fall, all the stock fall whether they have done share buybacks or not, look at ARC today, they are trading in the 23 dollar range and just bought back over 25 dollars.
They finally got attachie off the ground and now that they have some meaningful direction from management share buyback are no longer a priority and the evaporation of capital is slowing down.
Sharebuybacks and Dividends for quality companie like WCP, they took a wack of debt down, but could accelerate their Montney/Duvernay porfolio if they had more cash.
My take on energy stock is that just wait for the next energy price slide and buy, paying top dollar for these stock without a significant change in the underlying production capacity is high risk.
That is why Kelt is one of the best investment in the energy space, with a premier play skew towards Montney oil with Charlie like icing on the cake.
All the Duvernay and Montney assets are not the same, and ARC thinks their postage stamp NE BC plays excluding attachie are really worth while, in the high risk political enviroment.
IMHO