Nuttall's CommentsSpoke to him again yesterday at the Toronto MoneyShow. GLTA
Tamarack Valley Energy (TVE TSX)
Owing to its extremely profitable wells in the Clearwater, TVE can cover its four per cent dividend and keep production flat at $49 WTI ($42 with current hedges) offering a high degree of safety in a volatile tape. Trading at 3.7 times/3.2 times EV/CF at $70/$80 WTI and a 13 per cent/19 per cent free cash flow yield, we think the company’s inventory of 20 years of stay-flat Clearwater inventory is being mispriced, with a fair value closer to five times EV/CF = $5.66/$6.80 at $70 WTI/$80 WTI.
TOP PICK
Tamarack Valley Energy(TVE-T)
13/09/2024
Company has hit guidance targets 3 quarters in a row - out of the penalty box as a result. Pure play on Clearwater/Charlie Lake oil plays. Wells are paying our multiple times in ~2 years. Very economic oil metrics. Trading at a steep discount to NAV and cash flow multiples. Would recommend buying at this price. Management buying stock aggressively.
Oil / Gas
Eric Nuttall
$3.830
Owned