Post by
survivor2015 on Dec 31, 2017 2:48pm
Tempted to sell but undervalued at $3.06
At $3.06 GXO, one side of me wants to sell this oil and move to better horses like CJ or BTE but the other side tells me it's undervalued and ready for a bounce.
From a technical level, it has good support as a technical traded pointed out. And now this past Friday we saw a CCI Buy technical Indicator.
On the fundamentals side, the split from Boulder should become more formalized in 2018 and one would hope investors would stop paying for useless two-timers and double dippers like Cheyne. Glad to see he sold to people more committed to Granite without selling to market on his last round.
If I had a bigger investment in Granite, I would be on the phone to ask them in a very harsh tonne of voice what they plan to do to reduce management "two timer" activity. Boulder management should focus on running that company and Granite management should focus on running this one.
Right now, the technical indicators show we should see some positive stock price action. But it's too easy to move that 9% dividend from here to Cardinal now. That one is on track combineing both large dividends and monstruous capital appreciation of the stock price. GXO is still a big question mark for me and sits in my speculative oil investments along with smaller TAO which appears to have taken off now since it's based on Brent Oil which is $66 USD per barrel.
If the WCS to WTI continues to improve, GXO should take off in positive territory with others.