Hyakugo Bank Ord Shs HYKUF

opinions

[Binkie]

I took a small position today. I'm not sure that I understand why the sp has performed so poorly. It was $1.10 in October and now at .53 but coal prices have been good and look good for the next year/ far better than a year ago. Any thoughts or opinions?

[Rational43]

Most undervalued name in any market.  Trading about 1/2 this year's cash flow, and 1/4 cash flow at current spot prices.   Its been getting dumped by two major equity funds that held it, and it just doesn't attract enough interest to offset the selling pressure.   This will absolutely rocket at some point, likely when details on earnings, and future prices come out

[Binkie]

Sound counsel. That's the type of investment I like, sp severely misaligned to actual value- very little downside but significant upside. Know of any others like this? 

[Rational43]

Nothing else THIS cheap.  Some oil producers trading at 2 x CF, one even possibly trading ~ 1.3 x CF (IPO and YGR respectively) Both growing production.  Mostly unhedged for oil. I think Peabody BTU maybe trading ~ 1.2 x '22 CF, its the cheapest "big" stock I know, but if I knew anything else trading at less than 1 x CF, and less than 0.5 x '23 CF, I would love to buy

[Binkie]

Thanks Rational43, I'll check out those stocks. I looked at Yangarra a few months back but don't recall much as I looked at a lot back then and since. I took a beating when the pandemic hit and crashed everything- I panicked and sold (thinking it was going to get even worse) thus ensuring huge losses, and I have just started investing again trying to recover. I wish I knew more, I would

[auburn2]

I agree CSO must be one of the cheapest stocks around right now. Selling pressure I think from Sev.en Energy. They still own millions.

[PrinceCherwayko]

Check out EGY and pay close attention to all details- will end year at a 6 bucks / CF per share at 90s oil ( very little hedging, CEO not into hedging beyond 6 months capex) with 14/15k bbl production (drill program ends in ~4 months) 

[Binkie]

Wow your picks have been doing great Rational, congrats since you mention ygr it's up over 15%.  Corsa has been swinging wildly the past week. I would have thought the year end report would have been seen as a positive since they turned a Q4 profit and the hedges are off so they will begin benefiting from higher coal pricing. Neutral at worst but I didn't see that coming. Anyone

[auburn2]

Says right in their financials the plant and property has a book value of C$154 milllion after impairments, but a cost value of C$403 million. The last figure is about how much it would cost, but in truth it's probably more now as inflation has everything going up in price. The company should be a great hold over the next few months, with a reasonable $2 near-term target. You don't want

[auburn2]

https://www.consolenergy.com/operations/ https://investors.consolenergy.com/sec-filings This company would make an ideal suitor. They could easily swallow CSO and extract superior value for all shareholders. I take it with the recent poison pill is about ensuring CSO shareholders get a fair price from such a takeover offer.