I still maintained that Akita will double in price in 2025While anything is possible,i doubt very much that Akita will go and buy another outfit.
Darcy did say that they would like to grow but like Blindpig noted, they cannot use their stock
since it is way to cheap versus it book and more so the replacement value of their assets.
They are taking debt down, i doubt they use debt to do an acquisition.
At the rate they are paying down debt,Akita will be debt free
by the end of this year or at the latest in Q1 of 2026.
I will say it again,since Akita is and by far the cheapest public driller,it would make
a lot of sense to buy back their own share.
By doing so you are in a sense growing the company by increasing the EPS and all metrics / share.
Who knows, maybe one day, they put themself for sale to a company like Helmerich & Payne
or another USA driller could be interested in putting their hands on Akita and taking advantage of their tax loss + their Extreme drilling that is doing
EXTREMely well in the Permian while
expanding in the booming Canadian market
Once again, here is what Akita's tax losses as of december 2023.this assets is not recorded on their book.
Total gross tax losses available to the Company are $415,652,000 with $379,378,000 in the US and $36,274,000 in Canada. The first
of these losses will begin to expire in 2031.
We should have more color when they report Q4 in mid March.
I will be looking at Precision Drilling results this coming Wednesday after the close.
Nice day to all.