ARC Resources Ltd T.ARX

Geopolitical Risk

[MyHoneyPot]

Who can say that a big part of the price increase is not from the current geopolitical risk we are experiencing today, namely the war in Ukaraine. 

So really, the commodity prices, and the entire market is out of wack, and while people are figuring out how to heat their home, feed themselves, this is not a normal world. 

Neither are these stock prices trading at normal levels, these oil companies all told us they stress tested this balance sheet before, however it is just a big lie, and the first thing that will happen  when the commodity price goes down is that we will see the dividend slashed. 

In fact this management team is the King of the slashers, and ARX use to provide a meaningful dividend. They have done in before, so hand on tight to your 12 cents a quarter, its a very small percentage regarding what ARX use to pay out, at much lower commodity prices.

So when prices are high they bayback expense shares and pay huge hedging losses, 250 million cash cost last quarter, ARC would of had 60% more FCF if it were not for the hedges. 

When commondity prices are low you can't give away the shares. What do you think the buyback price would be a $40 dollar oil, $3 dollars?

That is why TOU is so much smarter than ARX, and keep their share float in check when commodity prices are low the their shareholder benifit when they are high, like the $1.50 special dividend they are giving, on top of their regular dividend this quarter $1.70.

We have witnessed the insiders taking care of them selves, but they are not taking care of share holders 

Stop the share buybacks they are thowing your cash out the window, NVA in thise quarter press release says the best return to share holders is through the drill bit, does that make sense they are an energy company. So ask ARX management why sitting on their hands for more than a year has been the best investment they can make for share holders. 

Management are poor, and at the trough for themselves. We saw it in last quarters results. 

IMHO

[Quintessential1]

You are a tool.  Your English gets worse with every post.  I do not think anyone should be taking investment advice from someone that cannot even operate a basic spellcheck function. Now you are suggesting management should not even give shareholders returns by any means but should just drill and increase production. First the the dividend is not big enough now it is too big and should

[MyHoneyPot]

ARX is laggard, just like you... Management has no problem sitting on their hands, loosing 250 million in a quarter to hedges, letting 1/2 cycle production sit idle while the gaze into the crystal ball, while holding prayer meeting for the sanctioning of Sunrise and Attachie. The only real capital project which is dawson, electrification, that will go a long way to providing share holders