Athabasca Oil Corp T.ATH

BMO pegs Meg at $14 or 4 bill market cap then ATH 1/3 min

[bosstrade]

Meg 100 k bpd and ATH 34k. Forget reserves, light oil, debt carry forward etc and ATH value is $1.3 bill or $2.50 ish plus 
Keep trading it, lots of room to run.

[Backinblack1000]

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[Eigen337]

This post has been removed in accordance with Community Policy

[Rational43]

You'd be better comparing Enterprise values, IE Market Cap + Debt for the two companies.   Production is a proxy for value of the future cash flow, and Market Cap + Debt is what its current "valuation" is.   Interestingly, MEG and ATH both have about the same Debt as Market Cap (although both debts likely dropped from Q1 numbers) MEG Enterprise value ~ $5.6B

[ManitobaCanuck]

Yea, both ways the stock should be around 2$ for fair  value

[Rational43]

Well if you have ATH at a fair value of $1.9B, about 1/3rd of MEG on Production, than in two years when ATH has zero debt, that same $1.9B Enterprise value would be a share price north of $3.  

[ComradeKomissar]

Your average E&P equity is trading as if oil is $55, if this banker's calculation is to be believed. https://twitter.com/IliaBouchouev/status/1406991102012502018