Post by
Snowballer on Feb 08, 2021 1:54pm
Market Cap To Shares Outstanding Comparison
Taking the interday market cap / shares outstanding = multiple of shares outstanding
(*the inverse gives as a percentage rather than an Xfactor i.e outstanding shares = x% of market cap value.)
In higher oil price environment, the negative debt turns into positive leverage. Watch BTE surge and it's low mutliple compound.
Taking a cross sample of oil companies from the O & G sector:
VII 7.2x
ARC 7.39
CVE 6.5x
VET 6.3x
MEG 5.7x
WCP 5.4x
ERF 5.12
CPG 4.1x
TOG 3.1x
BIR 2.68x
TOU 2.2x
NVA 1.47x
BTE 0.99x (***NOT EVEN 1X***)
GTE 0.93x
You can see the factor of shares outstanding to market cap for all these companies range from under 1x to over 7x
At a measly 1.5x BTE stockprice is $1.50
2x = $2
3x = $3
4x = $4
5x =$5
I think a 3.5B market cap with a 1.5 debt load brings us to a fair EV of $5B which = $6.29 net of debt in a $65 oil world.
People laugh at a $6 price target but I would ask you to start posting your own equity valuations, ratios and mutliples.
Comment by
lensgto on Feb 08, 2021 2:56pm
Snowballer: So under valued the sleeping GIANT is about to be WOKE UP thanks for that info. When Nuttall was on last and stated that BTE was in a value TRAP we dropped 20% should be very positive tomorrow, a 20% jump would be nice for starters. Then the yearend results comings very soon with the first quarter out on May 03/21 should see $2.00 GLTA LONGS
Comment by
rustyblades on Feb 08, 2021 3:31pm
Going by memory, I don't believe Nuttal called BTE a value trap. He said there were other names with more torque to higher oil prices and these were the types of stocks he wanted for his fund.
Comment by
riski on Feb 08, 2021 3:46pm
It will be interesting to see how he walks that back his comments having sold at 0.55 and then buying back in at 0.75. Obviously the deep value was too much to ignore. He should have stuck with it, but good on him for acknowledging the error and getting back in.
Comment by
lensgto on Feb 08, 2021 3:50pm
He said that it was in a value trap and had sold all of his BTE shares (his exact words)
Comment by
Maxmoe on Feb 08, 2021 4:04pm
Tomorrow he will admit all value stocks are a trap, until they aren't.
Comment by
Maxmoe on Feb 08, 2021 4:06pm
And later he will be anointed fund manager of the year because he was the last one standing in the energy sector.
Comment by
ManitobaCanuck on Feb 08, 2021 5:11pm
I cant help but agree with Maxmoes opinion of the this joker clown formally christened and baptised in this group as Nutsac .......ROFL
Comment by
lensgto on Feb 08, 2021 4:13pm
BTE fell from $0.56 cents to $0.40 cents, I believe he shorted the stock right after he sold. Only MO
Comment by
Maxmoe on Feb 08, 2021 4:00pm
In other words if a stock goes up it's because I'm a genius, but if it goes down Eric is the dumbest idiot to ever appear on tv. Hahaha.
Comment by
rustyblades on Feb 08, 2021 5:21pm
I concur with your view. I have a lot of respect for him.
Comment by
Maxmoe on Feb 08, 2021 3:48pm
You mean March 3 I assume, not may.
Comment by
lensgto on Feb 08, 2021 3:57pm
Whoops forgot to add in the end of year quarter financial date as well
Comment by
Maxmoe on Feb 08, 2021 3:57pm
Are you nuts or just making sh!t up? The inter day or any time of day market cap / shares outstanding = the fricken stock price!! So all penny stocks are cheap compared to a $20 stock? Or are you just trying to be funny? I hope so.
Comment by
Snowballer on Feb 08, 2021 4:46pm
hahahahaha you're the only one who got that lollll. Another way to sho tho that BTE is 5 x less than what I think it should be. Just having a bit of fun playing around with price comps but also interesting to think of it differently in terms of a sharefloat multiple... what a stock price is ;) vs. the discounted cf method to arive at a price.