Baytex Energy Corp T.BTE

Snow, just curious

[BayStreetWolfTO]

Since you know all the financial numbers as well what is your upside target for BTE. I get your downside but what are you on the upside?

[Snowballer]

Same as most, same as I've been saying for years based on $80 to $100 WTI: $12 -$14 I agree with your assessment of $24 in 2023 and higher if we are in a multi-year bull market.  But a recession could completely derail these targets and/or policy risk around energy.

[BayStreetWolfTO]

What are your thoughts on the demand dent of a recession given the "great recession" dented by a couple %. Do you think the EIA and EIA are right that even with a recession demand outpaces supply? I know you have been reading quite a bit on recession fears...have you quantified what that is from your perspective?

[Snowballer]

I appreciate the question.  While I suspect demand will outpace supply (regardless of the EIA's opinion) I have not (and do not feel like I could) quantify what a recession would do to oil or related equities.  Seems reasonable enough to suggest some demand destruction would play out despite a tight market. So the price of oil will be impacted to the downside (as we have seen

[Moemoney42]

Many of the companies I follow have their debt locked in for years.. and by the time much of it comes due, these companies will be near zero debt.. as compared to other sectors, the O&G industry is best positioned to weather the rate increases.. but that doesn't seem to matter with these stocks trading on headlines only and not fundamentals.. IMHO..