Baytex Energy Corp T.BTE

BTE vs MEG

[1234bmth]

MEG is only 4.5% off of its 52 weeks high while BTE is 40.5% off of its 52 weeks high. This is big difference.

[checkup]

Won't stay that way for long because the merger is solid and the energy supply/demand equation is very supportive for the foreseeable future. IMO

[Hightowntrader]

Meg is rolling along very nicely...Quietly, stealthily, with no fan fare-  they are 46 cents off of Cenovus. It's delicious to watch. Baytex threw their plans into the wind and aren't the same company as last year. Apples and oranges when comparing these 2 companies... Both will be fine and if you own both, your profits will be staggered too.

[1234bmth]

No, I sold my MEG while ago and added more BTE this was a mistake, I should have kept both.

[dandu1924]

I think BTE has more torque than MEG  for the future,  BTE can make 2 or 3 baggers after the deal. Anyway I am still long with BTE .  The next one to watch  is ATH because  something does not turn fair with the share price since 2 weeks ago.

[ceenalot]

I like both these companies a lot . Agree though that BTE has more torque than MEG ...but MEG is a sitting duck to get acquired IMO  

[Antonyius]

No one is going to acquire Meg at these oil price environment and company valuation. It's just not a good deal for the acquirer. Meg themself won't sell because they're making good money. Baytex or AOC would be an acquisition target IMO before baytex did this ranger deal. 

[riski]

I think MEG is the MOST LIKELY company in the oilpatch to get taken over. All of CVE, CNQ, and SU would love to have MEG, with CVE being the most logical acquirer due to economies of scale. This is my biggest concern in owning MEG. One of the megacaps is going to swoop in and take them out for 25% premium leaving all kinds of returns on the table that would have been realized in the next 18

[jleer42]

Going back, but Husky couldn't buy MEG. It was due to larger long term holders who understand the value of MEG. I expect an aquisition would still not go through unless it fully valued MEG's future. Probably safe until there is a re-rating in O&G, until then other companies will be the aquistion target. 

[riski]

Yes good point. MEG fought that $8 hostile bid tooth and nail and prevailed. HSE was being opportunistic. That's what I worry about. I'm sure the offers are coming to MEG's execs on a monthly basis, but they know the real value is in keeping things small and maximizing torque. It's probably only a matter of time until we see another hostile bid. The assets are too good and the

[Moemoney42]

Going by memory here.. and you know how that can go (LOL) but... wasn't it Husky that walked away from the Meg buyout.. that's the way I remember it..? Or was Meg holding out for a higher price.. but in a hostile T/O did Meg have the ability to actually fight it off? 

[Moemoney42]

I guess my memory is still intact.. LOL.. MEG plunges 37% after Husky walks away from hostile takeover bid Husky Energy Inc. abandoned its hostile bid to acquire MEG Energy Corp., which has a market value of $2.53 billion, after failing to win support from shareholders and the board of the rival oilsands producer.

[riski]

Yes, they "walked away" but only after realizing they were going to lose. It was like quitting mid game they challenged someone to when they saw that they were going to get their heads handed to them.  They didn't have the support of the MEG execs, that's for sure because they tried a private deal for years before going hostile. But then their ground research showed that

[downwithdotcom1]

"MEG plunges 37% after Husky walks away from hostile takeover bid" is this not deemed a friendly deal with both BODs as well as the major shareholder in support?? to me, everything else is just NOISE...dwdc

[riski]

This post has been removed in accordance with Community Policy

[riski]

I would agree with this. BTE definitely has more torque and is markedly undervalued relative to peers due to overhang from the merger. That will correct in the coming weeks, maybe as soon as next week. $4.20 was a great time to buy, but at $82 WTI, this is an equivalent opportunity at $5.40. There is a ridiculous amount of cash being generated by this merged entity at $82 and the floor for

[JohnnyDoe]

By my calcs, I get roughly 1.15 B fcf at 82-83 wti post merger. That's roughly 1.30 a share with 50% to shareholders.  If oil stays in the 80s, two things happen rapidly  1. Debt is reduced. Debt target to move to 75% shareholder returns is 1.5B. it will take about 7 quarters at 82-83 oil to hit that target. Much less obviously if analyst calls for 100 oil emerge  2

[dllscwbysfn]

I agree. I have said it many times. 80$ plus wti for a couple of years and this thing is a cash cow. BSW would now say that another 4 million going to debt repayment , share buybacks just from today through the weekend. Not too shabby.  Have a good one all!

[1234bmth]

I hold BTE since 2016, back then I was thinking BTE is undervalued and analysts were saying that BTE is undervalued as well, unfortunately this stock is remaining undervalued for many years while overvalued stocks remained overvalued. What I learned from the market behaviour there is a reason for a stock to be undervalued and there is a reason to be overvalued.

[GambinoB]

Get this guy a partoipation award lmfao This is the problem with some still thinking bout over and under valued Quit bein a clown Who cares over or under you can make money everday up or down Must be following the clown snow cap knife is falling guy Lmfao wherr did he go and that clown billionaire kobe cobalt lmfao mista after the fact posting a 100% daily return  Lmfao i got lots of