Baytex Energy Corp T.BTE

The flip side

[Kelvin]

Ok so what happens if a company loses money? Say a company has $1500 and 500 shares out. That's $3 per share. The next year they lose $1000 leaving $500. That's $1 per share.

Say a company has $1500 and 1000 shares out. That's $1.50 per share. The next year they lose $1000 leaving $500. That's 50 cents per share.

In the first case shareholders lose (3-1)/3 × 100 = 67% in share value.

In the second case shareholders lose (1.50-0.50)/1.50 x 100 = 67 % in share value.

So the downside loss, in percentage terms, is the same regardless of the number of shares out. Yet the percentage gain for a given amount of earnings increases as shares out decreases. 

So why wouldn't bte trying to be buying back as many shares as possible as cheap as possible. Maybe they're doing just that and maybe that's why the sp is range bound. If that's true then the longer that the sp is range bound, then the more shares that bte will buy back and the better the percentage gain on sp going forward.

[dllscwbysfn]

It looks to me that you are a soft basher. If you do not like or understand buybacks then I think there must be many companies out there that are not buying back shares that would better suit you. Why are you here????

[David01montreal]

This post has been removed in accordance with Community Policy

[masfortuna]

Ok I'll bite.  If a company is "losing" money, they won't have enough to pay a divy. They may cut the divy. Do you know what happens to the sp when a company has to cut the divy because of financial constraints? Less shares gives a company a higher eps. The value of the company is the same regardless of the amount of shares BUT the value per share increases. You got the same

[Kelvin]

Yeah masfortuna, in the very simple analogy that I am using the pool of money represents total assets or book value which I understand to be defined as the market value of all assets left over after all liabilities have been paid. Sorry for not being clear on that. Anyway thanks everybody for your input. It has cleared things up for me. It comes down to how capital is best deployed for optimum

[CountryBoy69]

Hey Kelvin , l promised myself twice that l would never go back into the O and G sector. With the Global financial collapse of 2008 l dumped all my Mutual funds and assumed the responsibility for our portfolio. I bet a lot on the sector and made a lot but didn't expect Obama to be so anti CDN and negative and truthfully rode it down and lost most of it. Correct me if l am wrong , but wasn'

[Kelvin]

Good day CountryBoy69. One analyst talked about bte's margin mix. Bte produces light and heavy oil and natural gas and natural gas liquids. I imagine that they use the nat gas liquids to mix with heavy oil to make dilbit (diluted bitumen) which they sell. Other dilbit producers may not have the nat gas liquids that bte has and have to buy them. So if nat gas liquids shoot up in price then

[CountryBoy69]

Personal attacks , over the years l have suffered with thousands and l mean thousands , especially by the now defunct 100 account troll who posted disgusting Gay videos , rewrites of my posts , outright slader and SH did absolutely nothing for 4 years. Now they got religion , yeah sure , that's why post removals and suspensions . I guess unlike you at this time , l don't mind a good fight

[Kelvin]

Good evening CountryBoy69, I had a busy day today researching things like what market makers are and what they do. Man this stuff gets involved! It'll take me a few days to sort through it all. "A market maker is a firm that stands ready to buy or sell a stock listed on an exchange at publicly quoted prices." So I got digging into where market makers or mm's get their shares

[CountryBoy69]

Hey K , you are on the right track and it's called in my view Criminal Collusion to make a profit for some institutions at the expense of retail investors .So ask yourself , where is the OSC or the SEC , asleep at the wheel as usual waiting for that 30 and out gross taxpayer pension and doing for those years the bare minimum possible. In no way do l expect the Liberals or Democrats to do

[Kelvin]

Lmao CountryBoy, I heard a parody song in Alberta "You picked a fine time to leave me loose wheel". Now I'm sure that one could spin that as a metaphor for the loose cannon in Ottawa in many different ways. Lol. I got something weird going on in my head. Everytime I look at level 2 bid-ask depth, ACDC starts playing in my head "It's a long way to the top if you want to rock

[Kelvin]

CountryBoy, Further to my last post: Qatar's exports of LNG have shot way up since Nordstream got blown up. Iraq is allied with Russia in the Ukraine. Say that the Ukraine and the West really starts backing Putin into a corner. How might he counter? An LNG ship blowing up in the Persian Gulf would probably rattle the f out of everybody and the global financial markets. Nat gas prices would go

[Kelvin]

Correction: Iran is allied with Russia, not Iraq