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Bullboard - Stock Discussion Forum Cardinal Energy Ltd (Alberta) T.CJ

Alternate Symbol(s):  CRLFF

Cardinal Energy Ltd. is a Canadian oil and natural gas company with operations focused on low decline oil in Western Canada. The Company is engaged in the acquisition, development, optimization and production of crude oil and natural gas in the provinces of Alberta, British Columbia and Saskatchewan. Its operating areas include the Midale, South District, Central District, and North District... see more

TSX:CJ - Post Discussion

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Post by JayBanks on Jun 05, 2021 5:57pm

CJ and Nuttal

Am I missing something?

8 days ago he stated he is the 2nd largest shareholder, he never mentioned anything about selling his stake and he usually tells you when he did and what price area. He stated he felt it had 76% Upside which he thought was considerable and it has high potential for paying a divided with free cashflow of 38% or 70 cents per share (if I've understood correctly)... No mention of him selling.

There was a large block put up for sale, but as far as I know there was no confirmation it was his... (I could be wrong on this as I'm yet to see it) There are several others that own large share quantities outside of him and Murray Edwards...

Theres been postings of his top 10 list on this and a few other boards, as far as know that's just his top 10 list of 'opportunities', not his current holds, Cardinal he estimates only has 76% upside but he mentioned a few others that can double or almost triple from current values, so I would assume Cardinal no longer is just a top 10 opportunity compared to others with bigger upsides thus the exclusion from the list. Not that he has sold. And if that top 10 was current holdings, just because he has 7% of CJ, that doesn't mean it is one of his top 10 positions in a company. He likely has larger value positions in other company's especially since his acquisition was fairly recent, longer term holdings are likely much more valued in the Fund, I think I remember him saying a year or so back he likes to hold 20-25 long positions in the fund at any given time.

Also a few months ago he mentioned his struggle to aquire shares as being a fund he has a different process for making a large acquisition of the shares and that he could not find someone to sell to him in multiple attempts at multiple price points, in the recent appearance he mentioned he had to get in using the acquisition of convertible debentures that were converted to get his position. So he didn't accumulate from the open market, and I'm going to assume with what he's said before that he cannot just sell also to the open market he would need to find a large volume buyer from him.

I could be all wrong here... But the mention of his selling was just thrown out in a minor comment and several after jumped on it, is there any proof of it? Also if he can't buy at regular market prices as he mentioned before, how much does he influence the market price of CJ, as I see assumptions of? Him mentioning it on BNN or Twitter can cause small bumps of us small retailers, but I don't see his words moving 100s of thousands to millions of shares in a couple sessions, especially when his words were still positive, just not as positive as previously.

I have no real care for Nuttal, tho he is one of the very few that makes in-depth calls on oil companies and does create interesting conversation points for us. He also mentioned that we as retail investors are not his customers for the fund he manages, it's large hedge funds and others that utilize him and his fund may only be a 2-5% holding of thier portfolios.

Comment by pointer on Jun 05, 2021 6:37pm
This post has been removed in accordance with Community Policy
Comment by JayBanks on Jun 06, 2021 3:17am
First 3 videos I pull up when I search Eric Nuttel BNN Past Picks, he mentions 4 sales, a couple he mentions the area time line and once he tells you a price point area... One is from 2017, I think and the other 2 are in 2020, as I said, just the first 3 I clicked on... https://www.bnnbloomberg.ca/market-call/eric-nuttall-s-past-picks~1465077 https://www.bnnbloomberg.ca/video/eric-nuttall-s-past ...more  
Comment by JayBanks on Jun 06, 2021 3:19am
  Formatting didn't work on the last one so I'm trying again... First 3 videos I pull up when I search Eric Nuttel BNN Past Picks, he mentions 4 sales, a couple he mentions the area time line and once he tells you a price point area... One is from 2017, I think and the other 2 are in 2020, as I said, just the first 3 I clicked on... https://www.bnnbloomberg.ca/market-call/eric ...more  
Comment by highalpha1 on Jun 06, 2021 2:43am
@JayBanks: I will preface this response by stating at the onset that it is not meant to sound adveserial. However, your message is factually incorrect on so many point. I will do what I can do address just a few of those factually incorrect points. First, the list of Nuttall's top 10 stocks are his actual top 10 holdings of his fund (i.e., Ninepoint Energy Fund) as of May 31, 2021) and NOT ...more  
Comment by JayBanks on Jun 06, 2021 3:58am
  I do thank you for your response and bringing points out, I myself just seen stuff that is off or has no base and wanted to point it out, so full respect on correcting and clarify points I raise. Too often people throw out wild claims and miss information, these boards are a good place for cleaning up, clarifying and sharing quality info for us retailers when the trolling isn't going ...more  
Comment by highalpha1 on Jun 06, 2021 4:18am
@JayBanks: Thank you for the response. I fully agree with you that StockHouse boards are full of nonsense, toxicity and unsubstantiated opinions. People just throwout claims without even a shred of evidence. The level of stupidity on the CJ board is nothing compared to what you will find on CPG's board, which is the only oil and gas stock I currently own.  CJ is solid company that should ...more  
Comment by JayBanks on Jun 06, 2021 5:23am
Agreed, I don't go on CPG boards myself unless I'm scanning the news links, too toxic. Most high volume, high interest stock boards are similar. I too hold CPG but I caught the falling knife from several years ago and never sold out, same with BNE, and the former TBE. My price points on BNE and CPG are very high and currently I've lost 75% of what I paid for them, I was very new to ...more  
Comment by highalpha1 on Jun 06, 2021 9:42am
@JayBanks: I hear ya. I made some fairly poor investment choices when I was younger and just started out investing -- fortunately, I had much less money to invest with back then. Prior to COVID, I had a decent sized position in CPG with an average cost base of C$4.84. I remember when it dropped in early March 2020. By the time I fully appreciated how bad COVID was, the share price had dropped to ...more  
Comment by JayBanks on Jun 07, 2021 12:02am
So I've taken some time and ran numbers on Nuttel's fund and how the market has moved and let's see if we can make assumptions together and create some sorta vision, I'll show my work as I go. On March 31st his fund was worth 339.364 Million Company - Pecentage of Fund - Share Price - Estimated Value Millions Parex - 9.9% - 22.51 - 33.6 Tamarack - 9.8% - 2.37 - 33.3 NuVista ...more  
Comment by JayBanks on Jun 07, 2021 12:30am
Just thought of something I forgot to add to the previous post. Nuttal stated he was about a 7% share holder on his BNN appearnce Cardinal states they have 144.39 million shares outstanding 144.39 multiplied by .07 = 10.107 million shares which would be the estimated holding of Cardinal 10.107 times the share price of 3.27 on May 31st = 33.05 million in estimated value 33.05 is not far off ...more  
Comment by JohnBP1 on Jun 07, 2021 8:21am
Thanks Jay, keeper data. Going to track going forward for a while...       
Comment by kavern23 on Jun 07, 2021 10:15am
Jay or anyone else..do you know the mechanics on how Ninepoint Fund works?  Is it option 1 or 2  below. 1. Are they taking and raising a set amount of money from investors like for example 100m (using the 100M number for example purpose) and then investing in a basket oil stocks? IE the 100M is static amount unless they raise more money. or 2. Is Ninepoint like a mutual fund in that ...more  
Comment by kavern23 on Jun 07, 2021 10:17am
"Ninepoint Partners LP is the investment manager to the Ninepoint Funds (collectively, the “Funds”). Commissions, trailing commissions, management fees, performance fees (if any), other charges and expenses all may be associated with mutual fund investments. " That is what makes me lean to option 2...uses the word mutual fund.
Comment by JayBanks on Jun 07, 2021 2:21pm
Sounds like you kinda answered your own question... I don't know a whole bunch about this fund, just what he talk about in appearances I catch. I just scanned through the holdings lists in the fund and figured that I had enough base info to go off on the quarterly I could throw out some estimates based on his top 10 lists. (I basically did those algebra things we hated in highschool lol)  ...more  
Comment by Kadiddelhopper on Jun 07, 2021 4:16pm
Gotcha ?   not you so much, but from your essay, it appears the Fund Managers are Gotching into their PayPackets at every lil Computer transaction.  Worked for a Bank ( Royal ) for a number of years ,,, and Mutual Funds are the biggest fallacy to wealth creation goin! Oxymoron Alert ! Imagine if you will....,  Bank Clerks selling Mutual Funds !!!!. Like they would know all ...more  
Comment by JayBanks on Jun 07, 2021 4:55pm
  I fully agree, tho I did have to learn that and unfortunately I myself own a mutual fund, before I learned this lesson. I got talked into investing my money when I was like 22-23 in an RRSP when I had a large amount of contribution room. I'm in a Manulife fund and in 13ish years it has more that doubled in value, but I've never added too it. In about 8 years of self directed ...more  
Comment by kavern23 on Jun 07, 2021 4:43pm
I did kinda answer my own question...and my brain must have been foggy as for income tax purposes this must be set up like a mutual...capital gains tax is going to flow to mutual fund holders and not Nine Point.  Best structure. The cash component Ninepoint hold makes sense if a amutal as that can cover "expected" redemptions. Over 5% redemption is unlikely too happen in a normal ...more  
Comment by Backinblack1000 on Jun 08, 2021 12:23am
This post has been removed in accordance with Community Policy
Comment by Moemoney42 on Jun 08, 2021 10:03am
Yup making a fool of yourself is your daily ambition I see... laughed when I called VET at $8.75 when it was in double digits and then brags about buying lower.. sad.. real sad.. you're so phoney.. not fooling anyone.. LMAO..
Comment by kavern23 on Jun 08, 2021 10:05am
Bro...I am not pumping OBE at all. CJ is much safer then OBE for medium term if oil every fell.  CJ is safer in every way. OBE is a very speculative investment. I grabbed some CJ at 3.02. Heavy oil differerential has at least narrowed to under 14 bucks.  Differentials are very vital to CJ. Got my cost base down to 3.06 now.  Next average down, hopefully not needed will be 2.80.  ...more  
Comment by Backinblack1000 on Jun 08, 2021 10:43am
This post has been removed in accordance with Community Policy
Comment by Moemoney42 on Jun 08, 2021 10:52am
Would that "stink bid" be at $2.99 because you follow my buy recommendations or other posters here..? Nice to see you follow my every move.. LOL.. I guess you missed so many profitable buy signals I've made, you've finally admitted it.. and wanted to get in on one.. LMAO..
Comment by sclarda on Jun 08, 2021 11:54am
CarlNoMoemoneyIcahn wrote Would that "stink bid" be at $2.99 because you follow my buy recommendations or other posters here..? Nice to see you follow my every move.. LOL.. I guess you missed so many profitable buy signals I've made, you've finally admitted it.. and wanted to get in on one.. LMAO..
Comment by Backinblack1000 on Jun 08, 2021 11:58am
This post has been removed in accordance with Community Policy
Comment by schoolinmoe42 on Aug 03, 2021 11:35am
This post has been removed in accordance with Community Policy
Comment by sclarda on Aug 03, 2021 9:19pm
schoolinmoe42  wrote Sclarda...hey....seems there was money to be made by sticking with Cardinal long term....thinking maybe it was the first true 10bagger....imo.........hence the advantage of being a cool hand luke and not necessarily a short seller......Can you imagine the wealth if they were to announce a monthly dividend......lol...........just saying
Comment by schoolinmoe42 on Aug 03, 2021 10:54pm
This post has been removed in accordance with Community Policy
Comment by mlcb2525 on Jun 08, 2021 1:23pm
You seem like the type that arrives late and leaves early and always misses the upside......
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