Post by
RagingBull3 on Jul 15, 2021 3:44pm
I view Hedges like Insurance. You lose Money buying House
insurance every year after year after year... But why do you buy it .... Just in case your house burns down! Hedges should be used this way. To protect the company from sevear risk.
Comment by
SHayden on Jul 15, 2021 3:51pm
Insurance is used to protect against a financially non supportable loss, that is the CFP description for insurance. It is not applicable to CVE in it's current form.
Comment by
RagingBull3 on Jul 15, 2021 3:59pm
Yes.... I understand.... Cash Flow, Cash Flow, Cash Flow..... the cash flow is there even if oil drops to $40........The company can continue to pay its Debt....... But what you don't understand is that this "Cash Flow" is supported at the expense of Shareholders.... That's why CVE share price TANKED from ~$30 to ~$2 !!!!
Comment by
mrbb on Jul 15, 2021 5:15pm
cve tanked because they overpaid conoco asset. COP liquidating cve's shares is the consequences. You're so noob and rabid
Comment by
mrbb on Jul 15, 2021 5:10pm
i plan to cut my home insurance starting next year. My auto insurance is mandatory so i have to buy it On hedging, we often hear the good stories, we rarely hear about the hedging loss stories.