Essential Energy Services Ltd T.ESN

Insanely mispriced!

[hawkowl1]

Started buying yesterday and added today.

Assuming next quarter's cash flow is same as 3rd quarter they will have .14 cents per share cash flow for 2020.Cash in bank.Debt free and its .17 cents!

Meanwhile TCW a giant oil service company for 9 months had negative cash flow of 36 million.

.14 cents times a multiple of 6 equals a target of .74 cents per share. Not likely to happen with this very negative energy sector.
But .50 cents is doable .
It is likely a target with such outstanding performance .
Company should consider a normal course issuer bid.. Its also time for insiders to load up.

[houbahop]

I share your comments. I also added more today. I don't see these kinds of opportunities very often. Can't believe all thess shares sold in the dumpster considering the value of this debt free and cash flow positive company.

[hawkowl1]

Actually its management that can jumpstart process of better valuation. Insiders have not bought a single share. And  not used the big gun of a share buyback.. 

[houbahop]

Thanks for the heads-up! Insiders have not bought a single share recently. I guess we have the explanation as to why these shares are staying in the gutter. No confidence from the insiders, even at $0.15/share

[Northforce13]

Hey Houba... thought I recognized you from the PEY boards. I'm long this one too, for all the same reasons mentioned. Been sitting around on it since July waiting for the market to wake up GLTA

[houbahop]

Yep, I used to post mostly on the PEY board. I have been quieter recently althought I keep reading it once in a while. I started a position in ESN after reading the last financial report. No debt and very undervalued shares in a sector that has the potential to get out of the hole after 5 years of fall and consolidation. It doesn't cost much to wait in a dormant stock when the market falls

[Torontojay]

Good to see a few more people on this board. At least I'm not talking to myself anymore. 

[hawkowl1]

Now we have to be paitient since it is tax loss selling season.

[Torontojay]

  I mentioned this earlier in the year that this stock will be dragged down for the remainder of the year. I believe 2021 is when we will see a lift off in share price. I firmly believe this time next year we should see a minimum of 30-35 cents which is the pre-pandemic trading range. It deserves a much higher price than the pre-pandemic trading range so I'm being fairly conservative in

[houbahop]

I just hope it won't be another value trap. Management has done a great job containing the bleeding in the last 3 years and becoming a debt free company. Money in the bank has never been so valuable but buying back 8 or 10 million shares would not be costly and would show some confidence to the owners of the operation.

[Whatsastockdad]

nice walls being built as we move up :) insiders must know