Post by
drunk@noon on Jul 08, 2022 1:26pm
Doesn't matter. Oil back up 2$. O&G stocks down. 2 friday's
this has happened. The last time oil had had a nice move to 115 after a strong week. But on that friday, oil stocks sold off strong. Following week, the new york J's got back to work. And they flushed the price of oil down 5-8 dollars. And this happened 6-8 weeks ago.
You would thiink at this point in time it would be easier for them to go long, but it seems this isn't about to happen. The sector is unloved, there is no marginal buyer, no matter the value. Managements across the board have to outline specifc plans for ncibs and ductch auctions that will buy back 1/3 of their shares within the next 4-6 months provided that oil remains at such and such level. You back back 1/3 of your shares and the intrisic value of the shares, the nav, the cashflow, the earning all increase 50%.
But you'll see it will be the same old, same old, rinky dinky dividends and weak little NCIB's.
Comment by
jack4567 on Jul 08, 2022 2:31pm
Agree recent price action has been frustrating, but eventually mispricing will be so extreme that market will not ignore it. Patience is key.