Parex Resources Inc T.PXT

Q3 EPS...... Anyone else like to give their opinion/guess?

[CrazyTrader]

My guess is EPS $0.60 for Q3 (if no major writedown).  

I like to know what everyone else thinks.   What's your guess?

[Yanner911]

Since usd to cop traded flat in Q3 i would say same as Q2 without the deffered tax so about 85 millions. Eps of 0.85. If they cut back on cap ex like they said maybe 1.00. Thats assuming production was inline with Q2. FFO is a better metric when dealing with company doing business in foreign currency.  Got burned hard on parex so my opinion is as good as Cramer tbfh.

[CrazyTrader]

WOW,  Q3 EPS $1.00?!    I thought my $0.60 might be a little high.   I think oil prices for Q3 were lower than Q1 and certainly lower than Q2. Also, there's Auraca....  I don't know if there's going to be a writedown/impairment..   The maket seems to have written Auraca off already and has taken almost a Billion Dollars off the market cap

[Yanner911]

The problem with parex is reserve not profitability  3 years of reserv is crazy low knowing that MEG as 17+ years of oil sand reserve without the need to drill baby drill. 7 years for the permian bassin i think. I'm mostly in oil sand atm

[CrazyTrader]

But it's not really "3 years".... Notice from your post  Dec 31/2021   PDP was 4.4 years. 3 years later  PDP didn't drop to 1.4, no it was 3.9.   Profitability I would say is more important.   Company has show it can drill, find oil, and be profitable. This is why the long term chart of PXT looks different from most of the other like

[CrazyTrader]

As for possible impairements, I found this from Q2 report on page 7.   "During the six months ended June 30, 2024 $168.1 million of E&E assets were transferred to PP&E related to the Arauca Block." meanwhile, market has taken almost a billion dollars off the market cap already.