Surge Energy Inc (Alberta) T.SGY

Optimistic

[Momo25]

Dividend almost there, US and Canada Interest rates cut near door improving investment and overall economy, Gold stocks, where the money is now,  will slack for the next 5years, no issue on short term debt. 1,3 billion of deferred income taxes refundable in coming years, share price is one of the weakest in Oil&Gas sector given the fundamentals, all of that to say : the future, if not bright will be enough good. There is also a potential of a take over in the context of sector consolidation. When occuring, we can expect at least a premium of 70%. Usually take over happens when share price is too low especially if fully  paid through shares dilution or half cash and half shares.
Stick with the fundamentals .

[lnggasfor202324]

SGY'S decline rates are twice as high as CJ'S and CJ'S debt isn't as high.  I bet CJ gets tooken over before SGY plus CJ has an SAGD project coming into production in about a year.

[Momo25]

CJ has debt, a small one of 43M, which represents 0,3 x Ebidta which is good but SGY's revenue is twice. for almost the same volume of shares.

[lnggasfor202324]

What about CJ having the lowest decline rates of any E&P oil company?  What about CJ'S SAGD project that may double their production roughly in the next 3-4 years?  

[lnggasfor202324]

Didn't you mean.3 debt/cashfow?

[Coopsvw92]

Your CJ debt number is not even close to being accurate.

[lnggasfor202324]

.4 x at the end of the second QTR.  SGY is a lot higher.  CJ doesnt have any garbage areas in their portfolio like SGY and took a big writedown on their books.  Very clever management team unlike SGY.

[Momo25]

Again, with the rise of Oil & Gas coupled with interest rate cut that is now officially pre-announced by the FED reserve boss (sept 16 is the official announcement) , SGY will generate enough Cash so the debt will not be a burden whatsoever. Also, Geopolical context is now broiling in the middle-east, I will not be surprised to see tomorrow the barrel of oil jumping by 3 to 5%.. It is useless

[lnggasfor202324]

That been said it's nice to have a ceo that doesn't skrew up buying bad properties that makes their company taking big writedowns.  Not very clever in my books.  It's no wonder why they try to promote it on youtube.  Good companies don't do that.