Veren Inc T.VRN

CPG very much undervalued

[mtlmoneyman]

Even as we trade above 9.00 this morning-the stock price of CPG is still very much undervalued -
with oil and gas prices continuing to rise and with the figures released yesterday this stock should be trading close to 20.00
The oil sector is a very good place to be these days -we will have many more quarters with good results  -more dividend increases and buyback of shares-
Good time to buying more shares and being long-

[ascii2]

Agreed it is grossly undervalued. PE ratio is only 2.2 or less. Energy industry has PE ratio between 17-24 currently ( MEG,SU,CVE etc). to match half of lowest PE CPG's share price should be more than 4 times current price (around 30 dollars) on account of: 1. Cash flow of over 1.4 billion a year 2. Share buyback of 150 million dollars up to second quater 3. Divident payment of close to 140

[ascii2]

Also CPG in its previous reports is trying to sell close to $700 million of non core assets. If and when that materializes 1.3 factor for dividend increases and debt wipe off will be much sooner than next year end. Company is in a very good position to buyback shares at tcurrent hrow away prices.Just lock it and throw the key away IMHO.

[Moemoney42]

Umm.. I think it was only $70 million of non-core..? 

[Moemoney42]

Looks like I was off on the numbers too.. the only reference I could find was this one.. :CALGARY, AB, June 7, 2021 /CNW/ - Crescent Point Energy Corp. ("Crescent Point" or the "Company") (TSX: CPG) and (NYSE: CPG) has completed the disposition of its remaining non-core southeast Saskatchewan conventional assets ("Assets"), which were

[ascii2]

https://www.reuters.com/business/energy/exclusive-canadas-crescent-point-looks-sell-some-oil-gas-assets-documents-2022-02-07/ This was the case on 7th February when oil price was below $90 now it will sale at higher prices.

[Moemoney42]

Ah yes thanks.. I knew there was something about that this year but nothing in their PR listings.. was beginning to think I dreamt it.. LOL.. OK so I see its now ~$500 million of non-core.. funny they didn't say anthing about it on the recent quarterlies.? 

[1970Craig]

You know the story here is " they didn't mention it. " so true ?   It is strange.  Is there something in the works ?  did any analysts ask in the call.  I ask because I read it. While they would drop 10k a day in production , they would easily be able to kill the debt this year.  What's more important.     I put a little thought into

[TheWokeLemming]

In my opinion the reason CPG is so under valued is because there is a lack of belief that managment will follow through on stated goals.  Have they really met buyback percentages?   Have they provided a large enough divvy to confirm it's a real priority?   I always get a sense that CPG management is more concerned about their own goals than building shareholder as stated.  

[Lash99]

I appreciate that this is only an opinion ! Now for facts .The day the Bryksa group took over . Let's summarize .... debt down from $4.45 billion to $1.8 billion to date and dropping , dividend from .36 per per share per year that was unsustainable at the time to basically nothing and now we are at .26 per share per annum. Sold non-core assets and then purchased the asset from Shell in the

[Volkomm]

Can't really fault them for hedges made in hindsight. It was a very different environment when they were put on. With that being said what they do in the future matters. There should be no hedging in this environment, or only hedging to protect the capital for new wells and infrastructure.  The only issue I have with this company is their share based compensation. Last quarter they

[Moemoney42]

They've stated on the last CC that they will most likely hold hedges of 20-30% in 2023.. remember those new hedges will be much higher and I'm ok with the % allocated to 2023.. a little insurance is always a good thing.. I'd think they can slowly move into those hedges while monitoring price to capture some upside if they continue to rise.. ie 10% at a time laddered up.. JMHO..

[Anschutz]

This has always been the way with CCCPG management and board and why the market discounts everything they say.

[LiquidOctopusV2]

They have to be aggressive with the buybacks, which they seem to be doing.  But remember the share count is only 14% higher than it was the last time this was a $20 stock.  We're up 5% for the day and I'm feeling relaxed on this holding. 

[Lash99]

Can you guys believe that it was just a few years ago that this company owed over 4.45 billion. Now we are headed for 1.3 in the 3rd quarter - ok that was a forward looking statement also looking forward we have higher dividends on the horizon , we have good assets producing consistently  and most importantly we have guys running this company that are doing exactly what they said they are

[ascii2]

CPG is undervalued because of hedges they implemented were dumb and cost us a lot till first quater of next year. XTO energy is selling assets that cheap fit CPG and I hope they buy them. https://financialpost.com/commodities/energy/oil-gas/exxon-seeks-sale-of-canadian-shale-assets-to-focus-on-oil-sands

[ascii2]

imagin if those hedges were't on that's extra 3 billion dollars of value or $6/share, all debt would have been wiped out by now and remaining 1.2 billion left for dividends or buybacks that is $2.40 per share. Stock should reach $20-25 in next 18 months IMO.

[Lash99]

I don't think your numbers are correct but if you really want to imagine , then do it properly. Have a nice day ! Wish this man was still here .  Imagine there's no heaven It's easy if you try No hell below us Above us only sky Imagine all the people Living for today, I Imagine there's no countries It isn't hard to do Nothing to kill or die for And no religion

[1970Craig]

Man oh man. On Disney plus there is a Beatles bio and it's hours of there last recording together , plus a show , plus it all.  Linda is there , yoko , the managers.  There is a guru , it's all very very real.    Anyway John Lennon is obviously there , and man I am only 51.  So this for me to see his personally come through ?     You see this man

[Eigen337]

This post has been removed in accordance with Community Policy

[masfortuna]

I prefer the WHITE ALBUM.

[1970Craig]

Totally.  Opinions are good !! I know it's not a site for music. But because of that biography on Disney Plus.   I have never seem anything like this before.  I can't tell you about it because it's the best documentary I think I have ever seen , and you will see why if you watch it.      You will see first hand the issues , and you will understand why

[CatoCan]

It really has been a major turnaround. Hopefully they complete it this year and pay off their debt and start to return money to shareholders