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Bullboard - Stock Discussion Forum Whitecap Resources Inc T.WCP

Alternate Symbol(s):  SPGYF

Whitecap Resources Inc. is an oil-weighted growth company. The Company is engaged in the business of acquiring, developing and holding interests in petroleum and natural gas properties and assets. Its core areas include the West Division and East Division. Its West Division is comprised of three regions: Smoky, Kaybob and Peace River Arch (PRA). The properties in its Smoky region include Kakwa... see more

TSX:WCP - Post Discussion

Whitecap Resources Inc > Too many shares
View:
Post by riski on Aug 05, 2021 10:37am

Too many shares

There are too many shares out for this to go very far.  Even a 50 cent gain is an enormous change in the market cap.  

A dinky little dividend is not going to cut it.  They are going to have to buy back shares in a big way to get this share price moving.
Comment by WINDGOD46 on Aug 05, 2021 11:31am
It is not so much the shares which dent a stock, CPG has 50 million less shares than WCP yet its share price is lower than WCP. What matters is how much debt each has. And I think CPG has double the debt of WCP. So it's important debt reduction takes priority over reducing the float. And if the oil price stays above $70 debt reduction will be subtantial the next two years, which will boost the ...more  
Comment by riski on Aug 05, 2021 3:31pm
I think you misunderstood.  A company is valued at a certain market cap price.  That valuation can change and the price of the stock will reflect the new information.  If a company has 500 million shares outstanding, they have to increase value by 250 million just to see a 50 cent change in the share price - which for WCP is only a 9% gain on a signficant increase in valuation. Too ...more  
Comment by WINDGOD46 on Aug 05, 2021 4:23pm
Noone wants a dilution of a stock;from the the P/E ratio this is evident. WCP has a P/E ratio of 5.6, meaning in plain terms you need 5.6 dollars to deploy in order to make one dollar. On this metric CPG has a P/E ratio 1.5, much better than WCP. yet only the P/E ratio is misleading to evaluate a co. because in the P/E it does not show the long term debt of a co. And though CPG has less shares ...more  
Comment by Moemoney42 on Aug 05, 2021 7:04pm
You would be wrong in that hilited assumption.. the P/E is ratio of a company's share price in relationship to the earnings per share... the P/E will rise if investors feel the company will increase its earnings at some point in the future.. has nothing to do with investing X dollars to earn 1 dollar..! IE: if a company has earnings of $1/share and a P/E of 5, the share price would be $5, if ...more  
Comment by Moemoney42 on Aug 05, 2021 7:16pm
THEREFORE CPG - EPS of $3.63 x P/E of 1.25 = a share price of $4.53 WCP - EPS of $.91 x P/E of 5.93 = a share price of $5.39 NOW... if CPG were to garnish a P/E similar to WCP, CPG's share price would be $21.52 that's why I feel CPG has more torque to the upside at some point in the future, although I own both CPG is my biggest holding for that reason alone.. good luck.. ;-)
Comment by WINDGOD46 on Aug 05, 2021 7:21pm
What is the P/E ratio? The P/E ratio compares a company’s share price in to its profits (per share.) You can also think of the P/E ratio as the price you’ll pay for $1 of a company’s earnings (or profits.) So if a company’s P/E ratio is 10, you are paying $10 for $1 of profit per share. Go back to shool dude
Comment by Moemoney42 on Aug 05, 2021 8:36pm
YOU JUST PROVED MY POINT "DUDE"  The price you will pay for a company with a P/E of 10 that makes $1 a share is $10/share..!!!! NOTHING says the company has to SPEND $10 a share to MAKE a dollar a share in profit, like your first comment suggested... I suggest YOU go back to school.. "DUDE"  "WCP has a P/E ratio of 5.6, meaning in plain terms you need 5.6 dollars ...more  
Comment by WINDGOD46 on Aug 05, 2021 9:03pm
learn how to read english dude; I never said the company has to spend 5.9 dollars to make a dollar. You as a buyer when you pay 5,9 dollars you will be making 1 dollar.  so the low P/e ratio is good for someone entering the stock. For a company with a P/E ratio of 20 you would have to pay $20 for 1 dollar. But enough  having to educate Rita.The country is full of libraries take a break ...more  
Comment by Moemoney42 on Aug 05, 2021 9:30pm
OMG stop making a fool out of yourself.. the "COMPANY"  will make the dollar... not you ya fool...!!! Where do you people come from.. better get out of the markets if thats your understanding of them.. LMAO..
Comment by WINDGOD46 on Aug 05, 2021 9:52pm
The company fool is made up of its shareholders, it is not an abstract entity you and me and the other shareholder make up the company; without its shareholders there is only a legal entity or a legal person which cannot trade in the market by itself. The shareholders are the owners of the company. What is it you do not understand? This legal entity parcels out paper that represents some assets ...more  
Comment by Moemoney42 on Aug 05, 2021 10:35pm
What another bunch of BS to try to cover up your other BS.. of course the company is made up of shareholders.. doesn't mean you get any of the profits it has.. you only get gains in share value.. unless of course you get a dividend.. that's a portion of the profits.. and it sure the heck isn't all the EPS.. Oh and by the way its called "shareholders EQUITY" ...more  
Comment by Moemoney42 on Aug 05, 2021 10:39pm
Here's some advice.. change your handle to "BAGOFWIND"... its more suiting.. LOL..
Comment by WINDGOD46 on Aug 05, 2021 11:11pm
Six pack fellow maybe this will sober you up, try itn essence, the price-to-earnings ratio indicates the dollar amount an investor can expect to invest in a company in order to receive one dollar of that company’s earnings. This is why the P/E is sometimes referred to as the price multiple because it shows how much investors are willing to pay per dollar of earnings. If a company was currently ...more  
Comment by Moemoney42 on Aug 06, 2021 12:06am
Exactly what I've been saying all along.. are you that dense..!!! how many google searches do you need to tell you what I've been saying all night..!! maybe you should sober up..!!  So if a company has no P/E like many start ups, or companies that never show a profit, how many dollars do you think you're entitled to, even though it has maybe a billion dollars in revenue.. (IE ...more  
Comment by 1001001 on Aug 06, 2021 8:53am
Its just an interesting guage of a stocks popular with investors at present time. One could interpret that if its ratio is way too low in ones opinion, then buy. If way too high in ones opinion, maybe sell. Opinion should be based on debt, earnings growth potential, and many other things too numerous to list. This ratio cant be used literally to determine your return on an investment. I WISH ...more  
Comment by Moemoney42 on Aug 06, 2021 9:43am
Exactly 1001001... maybe windbag will finally admit/understand he's out to lunch on his big theory.. LMAO.. have a good day and good luck with your trades... ;-)
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