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Duvernay Oil Corp (DDV.TO)

BUY
World-class producer and world-class assets. Good operations.
COMMENT
Has had spectacular growth in production. Kept costs down. Tremendous exposure to the Montney play. Has always been expensive on a multiple basis compared to the peer group. You have to put this aside as it has maintained that premium. With the acreage they have and their success, the stock should continue to have momentum if gas prices continue to go up.
BUY
This is a very hot number and is capable of upside and a take out.
BUY
Added 46% to their reserves last year. A good way for the more aggressive investor to play the Montney play. Will have to spend a lot of money to drill out the targets. There could be 17 TCF of natural gas in this area.
TOP PICK
One of his core intermediate positions. A premier management team. Close to 25,000 barrels equivalent a day. Gas weighted. Tight gas and long life, which is why it trades at a premium multiple.
BUY
The darling of the gas growth companies. Have tremendous exploration success. Their Montney play isn't a very good part of the basin. If gas prices continue to increase, the stock could go to $60.
BUY
Very gassy with a good record. A little expensive now but could run. Into the shale gas in a new area of Montney B.C.
TOP PICK
Stock has come a long way in a short period of time, but they are involved in the play in B.C. called the Montney, which by many views could be as much as 17 PCF trillion cubic feet of gas. Increased their proven and probable reserves by 47% last year. You are getting growth and lower finding costs. The lower royalty regime on deep drilling helps them on 65% of their properties.
WAIT
Unbelievable management. Huge land spread in Northeast B.C. Thinks it's a bit rich at these prices. If you're trading the stock, wait for a pullback. If you are a long-term investor, she thinks it could go a bit higher.
TOP PICK
We’re in a bit of a pinch for natural gas because of a lack of drilling last year. They have a potentially significant play in western Canada. Beating the competition at the growth level and at finding new assets. Really positive pricing power on the product. The company is growing very quickly with a lot of upside.
WAIT
Gas dominated company. Shoulder season is traditionally a slow time for natural gas, but we are not seeing it because of the cold weather. This company is very well run. Large acreage position in British Columbia and NW Alberta, in the heart of the very exciting Montney play, which is undervalued. Good management.
HOLD
Predominately gas. Probably has the best position in the Montney play, an area that is getting a lot of attention with a lot of people rushing in. Very good company in terms of its execution. Trading at quite a multiple at this time.
WATCH
Good company and well managed. Gas exposure, so when you feel confident that the gas markets are about to recover, it would be a very good place to put some capital.
BUY
Debt is creeping up, which is why the stock price has come off quite a bit. They are also gas weighted. If she were going to put her money with someone in these depressed gas prices, this management would be at the top of her list.
DON'T BUY
(Market Call Minute.) He is staying away from the small caps until the dust settles.
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