TSE:TOU
13.90
0.20
(1.42%)
Analysis and Opinions about TOU-T
Signal
Opinion
Expert
TOP PICK
TOP PICK
May 29, 2020
He likes it for the natural gas exposure. Payout ratio of 12%. Natural gas inventories are expected to be well below normal going into this winter, he expects. Yield 3.56% (Analysts’ price target is $19.45)
Show full opinionHide full opinion
He likes it for the natural gas exposure. Payout ratio of 12%. Natural gas inventories are expected to be well below normal going into this winter, he expects. Yield 3.56% (Analysts’ price target is $19.45)
HOLD
HOLD
April 3, 2020
Natural gas? He has 24% exposure to natural gas in his portfolio and this partially through TOU. Normally it is a weather call, but the associated gas production from rising oil drilling has been a negative impact of growing importance. If we see declines in drilling in oil, we should see natural gas associated production declining. He sees 2021 AECO prices over $2, and this is okay for producers.
Show full opinionHide full opinionNatural gas? He has 24% exposure to natural gas in his portfolio and this partially through TOU. Normally it is a weather call, but the associated gas production from rising oil drilling has been a negative impact of growing importance. If we see declines in drilling in oil, we should see natural gas associated production declining. He sees 2021 AECO prices over $2, and this is okay for producers.
COMMENT
COMMENT
April 3, 2020
Natrual gas prices? The 2021 strip price for AECO is over $2. That will work for strong balance sheet producers like TOU, NVA (60% natural gas), and ARX.
TOP PICK
TOP PICK
March 24, 2020
The trophy name in Canada, the largest nat. gas producer. Their production of liquids is rising. They pay a 7.1% dividend yield. It's trading at its lowest valuation level ever. Great managers over the decades. They're generating free cash flow from their contracted gas, and with US revenues higher given the weaker Canadian dollar. He's been buying more shares recently.
Show full opinionHide full opinionThe trophy name in Canada, the largest nat. gas producer. Their production of liquids is rising. They pay a 7.1% dividend yield. It's trading at its lowest valuation level ever. Great managers over the decades. They're generating free cash flow from their contracted gas, and with US revenues higher given the weaker Canadian dollar. He's been buying more shares recently.
SHORT
SHORT
March 10, 2020
Capex has been cut across the board because of the Saudi oil shock. TOU has excellent assets run by fine operators, but because of this oil environment TOU is a small short for him. This is a relative call vs. companies with a strong balance sheet or better valuation. Price momentum and volatility are negatives. But this is getting really cheap at 3x EBITDA.
Show full opinionHide full opinionCapex has been cut across the board because of the Saudi oil shock. TOU has excellent assets run by fine operators, but because of this oil environment TOU is a small short for him. This is a relative call vs. companies with a strong balance sheet or better valuation. Price momentum and volatility are negatives. But this is getting really cheap at 3x EBITDA.
DON'T BUY
DON'T BUY
March 4, 2020
They just acquired a large land position. The company has great assets and is well run. However, he needs a higher dividend yield and he needs to see how the new management team works out. Yield 4.4%
Show full opinionHide full opinionThey just acquired a large land position. The company has great assets and is well run. However, he needs a higher dividend yield and he needs to see how the new management team works out. Yield 4.4%
BUY
BUY
March 3, 2020
How will their spin-out be a catalyst? They created the spinout, but haven't IPOd yet (https://www.newswire.ca/news-releases/tourmaline-announces-formation-of-topaz-energy-unlocking-value-in-tourmaline-s-significant-asset-base-867903254.html) They took the bull by the horns in a poor sentiment environment of low natural gas prices, worse then oil. So, they created Topaz, a royalty infrastructure company. These companies trade at a big premium which attracts better investor sentiment. Topaz just bought land from Painted Pony and bought a private as well as public company. They consolidated land and infrastructure in northeast BC. They can use Topaz to sell some of that infrastructure to reduce the cost. It's a great way to reduce their cost of capital. They can download assets to Topaz. He sees a lot of upside for TOU to do acquisitions.
How will their spin-out be a catalyst? They created the spinout, but haven't IPOd yet (https://www.newswire.ca/news-releases/tourmaline-announces-formation-of-topaz-energy-unlocking-value-in-tourmaline-s-significant-asset-base-867903254.html) They took the bull by the horns in a poor sentiment environment of low natural gas prices, worse then oil. So, they created Topaz, a royalty infrastructure company. These companies trade at a big premium which attracts better investor sentiment. Topaz just bought land from Painted Pony and bought a private as well as public company. They consolidated land and infrastructure in northeast BC. They can use Topaz to sell some of that infrastructure to reduce the cost. It's a great way to reduce their cost of capital. They can download assets to Topaz. He sees a lot of upside for TOU to do acquisitions.
COMMENT
COMMENT
February 12, 2020
TOU is too high of a natural gas exposure for him. BIR is overspending their cash flow to fill a plant they invested in for the promise of free cash flow next year. If you believe the strip pricing next year, they will generate a 26% free cash flow yield. However, it is also natural gas related. He just thinks there are better buying opportunities from the over selling in the oil markets from the Corona virus.
TOU is too high of a natural gas exposure for him. BIR is overspending their cash flow to fill a plant they invested in for the promise of free cash flow next year. If you believe the strip pricing next year, they will generate a 26% free cash flow yield. However, it is also natural gas related. He just thinks there are better buying opportunities from the over selling in the oil markets from the Corona virus.
DON'T BUY
DON'T BUY
February 12, 2020
He doesn't like the oil sector. Don't buy weakness in a strong market. Hard to make money in an unloved sector, oil. No uptick here. ESG and coronavirus are headwinds. CNQ or Suncor are the very top stocks in this sector and are the only serious considerations.
He doesn't like the oil sector. Don't buy weakness in a strong market. Hard to make money in an unloved sector, oil. No uptick here. ESG and coronavirus are headwinds. CNQ or Suncor are the very top stocks in this sector and are the only serious considerations.
SELL
SELL
February 3, 2020
Canada is awash in Natural Gas. There is not enough pipeline capacity to get it to market. These companies are neglected by investors.
Show full opinionHide full opinionCanada is awash in Natural Gas. There is not enough pipeline capacity to get it to market. These companies are neglected by investors.
BUY WEAKNESS
BUY WEAKNESS
January 24, 2020
He really likes this company, although he does not own it presently. Insiders have been buying regularly. They are generating excess cash flow and have plans to improve the balance sheet, buy back shares and perhaps raise the dividend later on. New facilities are coming on line and this will help bump up total production. A table pounding buy below $13. Book value is $28. A big LNG project on the west coast would benefit this company. Yield 3.5%
He really likes this company, although he does not own it presently. Insiders have been buying regularly. They are generating excess cash flow and have plans to improve the balance sheet, buy back shares and perhaps raise the dividend later on. New facilities are coming on line and this will help bump up total production. A table pounding buy below $13. Book value is $28. A big LNG project on the west coast would benefit this company. Yield 3.5%
TOP PICK
TOP PICK
December 19, 2019
Management has big inside ownership. They monetized some of their infrastructure. It gives them liquidity to buy assets in other Nat gas names that remain very depressed. It is catalyst rich so there should be a robust pipeline of deals. (Analysts’ price target is $20.43)
Show full opinionHide full opinionManagement has big inside ownership. They monetized some of their infrastructure. It gives them liquidity to buy assets in other Nat gas names that remain very depressed. It is catalyst rich so there should be a robust pipeline of deals. (Analysts’ price target is $20.43)
BUY WEAKNESS
BUY WEAKNESS
November 21, 2019
It has a decent balance sheet. 7-8% dividend paid monthly. They don't have a debt problem. It might get hit by tax loss selling. They have a respected management team.
Show full opinionHide full opinionIt has a decent balance sheet. 7-8% dividend paid monthly. They don't have a debt problem. It might get hit by tax loss selling. They have a respected management team.
BUY
BUY
November 15, 2019
They were trading at values lower than reserve values. They are initiating their first share buyback this year. One analyst has a $26 price target for them. They are a big natural gas producer, and we are heading into a colder than normal winter outlook. When you can buy a quality company at these levels, where management is investing heavily themselves and it trades at 3 times cash flow, you can't go wrong.
Show full opinionHide full opinionThey were trading at values lower than reserve values. They are initiating their first share buyback this year. One analyst has a $26 price target for them. They are a big natural gas producer, and we are heading into a colder than normal winter outlook. When you can buy a quality company at these levels, where management is investing heavily themselves and it trades at 3 times cash flow, you can't go wrong.
COMMENT
COMMENT
October 11, 2019
Market Outlook TOU-T is planning to spin off some of their infrastructure into a royalty like offering, while retaining 80% of the value. Prior to this the stock was trading at all time lows and the market was giving zero value to the infrastructure they held. The company was trading at 3 times cash flow. The assets they are effectively selling are being valued at 9 times cash flow within the offering. This should remind people how undervalued this space is and there are self-adjusting opportunities that will "fix the funk" we see today. ARX-T has a similar 20% of its company in similar infrastructure. Once we get past the upcoming Federal election things should move forward. What a party says on the campaign trail and what happens in reality can be two very different things. The Liberals appear to support the TMX pipeline project in reality and it will ultimately get built, he says. 11% of our GDP in Canada comes from the energy sector.
Market Outlook TOU-T is planning to spin off some of their infrastructure into a royalty like offering, while retaining 80% of the value. Prior to this the stock was trading at all time lows and the market was giving zero value to the infrastructure they held. The company was trading at 3 times cash flow. The assets they are effectively selling are being valued at 9 times cash flow within the offering. This should remind people how undervalued this space is and there are self-adjusting opportunities that will "fix the funk" we see today. ARX-T has a similar 20% of its company in similar infrastructure. Once we get past the upcoming Federal election things should move forward. What a party says on the campaign trail and what happens in reality can be two very different things. The Liberals appear to support the TMX pipeline project in reality and it will ultimately get built, he says. 11% of our GDP in Canada comes from the energy sector.
Tourmaline Oil Corp(TOU-T) Rating
Ranking : 4 out of 5
Bullish - Buy Signals / Votes : 6
Neutral - Hold Signals / Votes : 2
Bearish - Sell Signals / Votes : 7
Total Signals / Votes : 15
Tourmaline Oil Corp(TOU-T) Frequently Asked Questions
What is Tourmaline Oil Corp stock symbol?
Tourmaline Oil Corp is a Canadian stock, trading under the symbol TOU-T on the Toronto Stock Exchange (TOU-CT). It is usually referred to as TSX:TOU or TOU-T
Is Tourmaline Oil Corp a buy or a sell?
In the last year, 15 stock analysts published opinions about TOU-T. 6 analysts recommended to BUY the stock. 7 analysts recommended to SELL the stock. The latest stock analyst recommendation is TOP PICK. Read the latest stock experts' ratings for Tourmaline Oil Corp.
Is Tourmaline Oil Corp a good investment or a top pick?
Tourmaline Oil Corp was recommended as a Top Pick by Robert McWhirter on 2020-05-29. Read the latest stock experts ratings for Tourmaline Oil Corp.
Why is Tourmaline Oil Corp stock dropping?
Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.
Is Tourmaline Oil Corp worth watching?
15 stock analysts on Stockchase covered Tourmaline Oil Corp In the last year. It is a trending stock that is worth watching.
What is Tourmaline Oil Corp stock price?
On 2020-06-04, Tourmaline Oil Corp (TOU-T) stock closed at a price of $13.9.
