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Most Anticipated Earnings: TSU-T, IVN-T and more Canadian Companies Reporting Earnings this Week (Oct 28-Nov 01)China’s stimulus disappointsBlow-out jobs report sparks rallyThis summary was created by AI, based on 20 opinions in the last 12 months.
Experts have mixed opinions on Tamarack Valley Energy, with some noting the company's acquisitions have not paid off yet but could rerate higher in the future. The company is actively reducing debt, with potential for 25% to 75% of free cash flow to return to investors. TVE has good assets in the Clearwater area and has been consolidating its position there. However, concerns about debt, share overhang, and the company's performance in comparison to other names in the sector have been highlighted.
He's stuck with it through some real pain. Hit its numbers for 2 quarters in a row, exceeding expectations. Beat on higher production and lower capex. At least 20 years of high-quality, stay-flat inventory. 60% of free cashflow to shareholders, meaningful buybacks. 18% free cashflow yield, 1/2 in buybacks and 1/2 as dividend. Yield is 3.74%.
Sees $8.32 one year out, 71-104% potential upside 2 years out.
Has its ups and downs, can be more volatile, so the dividend can help. These small caps are quite dependent on the energy price. Nice run earlier this year; now just bouncing between $3.50 and $4.25, looking for direction.
Suffered from poor performance due to being aggressive acquirer, a lot of stock was issued and had to be absorbed.
He continues to hold with a 7-7.5% weight. Quality assets, though may have overpaid, but that's in the past. Deleveraging so that more free cash can be returned to shareholders; investors get half of it right now, goal is 75%. Well over 10 years of inventory. 10% free cashflow yield is reasonable. Ticks all the boxes.
It trades around 3x cash flow and a double-digit free cash flow yield, and pays over a 4% dividend yield. He see 50-80% upside. They operate in the Clearwater oil play and another high-return oil project. They just started buying back shares which should increase as they lower debt. You get paid to wait.
(Analysts’ price target is $5.23)Deeply out of favour. Active doing M&A, created an overhang. Timing and quality of assets purchased was very good.
Can't find any negative comments on its assets. May have overpaid slightly for its most recent purchase, but very high quality. Hit numbers for 2 quarters in a row, so his confidence in execution is increasing. 20% free cashflow yield. Needs to pay down debt, and then 75% of free cashflow can return to shareholders. He trimmed recently, from a 10% position to 6.5%. Implied price target is almost $7. Share price is getting increasingly attractive.
EPS of ($0.06) missed estimates of $0.0763 and revenues were $393.34M. Adjusted Funds Flow was $181.6M, a 15% year-over-year increase, which was directed to dividends, and reinforcing its balance sheet. TVE purchased 7.6M in shares during the quarter, 1.4% of outstanding shares for $25.6M. Production volume was in line with guidance, and management called for an average annual production of 61,000 to 63,000 boe/d in 2024 with a capital budget of $390M to $440M. A big piece of its loss per share in the quarter is due to an unrealized loss in its commodity related hedging contract. The stock closed the day in the green, and we are not overly concerned by this quarter. It continues to offer a high dividend yield, and repurchase shares.
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They've been aggressive acquiring inventory, perhaps overpaying for a few, but that's now in the past, and they won't be buying more in the near future. They have more than enough drilling inventory, so now they must prove to markets the merits of what they bought and that they've taken care of all their overhangs. He projects 19% forward free cash flow yield--compelling. It's been a frustrating stock, though. Past laggards should perform well this year.
A large disappointment due to their acquisitions, which haven't paid off yet. There are no more overhangs, though, so this could rerate higher. He target $6.80 or 73% upside. Are a prime target to merge to gain scale and attract large investors.
Oil should stay in the $80 range or higher. TVE had issued shares for its acquisitions but is now buying back shares and paying down debt. He owns and is buying. Headwater is the number one position in the Clearwater area.
Half its production comes from the Clearwater Formation, the hottest play in Canada. Very high margin, excellent leverage to differentials (WCS and WTI) pulling back to historic averages at the Transmountain comes online soon. However, they bought several companies and the market didn't like that. But they will reach their debt level in the second half of 2024 that will lead to 25% of free cash flow to return to investors and eventually reach 75%. He expects more debt reduction.
He bought a lot of oil in 2020 when it bottomed, and oil did well through 2022. Shares have come down since, but oil and gas prices remain good, and the stocks offer good free cash flows. But sentiment is not there. The Saudis don't want oil below $70/barrel, and they run OPEC. If you believe that the Saudis will cut production to maintain that price, then oil stocks are undervalued. The large-caps have the best balance sheets and are the most stable. Mid-caps are slightly more volatile and the small-caps are very but are really cheap though don't pay dividends. TVE is the best mid-cap with great assets in the Clearwater. The knock is that they made some acquisitions which raised their debt, but this is short term. He expects a rebound this year.
Higher cost, higher leveraged assets. Weak compared to others in the sector. But if we see strength in the energy sector, a name like this could perform better because the marginal increase can affect them more to the upside. Not one to own if you're only middling on energy.
Likes it and the energy space, but the malaise is down to weak oil and natural gas prices as well as the federal government being hostile to this space. TVE has grown very well in recent years.
Awful. Finally hit numbers for the first time in modern history. Management's motivated to make sure execution continues. Trading at 3x $80 oil, 21% free cashflow yield, paying down debt. 68-114% potential upside at $80 oil.
Tamarack Valley Energy is a Canadian stock, trading under the symbol TVE-T on the Toronto Stock Exchange (TVE-CT). It is usually referred to as TSX:TVE or TVE-T
In the last year, 13 stock analysts published opinions about TVE-T. 8 analysts recommended to BUY the stock. 1 analyst recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Tamarack Valley Energy.
Tamarack Valley Energy was recommended as a Top Pick by on . Read the latest stock experts ratings for Tamarack Valley Energy.
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.
13 stock analysts on Stockchase covered Tamarack Valley Energy In the last year. It is a trending stock that is worth watching.
On 2024-10-29, Tamarack Valley Energy (TVE-T) stock closed at a price of $3.91.
Company has hit guidance targets 3 quarters in a row - out of the penalty box as a result. Pure play on Clearwater/Charlie Lake oil plays. Wells are paying our multiple times in ~2 years. Very economic oil metrics. Trading at a steep discount to NAV and cash flow multiples. Would recommend buying at this price. Management buying stock aggressively.