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TOP PICK
Always had too much debt, heavy oil, etc. and now they are going into the Clearwater play. They acquired a massive position and drilled the 2 best wells and got cashflow back in a month. Trading at material discount and changing rapidly. Committed to being a strong returner of capital. (Analysts’ price target is $4.83)
oil / gas
TOP PICK
A pure play in the Cleawater area. Have made several successful explorations. Good insider ownership. 2.8x cashflow two years out. 28% free cashflow at $70 oil. A proven value creator with no balance sheet risk. (Analysts’ price target is $7.24)
oil / gas
TOP PICK
A potential double from here. Trading at 2.6x cash flow. Free cashflow is 23%. Buying back shares due to distressed value. Has 10 years of inventory. Balance sheet is good. Could privatize themselves in 4 years. 99% upside potential. (Analysts’ price target is $16.24)
oil / gas
PAST TOP PICK
(A Top Pick Nov 20/21, Up 69%) Liked it for assets. Ultimately sold to Whitecap.
oil / gas
PAST TOP PICK
(A Top Pick Nov 20/21, Up 104%) 21% free cash flow yield, and have committed to return a decent amount to shareholders. Injecting CO2 which is the biggest project in Canada. Waiting for framework on government on how producers can become net zero emitters.
Oil and Gas (Integrated Oils)
PAST TOP PICK
(A Top Pick Nov 20/21, Up 217%) You get leverage to a rising oil price since it is unhedged. Has differential exposure to WCS differentials. At $80 oil, they will reach their next hurdle for cashflow. Upwards of 20% of shares being retired every year. Could privatize themselves in a couple years with cashflow. Target of a 6x multiple.
oil / gas
COMMENT
Has been a rollercoaster for energy investors. Fundamentally, nothing has changed. SPR release weighed down, and now there are fears for Omicron. The collapse in oil price is discounting 7M barrel per day collapse. This is equivalent for all planes on the planet not flying for months. The average Canadian oil company could privatize themselves with 5 years of cashflow. Would continue to be aggressive in oil.
Unknown