OVV.TO stock: yahoo finance -> My conversation

May 26, 2020

Introduction

It is so interesting for me to be a stock holder. I start to read a lot of conversation from Yahoo finance. I need to learn more terms about Canada stock market. I wish that I purchase 10,000 shares on March 27, 2020, instead of 100 shares. 

Take notes 

I like to highlight things I should look into. 

1. 70 million shares will need to be mandatorily purchased by index funds 
2. OVV.TO was removed from TSX60 in January -> figure out capital size for TSX60
3. 2.3 billion for S&P 400 mid cap 
4. S & P 600 

Potential 70 million shares will need to be mandatorily purchased by index funds starting some time next month. Automatic back to 20 next month onwards just like it dropped when removed from TSX60 in Jan....enjoy the ride

Guidelines

• 

  2 days ago

  Yep what @fossilfuel said regarding conditions. It’s a time factor that people forget, most, of not all, rebalance Quarterly, so the absolute soonest I think would be Q2
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  3 days ago

  @Jag they are already eligible for all of the Russel and S&P indices...now just the detail o which one based on market cap. Now the market cap requirements are not carved in stone and subject to change. OVV is close to $2.3B requirement for S&P400 mid cap which is going to be amazing...worst case S&P600 but then S&P would have to upgrade them if they got in 600 and they prefer to have stable indices all thought difficult. Same way Russell..done deal per citi, and many more.
  You can read the details on each index requirement on S&P and Russell websites.
• 

  3 days ago

  Again, there are numerous conditions for listing onto these US indexes. OVV is not near to meeting them yet, which means more time required to hit target market cap. I would think at least 3 months if market conditions hold steady.
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  3 days ago

  @FossilFuel Best post on the entire board, I am long time investor in this company. Thanks for your informative post.
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  3 days ago

  @FossilFuel The crash when they redomociled made sense as Canadian funds would have had to sell off, is my understanding due to foreign investment rules? Wasn't clear on the process from the other end i.e. when would Ovintiv be available for purchase by the US funds. Almost got spooked by this board into selling when the price crashed but held on and bought some more. Break even is down to $19 CDN, might actually see it happen...
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  3 days ago

  @Dan Agree..actually my post states a wti hh assumption with my price forecast. I never give ovv price forecast without commodity assumption. Also more md-term view my preference i.e. 21/22. Both short term and long term I am not smart enough to forecast. But I do think we should see upward pressure in June due to indices and all else remaining equal.
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  3 days ago

  @Jim there was some serious overblown concern that ovv would default. Just terrible IB’s who didn’t do their homework. Glad to see other people around here have read all the quarterlies and powerpoints @fossilfuel I think we’ll be closer to $13-$16 than $20+ Until oil hits $50 or gas over $2.50 but your numbers are very plausible
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  4 days ago

  @FossilFuel Thanks for explanations.
  It is hard to believe what they did.They hurt also OVV too much and in worst time.In some days that Shorts were shorting millions of shares they started to sell their stakes.They started to do that around 10 $ but they sold most of their shares around 3-4$.Their last transaction was for 2.7USD.I also think was not smart decision.On the time I asked from one of the Causeway's investor relations for their action.They replied me for "changing in Ovintiv's fundamentals".
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  4 days ago

  @Jim yeah a tragedy...not just causeway also Wellington dumped OVV, total about 50 million shares and inst holdings at historic lows...they may be kicking themselves by not being patient enough. causeway got in in 2016 I think at over 45. SO they broke the bank and must have lost everything...they tried to average down but did not work. I think they just gave up + corona and just took the hit and declare as losses next year. I dont think they were too smart...who sells when you have lost everything...sell before or if you are that low then might as well hold on unless ofsettingcapital gains. Also Wellington would have been even higher cause they were NFX...like I am sure well above 50. Good thing is Dodge&Cox Cox got more, Fidelity is in andTrowe is in....I think it will sort itself out next month.
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  4 days ago

  @ FossilFuel
  I am wondering why some institutions sold their shares.do you think they don't know that OVV possibly will jump to over 20$ or even more.