5 days ago
PXT.TO- one of the other oil stock I have been watching (suggest you look at that ticker vs the PARXF due to volume). They are a Canadian (Calgary) based oil company with operations in the same geographic location as GTE.
Here is what they posted Wednesday 8/4, the day after GTE announced
- Beat EPS by 500% ($0.14->$0.72)
- Reduced float by 20%
- Initiated a dividend (2.5% currently)
-$1B/year run rate revenue
- They have no debt
And what happened?- the Share price dropped from $20.35 (close Tuesday) to $18.61 (close Wednesday) which is about a 9% drop (sound familiar??) GTE from $0.6250 (close Monday) to $0.5639- slightly higher than 9%
My point is not to pump this stock or post fancy gifs that we are going to the moon, rather there is a disconnect in the market between the fundaments and the share price of at least these 2 oil stocks with very similar geographic oil operations and HQ's. GTEs is exasperated by the holding/selling of GTM.
So if you are a trader - trade on. If you are an investor and believe that company fundamentals can not forever (6 months- 1 year?) be separated from share price- hold on. Otherwise sell and look elsewhere.
My last pyramid down is $0.55 to increase my position about 33% (my trade did not get executed last week) and considering moving that over to PXT.TO or splitting it. After that, I am at my max % portfolio exposure to oil/energy. Saying again the current fundamentals say we should be at about $1.3/share with GTE to yield an average share price of about $0.9 as we exit 2021
Here is what they posted Wednesday 8/4, the day after GTE announced
- Beat EPS by 500% ($0.14->$0.72)
- Reduced float by 20%
- Initiated a dividend (2.5% currently)
-$1B/year run rate revenue
- They have no debt
And what happened?- the Share price dropped from $20.35 (close Tuesday) to $18.61 (close Wednesday) which is about a 9% drop (sound familiar??) GTE from $0.6250 (close Monday) to $0.5639- slightly higher than 9%
My point is not to pump this stock or post fancy gifs that we are going to the moon, rather there is a disconnect in the market between the fundaments and the share price of at least these 2 oil stocks with very similar geographic oil operations and HQ's. GTEs is exasperated by the holding/selling of GTM.
So if you are a trader - trade on. If you are an investor and believe that company fundamentals can not forever (6 months- 1 year?) be separated from share price- hold on. Otherwise sell and look elsewhere.
My last pyramid down is $0.55 to increase my position about 33% (my trade did not get executed last week) and considering moving that over to PXT.TO or splitting it. After that, I am at my max % portfolio exposure to oil/energy. Saying again the current fundamentals say we should be at about $1.3/share with GTE to yield an average share price of about $0.9 as we exit 2021
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