Well said, but BTE will not be going bankrupt any time soon. They are well positioned in this low oil environment to survive the long term. Granted, being a shareholder at this time is tough, losses steep, but some of us have no choice but to hang in, and we believe long term this could trade at multiples of today's price. If and when oil stabilizes above $50 and long term moves above $60 we will all be smiling.
BTE, check it out for long term growth....well positioned to withstand the low oil prices.....any rise in oil prices will have dramatic upward affect on price!
Sentiment: Strong Buy
BUZZ-Baytex Energy Corp: First Energy Capital upgrades to "outperform"
Mon Nov 16, 2015 10:57am EST |
** Canadian oil and gas producer's U.S.-listed shares up 5.3 pct at $4.17; Toronto-listed shares up 6.1 pct at C$5.58
** Analyst at First Energy Capital upgrades to "outperform" from "market perform", citing recent share price weakness
** Baytex exceeded the brokerage's cash flow per share estimate, helped by lower costs
** Baytex had suspended monthly dividend and stopped further drilling activity at two regions and lowered 2015 production forecast in August to cope with weak oil prices
** Nine out of 16 brokerages covering the company have a "hold" rating on the stock, 6 have "buy" or a higher rating and only one has a "sell" rating
Sentiment: Strong Buy
Debt was reported in Cdn dollars which has depreciated in terms of US$, that is the only reason for reporting higher liabitlities. In other words, its the exchange rate, nothing else, Debt did not increase a dime!
What more can be expected in this environment. Positive cash flow and net income is all that matters. They can survive and this proves it, going forward we will be fine if oil prices improve, but we all know that. Good long term bet at this price, well positioned. I am well below my cost on this but will bide my time and have confidence this will double or triple back in time, but all is dependent on the price of oil. Or a Buyout is always a strong possibility. Great assets.
Net Loss attributed to write down of Eagle Ford, Adding back this impairment charge and the company was profitable. IMO the company is well poised to recover with oil prices should they eventually rise! They can certainly weather this storm. I have copied this excerpt below from their financials.
We recorded a net loss in Q3/2015 of $300.7 million ($2.49 per share) compared to a net loss of $27.0 million ($0.13 per share) in Q2/2015. The net loss in the quarter is largely attributable to the non-cash impairment charge of $493.2 million ($419.0 million after-tax) related to our Eagle Ford operations. The impairment charge, which is directly attributable to the decline in commodity prices, included $210.3 million related to oil and gas properties and the remaining goodwill of $282.9 million associated with the acquisition. We have determined that no impairments are required on our Canadian operations at this time.
CALGARY, ALBERTA (November 6, 2015) - Baytex Energy Corp. ("Baytex")(TSX, NYSE: BTE) reports its operating and financial results for the three and nine months ended September 30, 2015 (all amounts are in Canadian dollars unless otherwise noted).
“During the third quarter, we continued to position our company to withstand the current low commodity price environment. Consistent with our revised plans for 2015, we moved forward with a slower pace of development in the Eagle Ford and suspended heavy oil drilling in Canada. We remained focused on cost reduction initiatives across all of our operations and maintaining strong levels of financial liquidity. We have built an exceptional asset base focused on crude oil and liquids with a significant inventory of development prospects. We are well positioned for success as oil prices improve,” commented James Bowzer, President and Chief Executive Officer.
• Generated production of 82,170 boe/d (81% oil and NGL) in Q3/2015;
• Delivered funds from operations ("FFO") of $105.1 million ($0.51 per share) in Q3/2015;
• Realized an operating netback (sales price less royalties, production and operating expenses, and transportation expenses) in Q3/2015 of $15.57/boe ($18.90/boe including financial derivative gains);
• Produced approximately 39,000 boe/d in the Eagle Ford with 14 wells brought onstream during the quarter generating average 30-day initial production rates of approximately 1,350 boe/d;
• Realized drilling cost savings in the Eagle Ford of greater than 10% for the second consecutive quarter (an overall reduction of 27% compared to 2014); and
• Maintained strong levels of financial liquidity with the suspension of our dividend and approximately $1.05 billion in undrawn capacity on our credit facilities.
bought in a few days back over $9. What is going on with this, may pull the trigger and bail on this as well. Not liking this action. any thoughts from long time holders as to the downward pressure. I like the solar industry and thought this would be a good one to pick up down here, Why the downward pressure??