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Yeah, doesn't read well. But Stockopedia have a loss of -$26m in as the consensus for this year and yet the RNS says breakeven. So perhaps it's not as bad as first appears?
Not good on first read. Expect market to drop this. May take opportunity to top up in the hope of a strong turnaround in 2022.
Mine's from marketscreener.
Hi, I'm not sure where you get that $8.84m figure from. The figure given by Stockopedia as the consensus for 2022 says net profit of $13.68m, which is well down on where we were a few months ago. As you say, I can't identify any way of really predicting what the results on Thursday will bring, but I'm hoping that this figure will get a push back up with the positive OP and number of rigs etc.
Who knows what this Thursday will bring but the analysts forecast for 2022 is miserable: $8.84M profit. I think we can blow that out the water. There has been only the most necessary capex for more than 18 months. Management were very bullish about 2022 at the half year and commodities have zoomed since then.
Hope so, share price hasn't kept up with the oil price moves, get its more complicated than that, but a decent earnings report might move this out of laggard status.
...this Thursday. May be interesting.
U.S. exploration and production (E&P) companies are completing wells at record rates, outpacing new wells by nearly 250 a month, according to Raymond James & Associates Inc.
Analyst John Freeman in a note to clients Monday said the domestic count of drilled but uncompleted wells, aka DUCs, has dropped by nearly 3,300 from nearly 9,000 strong in July 2020.
In the “largest (and quickest) drawdown to date,” the current DUC inventory is crossing the critical “normal level,” Freeman said. “Over the last year, completions have outpaced new drills by nearly 250 wells/month, an unsustainable delta of which has never occurred.”
E&Ps since July 2020 have maintained production levels mostly “by tapping their vast supply of DUCs, opting to forego costlier new drills in favor of cheaper completions.”
For production levels to sustain current rates — not grow — there has to be “a substantial influx in rigs, and therefore new drills are needed,” he wrote. “Operators must devote additional capital toward new drills (soon) or risk a slow, but sure, decline in production.”
The U.S. Energy Information Administration (EIA) every month provides data on the DUC count across the Lower 48 in the Drilling Productivity Report. The DUC count for August was down in every region month/month, with the total declining by 248 to end at 5,713.
The count “has experienced Dr. Jekyll and Mr. Hyde-like fluctuations, both positive and negative,” Freeman said. “The EIA date can best be described as a towering, high-speed roller coaster, gradually climbing from August 2018 to June 2020 before plummeting in just 14 months time.”
It took nearly 38 months to add 3,300 DUCs, from June 2017 to July 2020, Freeman said. However, it took only 14 months, from July 2020 to August 2021, to return to the June 2017 total of 5,700.
No one serious buys these for yield. The shares are way below the company's asset value so the margin of safety is good but whether they go up will depend on earnings. The Iran deal is important. If no Iran deal is struck then US shale output MUST increase rapidly otherwise there will be a huge supply gap which will eventually be increased by shale anyway. If an Iran deal is struck then a huge rally looks less likely.
Started to at at 195p , expect 230p ST and up to 275p by year end. Will trim and reduce average - aiming for sub 150p average to hold at core.
GLA
Not a recommendation.
The price here tends to fly about on quite low volume, so it may be one to trade. Personally I am holding and looking for 25% or so from here. The company has minimal debt, it is slowly diversifying, and should benefit from shifts in commodity prices. Seems to be a decent management team in place. Not too much of an insight here, sorry. Charts say we should shift up to 260s now.
madmax
Which share is that?
Never traded these but may take a punt. Any background the ones on this board care to share?
GLA
What makes you think the yield is too good to miss out on.I get nearly 30p/share elsewhere!
Entry point was Thursday at 195p IMO. Too late now, we are on our way to 250p. Yield is too good to miss out on!!
Not traded this one yet but on my radar now. Looking for a lower entry point and then will give it a whirl.
GLA
Looking at this optimistically we are treading water, but "management now anticipates the 2021 full year EBITDA outturn to be c.$10m lower than the 2020 result, given the slower-than-anticipated recovery within our core energy markets." Essentially the recovery is much slower than expected, and markets remain cautious. This is marginally worse than the situation reported by WG. on Tuesday. Further to he positive are the measures taken to diversify in fields and geographically, with investments in India and Singapore, and money put into software and additives. Overall a little disappointing, but management seem to be maintaining a grip, and clearly have a plan in place. Investors are rewarded with a dividend.
Yep the increase in the oil price since the pessimistic June update that still saw the share price drop to 241.5p augers well for a more bullish report and nice uptick from today's price; here's hoping
...due this Thursday. May be interestiing.
Schroder's put out a report suggesting fossil fuels will see a fifty year run-down period. Unfortunately they did not say when (or if) that has started! My guess would be 2040 before any real tailing off of oil use. Companies such as HTG have the opportunity to redirect heir skills and efforts by then.
Think I’m right in saying that the cash position is up c$10.5m since end of Q1 ($4m on BS and $6.5m divi). Sentiment into Q2 improving. Not too bad overall IMO.
this should be up anothet 10pips by close of play today
Market understandably not pleased with the update. This one is going to take some time to recover
"Group EBITDA in H1 2021 is likely to report a modest loss given the market conditions noted above and the additional production disruption in Texas in February 2021 due to the severe weather which occurred. The majority of this trading result was generated in quarter one, followed by a small positive result being recorded in Q2 2021 as trading conditions within the US onshore improved."
"Hunting retains a strong balance sheet with net assets of c.$950m and total cash and bank in excess of c.$100m."
Translates as "things are getting better, but not as fast as we had hoped." This is going to become an increasingly common cry. But we should see an increase in business in the medium term, and a rising share price to match.
Yes, but VERY slowly, and with enough time to transform itself.