Why oh why !17 Sep 2021 12:46
I will post it again, as some of you may have missed it !
I do not think the issue here is "shorts" or people shorting this stock. Indeed you would have to be very brave (or stupid) to short TLW at these low share prices.
Being serious and trying to be informative on this board - I believe the issue and thus reason why the share price is where it is, and not rising is purely down to the fact that TLW has high debt !
And, most importently, the fact that this has hardly come down at all this year , even during a period of high Oil Prices.
Another key issue is the high level of interest that TLW is paying on this debt too ! Around 10% from memory ! This is high and shows what risk the lenders have apllied to the business in giving a 10% figure. Other smaller oil company re-financed at under 5%. Why do the lenders see TLW as higher risk ?
With further increasing oil prices then, hopefully both of these issues will be addressed during 2022 and the share price may return to it's "happy highs".
All the best.
JAN
P.S. - Oil prices have averaged around $66 for H1 2021. This is good enough to clear down large chunks of debt surely ? If not why not ? breakeven too high maybe !