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Hear NAV of 500p, probably 40k bopd per day, fcf off the scale, $30m pay cheques, no debt, profits increasing. Yet this is 50% down in a couple months. Maybe we have inherited $2 billion of debt like premier oil and are leveraged to the oil price or maybe we are doing brilliantly. It is anybody's guess, since with no official word for what now seems like eternity on any assets including gas the market will take pleasure in smashing this to pieces. Thanks Genel BOD Merry Christmas. Perhaps next year we will get treated to two RNS all year rather than one. And on something that DNO have not done all the work on
Hurricane energy now almost twice the market cap of Genel. Wonder if Genel BOD understand this or perhaps they are in the pub still that JL mentioned- like they have seemingly been in all year sice they have delivered nothing. Hurricane- no production or revenue and worth twice our market cap. At least they have management that actually do and say something... maybe thats what we are missing?
Thought I would leave some final thoughts. Was thinking today has anybody seen anything quite like this before or to this extent whereby the more cash/fcf/production and any and every metric you could possibly look at improves and a share price has an inverse correlation as severe as this? I ask in all seriousness because this was bound to drop with market jitters and the recent oil correction but if a company is performing well- which seems to be the case- at what point do you begin to think this is not right. This will soon be a 50% drop in around 3 months! Other than oilers with heavy debt i don't see any other companies suffering like this. BP is down something like 15%. What is the deal with Genel.... lack of communication and bone idol management as i have highlighted but 50 friggen percent is nuts. You would expect that magnitude of drop if Tawke blew up. You also would have thought the company would be or feel obligated to chime in with a drop this large as well. I guess what i am asking is if a company is financially sound, literally printing money and has plenty of resources to exploit why would it in a matter of months and with no new news be worth half its value. Because of a $20 drop in the oil price? hmm, Genel pull oil out the ground at $2 a barrel ffs. I have certainly come to the conclusion that the market is a manipulated cesspit that totally ignores fundamentals, balance sheets and sanity. And also charts and computers seem to dictate everything now. This has taught me one heck of a lesson and I wish i had the sense to bail at 3 quid. Back to my initial question- has anyone seen a company with assets and cash generation on this scale and with a balance sheet as healthy perform as badly as this before, ever, in any sector, for any reason? There is something either seriously wrong (and how will we know when management never communicate) or this is a bargain. Laters guys
Cheers Bunks, me too. Also no longer posting as had enough of market/Genel. Like you, I have been around for ages, thought this year was Genel's year. Like many of us long termers you put a lot of faith in your investment and decision as well as management. That is why we put considerable sums of money in. The oil price and market dip has been unfortunate timing. The absolute kicker for us this year however has been the lack of progress and communication. Silence in this market won't cut it. To go the entire year, I will say it one more time- the entire YEAR- when Genel have how many assets (6 or 7?) without news is ridiculous. Thankfully DNO have helped out with Tawke. Management are either ignorant, negligent or just plain stupid if they think that saying nothing on anything is the right course of action right now for shareholders. Snap, hat tip to you and the rest of the old timers. Every dog has its day
This has always struck me as one of those jam tomorrow companies on AIM. Its just always hot air and guff about things they might do and loss making. I tend to pick or chose badly with shares so my judgement is probably wrong and with these type of shares there is probably just as much chance of it going to 25p as 5p so what do i know
Yes JL, but you can begin to see some patterns here for example a 0.4% drop in oil price should be good for at least a 4% drop in Genel's share price. A 4% rise in oil price should be good for a 0.4% rise in Genel. You can extrapolate this so a 3% drop in oil is normally 10% drop in Genel share price etc etc. We might be on track for a cool 50% drop in Genel share price soon as lack of news is putting the icing on the sh**y cake here. I said a while back but no news this entire year would be a commendable effort from BOD. I was surprised that this got to the 230's region thinking this was dirt cheap. Goes to show
Yup, still no news and down we go again. As you said bunks..... still only down 2.5% so far, which is a result for us. Probably start to really get going later on today. Absolute and total shambles. Not long to go until cash nears market cap. The Genel team really ought to get together and sort their s**t out. Should the oil price really be smashing us as much as this?
See this is what i don't get, oil and the market up today- all oil companies up, most stocks up, yet even after the pummeling we have endured this ends up in the red again. I know i am talking to myself but when will management just say something to stop this constant erosion of our money
Fair argument Boyobach. Still believe that £500 market cap is a joke with 35-40000 bopd, up to $350m cash on hand and $30m and higher payments each month. That is despite the lack of progress on expansion and signficant proven reserves. Hurricane is £800 million mcap with no production or revenue (as an example). Managements conservative approach doing us no favours- as demonstrated the last few months where this has almost halved in value. Oil at $60 is a shame but lifting costs are what, $2 a barrel?
Mind boggles with how this is still performing so cr*p. Oil and market up a tad and this going nowhere. There surely has to be a reason for the lack of intervention to stop the continual slide in the share price from management of Genel. Far as we can tell company have never been in better shape and this is getting trashed with oil other oil companies just because it is an oil company. Fundamentals, payments, cash, profit, production- even the politics are improving bit by bit. Management can make the market aware of this and update on anything they chose so why stay silent for several months and let the share price erode after the hard work to get it higher in the first place. Seems completely counter-intuitive. Of the shares i follow this has been by far the biggest disappointment in terms of wasted potential this year. Do not even have a payment rns anymore to relieve the boredom
Bunks, never dreamed we would be back here. It really will be mcap equal to cash on hand soon. It is incredible really just how bad things have become. Cannot understand or think of a single reason why this is being smashed to pieces like this when you look at the business and numbers. This has nearly halved because of oil dropping $20
Just another 8% down, worst performer in oil market along with GKP - just like usual. New lows again. This will be sub £1 again soon at this rate, what in the h*ll management of this company are doing or getting paid for i have no idea. This is a profitable oil company with no debt why is this dropping nearly 10% in a day
Its actually just turning into a joke now. Surely management owe it to shareholders to at least attempt or try to reassure the market that nothing is untoward when it is in freefall like this. I am sure if they just said they were alive it would go up 10%. This and GKP have the healthiest balance sheets going and are least effected by oil price yet get completely crushed. Genel have several assets if there is no news why is there no news, what are they doing