The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
Today's fall was market wide. I'm guessing delta variant case rises have spooked investors. Sentiment is shakey at the minute, but the fundamentals remain good. I think PoO will stay in a range that's good for profits. Buying opportunities for the long term investor...revised extended exit durations for those who already hold, I'm guessing next xmas. You only lose if you sell low.
Im expecting a load or dump at the end of today for the SP. What is the general consensus? I'm going large uptick towards the close....not massive though. PI speculation before IIs start next week.
Outofideas, if you topped up 100,000 at 30+ last week, then you were happy last week the SP was good value. The fact it is down means its even better value. None of the fundamentals have changed. You should be buying more, not worrying about the HE valuation. If it helps, I think the SP will reach 40p at least this year.
Hold
53.9p by Q1 next year...imo.
PMO is suppressed as the market is wary of the impact that creditor shares may have on the sp after the merger completes. Smaller creditors may all dump asap and cause a dip, larger ones are tied in for 6 and 12 month periods. PoO and the market will decide on HE valuation. My view is it will mostly have played out by xmas. I'm holding until at least next April if oil holds.
Motley fool posting they wouldn't buy PMO....usually a sign to buy more! :D
I think this will be a good week. PoO looks to be steady and future earnings even at $50/55 must make good reading! I believe there is still 20% to come pre merger...
Any other news hinted at SL or Zama could propel even higher. What are your thoughts on HEs 200k at $60? More than £7bn mcap?
I'm doing nothing short term. The future is positive, trading the volatility is a risk in itself. By xmas HE will be in the ftse 100, have some quarterly results in and maybe a dividend. It will be over 50p. Other oil holdings may have doubled, spread your holdings accordingly. I'm large in PMO, medium on Enquest and tullow, and small on RKH, borders and ring.
Oil demand will begin to dwindle... in about 15 years. And opec will reduce supply. I foresee oil prices rising higher than ever before. The market isn't dying, its evolving.
Assuming £7bn mcap for HE, there's about 20% left on the SP. What do you think the effect of $70 oil will have on mcap? Is £10bn wishfull thinking?
Q3 45p imo.
US oilies still manage to double the rises we see here across the board. Brexit maybe? Can't stay down forever with these PoO. My UK exploration companies aren't budging atm. Tomorrow I'm going to reposition 2 of them into Ring Energy. Looks v cheap indeed.
Azerbaijan and Nigeria also. Looking good. Waiting on Vlad.
Kuwait too...
Saudi and Algeria stating their preference for maintaining cuts thus far...
31st March
6x would value PMO at 34p. MMs had PMO at £1 in 2019 with oil at half its current price. What is the real target?
Can anyone explain if HE still plan on going ahead with sea lion? Are RKH fully dependant on HE to access the oil there? They look undervalued still, but is the previous deal likely?
So ExxonMobil has a 30% uplift written into its North Sea sale to hitec. They obviously see that there is a potential for such a rise in the commodity in the near term. Maybe $80 a barrel is possible this year... maybe. Current rise are almost all retail... what's going to happen when IIs come knocking?