Dear Dr. Blair, would you be pls willing to assess the value of $VET in your model? I think it might be another hot name in #COM, which is actually a value trap. Thank you.
Some time ago, this stock was presented by Shubham as the most undervalued stock in the CAN O&G with a fair value over 100 $. Many #COM members got cought. The price is compressed now, a realistic EPS can be around 3,5 - 4 $. But the company is not great, rather hands off.
Yes. The value is what is actually under the land, not just what has been exposed through drilling so far. For example, both Rubellite and Headwater have only drilled a tiny fraction of their acreage and their reserve reports do not include unexplored acreage or what might be under the surface in those areas.
Like your thoughts on ITE , small Clearwater play, appears to be substantially undervalued based on reserve life .
Looks to be a potential takeover candidate.
Cheers
I don't follow ITE.
Dear Dr. Blair, would you be pls willing to assess the value of $VET in your model? I think it might be another hot name in #COM, which is actually a value trap. Thank you.
Vermillion reserves have a Black Scholes value of $30 per VET share. I hold no Vermillion.
Thank you very much Dr. Blair.
Some time ago, this stock was presented by Shubham as the most undervalued stock in the CAN O&G with a fair value over 100 $. Many #COM members got cought. The price is compressed now, a realistic EPS can be around 3,5 - 4 $. But the company is not great, rather hands off.
Is there a cherry on top for acreage holdings outside the reserve report estimates? My usual nagging question..
Yes. The value is what is actually under the land, not just what has been exposed through drilling so far. For example, both Rubellite and Headwater have only drilled a tiny fraction of their acreage and their reserve reports do not include unexplored acreage or what might be under the surface in those areas.