With a current price-to-earnings ratio of just 12.7, Senex Energy looks seriously cheap for a fast growing company. Senex was forecasting production growth of up to 28% for the full year to 30 June, but all eyes will be focused on the results of the company’s aggressive 30-well drilling program when it announces its full year results.
If Senex can continue to build its reserves replacement ratio and add to its ‘2P’ oil and gas reserves, shares could see a surge in interest.
SXY Price at posting:
70.5¢ Sentiment: Buy Disclosure: Held
