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$1.90 karoon energy ltd

Good point, I hadn’t dug in that far. Will take another look.I...

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mondyinvest

4,835 Posts.

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26/04/24

20:01

Post #: 73531570
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Originally posted by volf: ↑

Thanks Mondyinvest, appreciate the response via metrics rather than rhetoric.

It might be even worse than the above comparison, as I do not believe the EBITDA comparison between Brazil / Who Dat properly factored in the level of gas production & differential between WTI/Brent.

All Brazil production is oil and sold at Brent pricing.

~70% Who Dat production is oil and sold at ~WTI pricing which is say $5/bbl less than Brent.
~30% Who Dat production is natural gas and sold at ~Henry Hub which is nearly the same price as cash production costs, so doesn't generate EBITDA.

Factor in the downgrade on production and I believe it's more like a 3.5 multiple to their stock at the time ie. i2.5x EBITDA for Brazil vs 9x EBITDA for Who Dat.

Karoon management & board is lucky this stock has no major investor with their head screwed on and is just a collection of index funds and smaller investors.

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Good point, I hadn’t dug in that far. Will take another look.

I guess my question to you is: taking into consideration a) the overspend on Who Dat, b) recent production downgrade and c) management going after short term incentive-driven acquisitions… at what share price do you see ‘value’ when factoring in these issues?

KAR Price at posting: $1.94 Sentiment: None Disclosure: Not Held
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(20min delay)
Last $1.90		Change -0.010(0.52%)		Mkt cap ! $1.522B

Open	High	Low	Value	Volume
$1.94	$1.96	$1.87	$13.33M	7.014M

Buyers (Bids)

No.	Vol.	Price($)
1	10554	$1.89

Sellers (Offers)

Price($)	Vol.	No.
$1.91	84402	7

View Market Depth

No.	Vol.	Price($)
1	10554	1.890
3	34173	1.885
4	80402	1.880
5	157365	1.875
13	133361	1.870

Price($)	Vol.	No.
1.905	84402	7
1.910	115395	4
1.915	55267	4
1.920	11564	3
1.925	69198	2

Last trade - 16.10pm 06/05/2024 (20 minute delay)


Last $1.90			Change -0.010 ( 1.53 %)
Open	High		Low	Volume
$1.95	$1.96		$1.87	1995889
Last updated 15.59pm 06/05/2024 ?

KAR (ASX) Chart

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