Investment Q&A

Q: HI TEAM
Bought 2000 bte @ 4.00 i think id like to sell and replace it with one or two other cos. with better prospects. my other oil holding 3% are wcp
hwo . i been whatcing rrx but it doesnt move a little help please
thxs. and MC
bob

Q: Peter & Team could you check out BTE for me I know it has taken a drastic hit in share price . Would it be a good time to get in as oil seems to be edging up.

Thanks Jim.

Q: Seasons Greetings: Please deduct the number of questions that you feel is fair. I have been smoked by NBZ and ready to walk away. My advisor is suggesting putting the remaining $$ I have left from the sale into BTE, BNP or TCW as to remain with the energy theme.

Your thoughts and suggestions will be greatly appreciated.

M

Q: Hi Peter and Team,
What is your view on Baytex Energy buying production assists in the Peace River Region of N. Alberta in a deal worth 65 m?
Is it positive or negative in terms of their operations and financial status. To my understanding their debt level is high.
Your comments appreciated.

Q: Baytex reported Q3 and I would like to hear your comments. Thank you.

Q: what is this talk about the carbon tax? how can it can an impact the price of crude and oil companies? is baytex a company that will be negatively impact by this?

Q: Baytex has significant price swings which I guess are based on oil price changes and leveraged by its debt. Up 7.55 % yesterday. I have traded it several times in a TFSA including a sale yesterday. Do you think short sales or short covering are a factor? Do you have any other comments about the price movement other then that caution is in order.

Q: Do you believe BTE is undervalued with oil being above $50 a barrel. if i remember correctly the last time oil was above $50 a barrel BTE was trading around $9 per share. what are you thoughts?

Q: Hi Guys,
If I think the US PMI data may be peaking in the next few months and we could have a global slowdown for 2017 and looking for a few bearish bets, perhaps a few short trades as well. With China now depending on more exports as well as Japan and with a big chunk of those exports coming to the US we could have the 3 largest economies in the world slowing at the same time. This would weaken the demand for crude oil and I think it could revisit the $20's once again. I'm looking for companies that can quickly get in trouble once again if the economy begins to weaken, I'm thinking Teck and Baytex? Do you agree these names will drop in the above noted scenario ?Any other names you might suggest? Looking for weak balance sheets I suppose with too much debt. Thanks

Q: Thanks for the advice to hold BTE, up 10% in the last two days.

Q: Baytex continues to drop on no news. Is this the time to finally sell?

Q: Hi Peter and Staff
I realize no one can predict this volatile commodity pricing . I have rode oil down for its highs waiting to capture "some " of my losses back before getting my oil weighting down to a more reasonable level than it was then or is now ( currently about 10 percent) . I sometimes think oil is the same as farming - no pricing power - no limitations on supply. Eric Nuttall was preaching optimism again on BNN on Friday. Then again he said Baytex at $9 as it touched a couple months back was already pricing I oil at $60. So do you think that for a patient investor (willing to wait 2-3 years for some decent gains) , there is a decent upside coming in that timeframe?
Thanks for all you do
Dennis

Q: I have owned both companies for a couple of years and am down about 50% on SGY and 80% BTE. Combined, they are less than 5% of my portfolio. My question is whether I should just ride these out and wait (hope) for higher oil prices with these names or is it wiser to sell and replace them with a "better" name. I am thinking of VET, partially because of the dividend. I can't decide if the better strategy is to stay with my current holdings as I think they could provide more potential growth or if the risk is too high for their continued existence and a switch to a more stable company is warranted. I would like to keep whatever money this represents in energy.

Appreciate your insight.

Paul F.

Q: Is the current 10% pull back a good opportunity to buy BTE?
I will also appreciate your comments on the results announced recently about BTE.
Thank you for your advice and insight

Q: Good afternoon,
I purchased a small position in BTE about a month ago and am up virtually 100%. Should I take the money and run or hold?
Thank you.

Q: Hi Peter, I own BTE and my cost is 26.51 if I were to buy 100 more shares it would get the cost down to about 16.00. Would this gamble be wise, waiting for oil to rebound, and if it were to be bought at what price might it be bought at. I know you can't predict the price but what value might it have at this point. Thanks

Q: There has been some insider buying at Baytex in the last little bit. I was wondering if you think this is a positive thing and would you start a position now? Currently have zero exposure to energy.

Thanks

Q: What's going on here (in your opinion) with the stock price? Continues to get hammered down, despite co. saying they have positive cash flow, can operate through the downturn, etc. Any words of wisdom for the everyday investor?

Q: Baytex share price continues to implode. Is this a value play at $7.10? It was a $48 stock 12 months ago. If the price of oil stays in the low 40's for 18 months, would Baytex survive? The timing of last years acquisition could not have been worse.

Q: I was reading the companies Q2 MD&A and noticed that the dividend payout ratio is noted at 35% of FFO for the first six months of 2015 (excluding the impact of DRIP). The dividend was cut to $0.10/share a while ago. Is a dividend cut a concern, as it looks like they have it covered from FFO? Or is the main concern with BTE the debt level? I noticed the debt is not due until 2021 which seems like they have a bit of a buffer to wait on higher oil prices. Just trying to figure out if the drop in share price is company specific or more the fact that the whole sector is getting hammered. Thanks