I just posted my updated profile and forecast/valuation model for Surge Energy to the EPG website.
SGY.TO was trading at $9.35Cdn at the time this was posted. My current valuation is $15.25Cdn.
> The current share price is less than 3X my 2023 operating cash flow per share forecast of $3.14Cdn, which is very close to the consensus per TipRanks.
> Surge is going to report a significant increase in production from Q4 to Q1. Current production is over 25,000 Boepd (84% crude oil, 3% NGLs and 13% natural gas).
> They are also going to report strong well results during Q1. They drilled 17 development wells in Q1 and 14 were completed to sales by 3/31. The other 3 wells should be completed very soon.
> The Company's preliminary production guidance for 2023 was 25,000 Boepd. I expect them to raise guidance when they announce Q1 results.
> Surge pays monthly dividends.
> If their actual results and guidance match my forecast, SGY should get a lot more love from the Wall Street Gang this year.
TipRanks: "Stifel analyst Michael Dunn raised the firm’s price target on Surge Energy to C$12 from C$10.25 and keeps a Buy rating on the shares."
Surge is hosting our Houston luncheon next week (April 12) and yesterday I upgraded the lunch menu to a Texas BBQ Buffet. If you eat meat, this is a luncheon you want to attend. Registration for the luncheon is required. Go to our website to register.
Surge Energy (SGY.TO and ZPTAF) Profile - Apr 6
Surge Energy (SGY.TO and ZPTAF) Profile - Apr 6
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: Surge Energy (SGY.TO and ZPTAF) Profile - Apr 6
Oh my! You Houston members are so lucky!
Re: Surge Energy (SGY.TO and ZPTAF) Profile - Apr 6
Would love to attend these luncheons but I live in upstate NY.
Re: Surge Energy (SGY.TO and ZPTAF) Profile - Apr 6
I thank God each day for getting me to Texas. "Life is Sweet in Sugar Land, Texas."
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: Surge Energy (SGY.TO and ZPTAF) Profile - Apr 6
Colborne and Ducs were impressive today! Great find confidently hitting on all cylinders.
Looking forward to ROK, IPOOF, and KEI.
Canadian companies soaring under the radar.
Looking forward to ROK, IPOOF, and KEI.
Canadian companies soaring under the radar.