Dan,
you mentioned lstmf can still generate free cash flow at$80...at what price would you start to question if they can sustain the dividend?
light stream safe w/ wti below $80
Re: light stream safe w/ wti below $80
First let me remind you that I mean $80 Canadian, which is now equal to about $72 US.
A sustained price below $70Cdn would cause Lightstream some problems. They can handle it for a year.
Keep in mind that as oil prices go down, so do royalties, operating expenses and taxes.
Reminder: You can download any of my the forecast models on our website to Excel and make changes to the commodity prices at the bottom to see how they impact revenues, cash flows and stock valuations. The forecast models are all driven by macros.
A sustained price below $70Cdn would cause Lightstream some problems. They can handle it for a year.
Keep in mind that as oil prices go down, so do royalties, operating expenses and taxes.
Reminder: You can download any of my the forecast models on our website to Excel and make changes to the commodity prices at the bottom to see how they impact revenues, cash flows and stock valuations. The forecast models are all driven by macros.
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group