CPG - Crescent Point Seems Undervalued
2024-02-23 23:22:15 ET
Summary
- Crescent Point Energy's share price has fallen significantly since 2014, causing caution among investors.
- The company's acquisition of Montney lands from Spartan Delta last May raised concerns about excess debt.
- My current analysis suggests that Crescent Point's shares are undervalued, with a potential value of CDN$18.
- Crescent Point shares may now be a solid long term hold.
Once a darling of the stock market, Crescent Point Energy ( CPG ) ( CPG:CA ) has seen its share price fall to single digits since it peaked over CDN$45 a share in 2014. Once bitten, twice shy - investors have been cautious about an investment in the company, which had grown by acquisition under then CEO Scott Saxberg, who was replaced by incumbent CEO Craig Bryksa in 2018. Investors applauded the move hoping a more conservative style of leadership might right the ship....
Crescent Point Seems Undervalued