- Penn Virginia may be able to generate around $70 million in positive cash flow in 2021 at current strip prices.
- It is also financially healthy, with the ability to reduce its net debt to $275 million by the end of 2021 (1.2x EBITDAX at $50 WTI oil).
- Share count has increased from 15.2 million to 37.3 million as a result of the Juniper transaction.
- Penn Virginia's stock appears fairly priced for a $50s oil environment, although it will need to start rebuilding production to have much upside.
For further details see:
Penn Virginia: Reduced Risk And Upside After Juniper Transaction