Despite management presenting the company as a low-cost operator, Petrus Resources (OTCQX:PTRUF) does not operate at a profit at current oil and gas prices. And the elevated level of debt increases the risks for shareholders.
But the company still targets some free cash flow for this year while growing the production. Management expects to achieve these goals by producing more oil.
With a low valuation, the market does not believe the company will reach these objectives. If management delivers 2018 results as announced, with favorable oil and gas prices, the share price