After having communicated an impressive 2019 guidance, Yangarra Resources (OTCPK:YGRAF) released the Q4 results. Even with the depressed Canadian oil prices during that quarter, the company generated positive total netbacks.
And with conservative assumptions, I have yet to find another Canadian oil and gas producer that matches Yangarra's netbacks.
Despite the operating performance, the market values the company at a discount to similar producers. And the discount to my estimation of fair value exceeds 60%.
Image source: Yangarra Resources
Note: All the numbers in the article are in Canadian dollars