How much STO worth really depends on the poo. It had a realised poo of US$71 and a FCF of US$250m despite the outage for its biggest cash cow, PNG LNG. If the poo can remain at current level or higher, sto will have over US$1b FCF annually, or A$0.7 per share, which should be sufficient to give a SP of $8 - $10, IMHO.
The question is, where is poo in the next five months or five years? There are people talking about $100 oil, and there are also people talking about oil collapse in the second half of 2018. I believe that the average poo will be above $71 for the rest of 2018 and for years to come.
IEA and EIA both have talked down poo by over-forecast shale production and under-forecast demand. The recent IEA report and Trump's tweet last night may indicate that both are feeling a crisis for oil shortage, not oil glut.
Anyone see a similar pattern AWE v STO ;), page-8
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Last
$6.82 |
Change
0.095(1.41%) |
Mkt cap ! $23.02B | |||
| Open | High | Low | Value | Volume |
| $6.72 | $6.84 | $6.71 | $27.79M | 4.095M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 5 | 26503 | $7.15 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $6.62 | 67395 | 8 |
View Market Depth
| Last trade - 15.59pm 18/11/2024 (20 minute delay) ? |
| STO (ASX) Chart |
