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Gulfport Energy Corporation (G2U0.F)

Frankfurt - Frankfurt Delayed price. Currency in EUR
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85.50+1.00 (+1.18%)
As of 08:01AM CEST. Market open.
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  • G
    Guillermo
    Just cashed my GPOR and BSM with great gains to buy extremely cheap ET------with a PT of $20 by year end., by yesterday analyst.......better and safer bet ,and more secure., IMHO.What a great run on both.Buen dia to all.
  • R
    Randall
    Isun $3.35 solar company
    PE 4.4 1yr target $20
    2022 earnings 48 cents
    2023 75 cents/10 million
    market cap 50 million
    for a growth company
  • Y
    Yahoo Finance Insights
    Gulfport Energy reached an all time high at 100.06
  • G
    GG
    Gulfport Energy Discusses Merger With Rival Ascent Resources
    Combined company would be valued at about $8 billion
    Ascent Resources backed by private equity firm First Reserve
    ByKiel Porter, Rachel Butt, and David Wethe+Follow
    25 March 2022, 17:44 GMT-4
    Gulfport Energy Corp. has discussed merging with rival oil and gas explorer Ascent Resources, according to people familiar with the matter, as U.S. energy companies consider pairing up amid rebounding commodity prices.

    Gulfport and Ascent have discussed a transaction that would value the combined company at about $8 billion, said one of the people, who asked to not be identified because the matter isn’t public. Ascent management would run the company under one structure they’ve discussed, this person said.

    No deal is imminent and the companies could opt to not proceed with a merger, the people added.

    Gulfport rose 4% to close at $87.08 in New York trading Friday, giving the Oklahoma City-based company a market value of about $1.9 billion. Closely held Ascent Resources is backed by private equity firm First Reserve.

    Representatives for Gulfport and First Reserve declined to comment, while a representative for Ascent didn’t immediately respond to requests seeking comment.

    Oil and gas explorers are increasingly looking to pair up as oil prices surge. PDC Energy Inc. agreed to buy Great Western Petroleum for $1.3 billion in February while Oasis Petroleum Inc. agreed to a $6 billion combination with Whiting Petroleum Corp. this month.

    Gulfport and Ascent are both active in the natural-gas rich Utica Shale of Ohio. Gulfport emerged from bankruptcy last year.
  • Y
    Yahoo Finance Insights
    Gulfport Energy reached an all time high at 101.75
  • Y
    Yahoo Finance Insights
    Gulfport Energy reached an all time high at 96.00
  • Y
    Yahoo Finance Insights
    Gulfport Energy reached an all time high at 95.74
  • Y
    Yahoo Finance Insights
    Gulfport Energy reached a 52 Week high at 98.21
  • Y
    Yahoo Finance Insights
    Gulfport Energy reached an all time high at 95.61
  • Y
    Yahoo Finance Insights
    Gulfport Energy reached an all time high at 97.38
  • G
    Guillermo
    Oil coming down., just great for the markets and for all the economy.------We are 75% NAT GAS.........15%NGLs and 10% OIL........and still NAT GAS at sky high of $4.55 per Mcf toda-----to the blue moon with our GPOR.For us at a Cash Cost less than $1 per Mcf---We are printing money.----$100 MILLIONS buyback for this 2022,better hurry up.
  • Y
    Yahoo Finance Insights
    Gulfport Energy reached an all time high at 92.84
  • D
    Disa Sadi
    Droping by to post how this company is corrupt. And has misled and scammed investors before. Stay away and invest in other gas plays whose management team arent crooks.
  • Y
    Yahoo Finance Insights
    Gulfport Energy reached an all time high at 94.44
  • K
    Kapil
    we are gng to the moon aka 10% more juice left
  • Y
    Yahoo Finance Insights
    Gulfport Energy reached an all time high at 90.75
  • Y
    Yahoo Finance Insights
    Gulfport Energy is down 5.16% to 90.52
  • S
    Shaun
    From a technical perspective this stock is a disaster. It breached the lows of 2009 ($1.58) and 2004 ($1.55). You need to go all the way back to 1999 when the low was $0.88.

    From a fundamental perspective, company is cash flow neutral as long as Nat Gas is over $2.60/mbtu. As of this writing Nat gas is at $1.81/mbtu so its quite a far ways off. In the 3Q earnings call, management stated hedges in "2020 totaling 548 million cubic feet per day at an average swap price of $2.88 per MMBtu" and guided 1.4B cubic feet per day for 2020 production. Which means that its hedged 39% of 2020 production, and the remaining 61% production is subject to the prevailing current prices of Nat Gas. Looking from a historical perspective, Nat Gas has not been this low in 20 years, it hit a low of $2.11/mmbtu in April 2012, and low of $1.78 in Feb, 2016. What's interesting to note is that those prices did recover within 12 months, the high in November 2012 was $3.90/mmbtu and $3.26 December, 2016. So while the drop in prices of Nat Gas recently is quite severe, its been around this level before in the last 8 years and has recovered fairly quickly each time.

    From a Value perspective, the price to book ratio of 0.05 is incredibly low. That means the book value of this company should be $24.40. Also bear in mind that the entire market cap of this company is only $206M and they just had non-core divestitures of 100M just last quarter alone. If you look at the balance sheet it shows $5.7B in plant/property/equipment assets, and even if you took out $2.7B liabilities, they would still have a net equity of $3B available for disposition. But all of this doesn't mean anything if the company goes bankrupt for stockholders, because Seadrill had a book value around the same level too and it was a value trap.

    So the million dollar question is: Is Gulfport going to go bankrupt? If Nat Gas prices stay this low forever (which I think is highly unlikely), then I would say yes. But since the company's cost of production is quite low $0.93/mmbtu it should be able to cover short term current year shortfalls with its $1billion dollar revolving credit facility. And if Nat Gas prices recovers to over $2.60 within 12 months (which I think is very likely), then this company will be cash flow neutral and not be in danger of bankruptcy.

    Disclaimer: This post is for informational purposes only and should not be construed as investment advice. I do not hold any positions in GPOR.
  • P
    Pomp and Circumstances
    Sharing this post from Seeking Alpha comments, because I feel it captures my sentiments 100 percent....

    This seems to be a scam orchestrated by management with the help from the banks.
    Why would the banks cut the facility while the average NG price for 2021 is above $3? They could easily hedge the entire 2021 production above $3 which would translate in no need for the facility and free cash flow.
    Last year they approved the $1b limit while the NG price curve for 2020 was well below the 2021. They have no bond maturity before 2023 and next year in December most probably NG price will touch $4 and would have had the opportunity to refinance a significant part of the bonds.
    Early this year the bonds were trading around 20-25% while now all their bonds are above 60%. Never seen a similar case, where bonds continue to trade above 60 cents on a dollar after the company missed the coupon payment, even if they are now in a 30 days grace period.
    Unfortunately it seems nobody wants to investigate and stop this kind of scams/frauds.
    It's beyond my understanding why a shareholder with 13% like Firefly Value Partners has allowed management to do this. It seems the fiduciary duty of directors has no substance anymore...most probably we will see 10% from new equity reserved for management incentive plan.
  • S
    S. Gary
    Apparently, the recent sharp decline in share price and the "Going Concern" language in the most recent 10Q created tons of worries about the fate of the company among its inventors, me included. Reading message board, there were many different opinions, most of them worthy of reading other than a few that were bent to create panic. After spending a few hours looking into the BK concern, here is my understanding of the current situation of the company based on data reported by the company.

    The key to the issue is the re-determination of revolver borrowing base this Nov since the earliest note maturing time is still about 3 years away. The initial base was $1.5B with generous covenants. But because Covid-19 the most recent amendments has shrunk it to $750M and tightened the covenants significantly. Apparently, the current balance of revolver is only $123M, still way below the new base. Among other things two covenants are of most importance, namely, 1) to maintain a ratio of Net Secured Debt (NSD) to EBITDAX (as defined under the revolving credit agreement) not exceeding 2.00 to 1.00, and 2) to maintain a ratio of Net Funded Debt (NFD) to EBITDAX of 4.00 to 1.00.

    Before Covid-10, covenants like these would be non-issue. With the impact of the pandemic, they begin to matter. Let’s see what’s changed from 2019 to this quarter of the limits by the covenants. At the end of 2019, the revolver balance was $120M. For Covenant 1), we have 2019 EBITDA of $725.7M. With $30.1M Exploration cost, EBITDAX is then $695.6M. Therefrom, the max amount of NSD was 2 X $695.6M = $1.391B, apparently no issue, which is similar to the initial borrowing base. For 1st half of 2020, EBITDA was $224.7M, thanks to unusually low 2nd Q EBIDTA of just $69.7M. The exploration cost for the 1st half was $16.5M. The EBITDAX was then $208.2M. Thus, the pro forma full year EBITDAX would be 2 X $218.2M = $416.4M, assuming the full year EBITDAX doubling that of the 1st half to be conservative. Consequently, the pro forma full year NSD is 2 X $416.4M = $832.8M, though much lower than that of 2019, no problem there still.

    What about Covenant 2)? Here it goes. For 2019, the total NFD was $1.978B and EBITDAX was $695.6M, as calculated above. The max NFD limit was 4 times of it, which was $2.782B. No issue of course. For 1st half of this year, the pro forma full year max NFD limit would be 4 X $416.4M (EBITDAX) = $1.665B, which is less than current NFD of $1.91B, reported at June 30. PROBLEM !

    How big is the problem? If we assume the EBITDAX for the 2nd half of this year is the same as the 1st, the company will be in violation of the Covenant 2), thus, became default. Will this happen? yes it could, if the spot and strip prices of gas remain sub $2.00. Keep in mind that for the 1st quarter of this year the EBITDA was reasonable at $154.8M. As we mentioned above, the 2nd quarter EBITDA was only $69.7M. It was not because of low spot gas price, but the company deliberately reduced production, likely only selling hedged commitment and not to sell asset cheap at spot price. As gas price rebounds they are likely to increase production to make it up and, hopefully, increasing EBITDA for the 2nd half.

    What if the gas price drops again, giving no chance for GPOR to play EBITDA catchup game for the 2nd half? If you pay close attention to a sentence in the most recent 10Q, which says “deferred the requirement to maintain a ratio of Net Funded Debt to EBITDAX of 4.00 to 1.00 until September 30, 2021” we then can breathe a sigh of relief that this covenant would not apply at the end of 2020 because of Covid-19.

    Based the above analysis, the current worry of BK is apparently overblown. Having said that I am still concerned about overall debt level, although not much about imminent BK. If the company could not reduce the debt level at least by half before middle of 2022 it could repeat what CHK went through early this year. But I am still cautiously optimistic given that we still have plenty of time to make things better and pray for the price of gas to recover going forward, which is highly likely for the significantly reduced oil and gas industry future investment, which will curb production in the near future.

    Cheers.