Hear me out. Warren is the largest single debtor and now the market cap of the company is around $9.6B. Is it un reasonable for him to invest a bit more to then take it over completely? Ichan will get his and the new ownership will inject life into the company. It is exactly like him to find way to profit further from VHs f up.
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Oxy are toast
Its heading to zero
Get out while you can
Op here.
I said 60% as I recently reviewed the video by Mr Oxy / BesterInvestor on YouTube that does walk through the probability better than my layman experience.
I think 60% is generous at best
"This only happens if Oxy finds its self leaning towards Ch. 11. Right now its a 60% they won't. "
Remember that time Oxy's stock was $100? $60? $45? Hahahahahhahahahaha
When does the costless collar expire?
Stock price is dependent on oil price. If oil price stays around $40, Oxy bleeds out slowly as production will decline under restricted capital spending. IR peddled a load of BS about expected break even oil prices last year - look back at the IR slides - it’s shameful!
Oxy needs oil above $60 to generate enough cash to meaningfully reduce debt over time.
If oil goes below $30 for a couple years, Oxy is a $2 stock.
So it’s a bet on oil price (and there are better ways to place that bet). Good luck everybody.
Buy Oxy stock!!! Testing old bottom, how low it can go? If we get bought, it jumps 10% or more. It is underpriced by all means. It can only go up in the mid term. Buy buy buy
I don't care who buys is as long as they take care of the stockholders. Oxy really screwed up with the Anadarko purchase. I am an employee and they can lay me off if a new owner will get the value up so I can sale.
This only happens if Oxy finds its self leaning towards Ch. 11. Right now its a 60% they won't. However, considering Ichan will just sell it in pieces.. its maybe in Oxy's best interest to pursue such a takeover. A few smaller public companies on the services side have been taken private by their largest debtors but I am not sure how that will work with so many Oxy shares outstanding to institutions. I am sure they would want that type of backing bit it would take some more capital for Warren to get the company.
They can't own more than a few $B in shares? So perhaps its the right move...