Monday, May 9, 2022

US Shale Swings To Record Cash Flows -- Fitzsimmons On EOG -- May 9, 2022

Re-posting:

US shale swings from losses to record cash flows: previously posted, link to Tsvetana Paraskova.  

Fitzsimmons on EOG, link here:

  • 1Q22
  • "gushing FCF"
  • a new "60% return" commitment
  • EOG announced its Q1 EPS report Friday and delivered a whopping $2.4 billion in free cash flow.
  • The company also announced a $1.80/share special dividend and a commitment to return 60% of FCF to shareholders on an annual basis.
  • Meantime, the stellar balance sheet has a net-debt to capital ratio of only 4.8%.
  • EOG's forward P/E is only 8.4x. Add it all up and you arguably have a best-of-breed shale operator still trading at a very reasonable price.

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.