Movers and SHAKERS
InPlay Oil (IPOOF)(IPO:CA)
Operations Hitting On All Cylinders, Price Target Raised
As of April 24, 2020, Noble Capital Markets research on InPlay Oil is published under ticker symbols (IPOOF and IPO:CA). The price target is in USD and based on ticker symbol IPOOF. Research reports dated prior to April 24, 2020 may not follow these guidelines and could account for a variance in the price target. InPlay Oil is a junior oil and gas exploration and production company with operations in Alberta focused on light oil production. The company operates long-lived, low-decline properties with drilling development and enhanced oil recovery potential as well as undeveloped lands with exploration possibilities. The common shares of InPlay trade on the Toronto Stock Exchange under the symbol IPO and the OTCQZ Exchange under the symbol IPOOF.
Michael Heim, Senior Research Analyst, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
InPlay reported 2021-3Q results that surpassed almost every expectation. Production volumes of 6,011 BOE/day (up 61% yoy) beat our 5,932 BOE/day estimate. Realized oil prices of C$75.82/bbl and gas prices of C$3.89/mcf topped our C$73.14/bbl and C$3.18/mcf estimates. Higher prices resulted in strong cash flow results because several lower-priced oil and gas hedges rolled off after the second quarter. Adjusted fund flow of $15.6 million (up 680%) surpassed our $13.2 million est. Adjusted free fund flow (which subtracts off capital expenditures) was $5.1 million versus $1.6 million, in line with our estimate even as the company expanded its drilling program. EPS was $0.12 versus $(0.04) ahead of our $0.09 est. due to strong operating results.
Prairie Storm acquisition looks like a winner. On September 28th, InPlay announced the acquisition of Prairie Storm for C$40.5 million to be paid with 8.3 million common shares and cash. The acquisition expands InPlay's Cardium play and is immediately accretive to earnings and cash flow at current energy prices. The acquisition brings InPlay an immediate production and cash flow boost as well as a ...
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.