Crescent Point: Acquisition And Impact On Future Returns

Jan. 02, 2023 5:23 PM ETVeren Inc. (VRN) Stock, VRN:CA StockVRN, VRN:CA20 Comments

Summary

  • Crescent Point Energy surprised the markets with an acquisition.
  • The purchase was a bit of a drift from its capital return and deleveraging strategy.
  • We look at the purchase and the impact on future returns.
  • Conservative Income Portfolio members get exclusive access to our real-world portfolio. See all our investments here »

Crescent moon rising over the cat on a tree with Halloween pumpkin

kyoshino/iStock via Getty Images

Note: Amounts are in USD or CAD as noted

When we last covered Crescent Point Energy Corp. (CPG), we gave it a rare "strong buy" rating. The appeal was the rapid deleveraging and a management that had learned

Are you looking for Real Yields which reduce portfolio volatility?

Conservative Income Portfolio targets the best value stocks with the highest margins of safety. The volatility of these investments is further lowered using the best priced options. Our Covered Call Portfolio is designed to reduce volatility while generating 7-9% yields. We focus on being the house and take the opposite side of the gambler.

Learn more about our method & why it might be right for your portfolio.

This article was written by

45.62K Followers

Trapping Value is a team of analysts with over 40 years of combined experience generating options income while also focusing on capital preservation. They run the investing group Conservative Income Portfolio in partnership with Preferred Stock Trader. The investing group features two income-generating portfolios and a bond ladder.

Trapping Value provides Covered Calls, and Preferred Stock Trader covers Fixed Income. The Covered Calls Portfolio is designed to provide lower volatility income investing with a focus on capital preservation. The fixed income portfolio focuses on buying securities with high income potential and heavy undervaluation relative to comparatives. Learn more.

Analyst’s Disclosure:I/we have a beneficial long position in the shares of CPG:CA either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

More on VRN