# Bonavista Energy



## Bobster (Sep 14, 2010)

Anybody got any idea what's going on with BNP? it's acting like it's about to cut the dividend/distribution.


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## Sherlock (Apr 18, 2010)

All the natural gas producers are getting battered right now, great buying opportunity. It will bounce back eventually but in the meantime I'm just sitting back and collecting that fat dividend.


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## al42 (Mar 5, 2011)

Should know a bit more tomorrow about the dividend.
Here is what I sent IR yesterday along with the response.



Questions,



Hello, Can you please explain the recent share price activity? Why are we dropping 5 - 7% daily?

Why is there a rush of insider selling lately? Is there a dividend cut coming as ERF.T announced yesterday?

If the dividend is sustainable, would it not be prudent to issue a news release stating that it is sustainable to calm the market?



Thank You



Response

Hi Allan - we've been targeted by the market as one of the members of our peer group that is more likely to trim its dividend. I believe this was prompted largely by the announcement by Enerplus earlier this week. There is a tremendous amount of fear in the market these days an investors seem to be looking more for reasons to sell a stock than buy. 



We have our regularly scheduled dividend announcement coming out tomorrow and we are drafting some language that I hope will calm the market.



Thanks for your support,

Cam


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## LOST (Aug 30, 2010)

I also got the same reply: Good Morning Larry,



Basically the market has essentially polarized our peer group into two camps, one that is more likely to cut dividends and one that is less likely. 

Unfortunately, we’ve been lumped into the former despite having a sustainability measure that is approximately at the peer group average. 



We are planning on maintaining our current dividend. But we are closely monitoring the commodity price environment, particularly on the oil side to determine if this downturn will persist.

If we were to see $80 oil and $2 gas persist over an extended time frame and if there were no correction on the cost side of our business we would have to trim both capital spending and our dividend. 

We’ve already seen indications of a 10 – 20% cost correction in service costs so we believe there is room for optimism but we’re not budgeting on these numbers quite yet.

I trust this provides the clarity you were looking for.

Regards





Regards



Sara Kast 

Bonavista Energy Corporation


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## Sherlock (Apr 18, 2010)

Thanks for sharing the info, please keep us updated.


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## Kaitlyn (May 13, 2011)

I've been picking up some more.. but I'm scared but after every time I buy, it drops some more!


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## Spidey (May 11, 2009)

There has been a little insider buying just recently (June 4th and 11th). I think the ERF cut has panicked investors. I picked up some today and may continue to add if price keeps dropping. Fundamentals look good except for the dividend being a bit stretched. I'm factoring in a potential dividend cut, but not necessarily expecting it. A favorite of Peter Brieger on BNN.


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## Young&Ambitious (Aug 11, 2010)

I'll have to add this one to my radar as that being said, it isn't something I would pick up today. I'll wait until I start seeing some resistance to possibly make a move.


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## al42 (Mar 5, 2011)

Very safe statement.
http://www.theglobeandmail.com/glob...20120615&archive=ccnm&slug=201206150798975001


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## blin10 (Jun 27, 2011)

bottom line is, it WILL take another huge hit if markets sink hard.. if markets rally it WILL go up... nothing to do with the company, all energy plays depend on the markets and nat gas prices


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## Kaitlyn (May 13, 2011)

BNP doing well recently! Even with all the concern of a dividend cut...

Still not sure when to get out...


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## zylon (Oct 27, 2010)

*Bonavista Energy Corporation (BNP)*



Kaitlyn said:


> Still not sure when to get out...


Two possible ways that I could suggest.

1/ Use a *mental* trailing stop such as the 20 day moving average.
Ignore intraday price moves, but if it closes below your stop, sell it the next morning.
http://stockcharts.com/h-sc/ui?s=BNP.TO&p=D&b=5&g=0&id=p79085581720

I prefer to sell into strength.

2/ If you have a reasonable profit, sell 1/3 or 1/2 of your position on an "up" day.
If price drops and you like the company, repurchase on dips.
If price continues higher, let it run until you can't stand it any more each:


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## al42 (Mar 5, 2011)

Kaitlyn said:


> BNP doing well recently! Even with all the concern of a dividend cut...
> 
> Still not sure when to get out...


I sold half my position yesterday hoping that I can buy it back closer to $15.00 in a few months.
If what all the so called experts say comes true and we see 2 dollar gas again and this will be back below 15.
If not I still have half my position.


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## blin10 (Jun 27, 2011)

i unloaded at 17.50 will rebuy below 15


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## Kaitlyn (May 13, 2011)

BNP has taken a nice run up this past few weeks! Will it continue?


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## Sherlock (Apr 18, 2010)

Yeah it's really climbing, but I don't know why, other stocks in this sector aren't going up, at least not nearly as much.


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## al42 (Mar 5, 2011)

Sherlock said:


> Yeah it's really climbing, but I don't know why, other stocks in this sector aren't going up, at least not nearly as much.



Really? ARX,PEY and TOU have all bounced nicely as well.


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## zylon (Oct 27, 2010)

*Bonavista Energy Corporation (BNP)*

Nice price recovery on Jan 10th after dividend cut announcement.












> Calgary – Bonavista Energy Corporation (“Bonavista”) announces that its Board of Directors has approved a reduction in the monthly dividend from $0.12 per share to $0.07 per share, beginning with the payment due February 15, 2013, to common shareholders of record on January 31, 2013, with an ex-dividend date of January 29, 2013.


http://www.bonavistaenergy.com/


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## thompsg4416 (Aug 18, 2010)

I"d also like to have an explanation of these numbers if anyone care's to enlighten me

BNP.TO	Industry	Sector
P/E (TTM): 48.11 11.42 12.7


48.11?? Why would anyone buy this thing? Obviously people are so I must be missing something fundamental.


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## doctrine (Sep 30, 2011)

They're a natural gas company primarily, and are being killed by low natural gas prices. People aren't buying into this, and now the stock is down to almost 30% of its high.


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## thompsg4416 (Aug 18, 2010)

I guess my point is that at least by my understanding it has a lot farther to fall...


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## ban (Nov 1, 2012)

12.90 is it time to jump in?


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## Tornbysaber (Nov 25, 2012)

I just sold mine yesterday at 13.00

and i bought it at 14.50


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## Sherlock (Apr 18, 2010)

Why not just hold on? Or do you expect it to plummet further?


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## liquidfinance (Jan 28, 2011)

I would be cautious with the recent dividend cut. They are predominantly a play on natural gas so you really need to see the price of gas improve for them to be a sure play.


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## Spidey (May 11, 2009)

I've had some success trading this one in the past. I'm watching closely for when the price or conditions are such that the insiders are buying. (It worked nicely last time.) Recently they've been selling.


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## james4beach (Nov 15, 2012)

BNP has lost all its value and the shares have been delisted.

According to this news release, remaining shareholders have been paid out $0.05


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