Professional
Added to YB: 2022-07-28
Pitch date: 2022-07-28
ROYTL [bullish]
Pacific Coast Oil Trust
-50%
current return
Author Info
Cedar Creek Partners provides deep-dive research on undervalued companies. Follow on Twitter/X.
Company Info
Pacific Coast Oil Trust acquires and holds net profits and royalty interests in various oil and natural gas properties located in California.
Market Cap
$10.2M
Pitch Price
$0.32
Price Target
N/A
Dividend
N/A
EV/EBITDA
N/A
P/E
0.81
EV/Sales
N/A
Sector
Oil, Gas and Consumable Fuels
Category
special_situation
Cedar Creek Partners new position - Pacific Coast Oil Trust (ROYTL)
ROYTL: Pacific Coast Oil Trust trades at $0.32 after messy events. NewBridge acquired PCEC in 2019, auditor PwC resigned citing concerning info. NewBridge tried to deduct full $45M+ asset retirement costs upfront, triggering trust sale. Trustee pushed back. COVID hit, prices fell, CEO ousted, whistleblower emerged. Estimates $1-$2+/unit value on $100 oil generating $18M+/yr FCF. Risks: courts, ARO treatment, dissolution. Potential settlement or buyout.
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