Sable Offshore Corp. (SOC)
NYSE NYSE Primary 
Sable Offshore Offers An Interesting, But Risky, Opportunity (Rating Upgrade)
Sable Offshore Corp. shares have plunged 78.5% YTD due to severe legal and regulatory setbacks, but the current valuation appears deeply discounted. SOC faces major hurdles from California regulators, delayed pipeline restart, and denied onshore permits, threatening its preferred production ramp-up plan. Alternative monetization via offshore vessel (Option 1) is costly and slower, but both strategic paths offer potential upside at current depressed prices.
Sable Offshore: Risky, But Deeply Discounted
Sable Offshore Corp. offers significant upside if it restarts oil sales, but headline and regulatory risks drive volatility and uncertainty. SOC stock's valuation is deeply discounted, trading at a 90% discount to conservative net asset value, contingent on pipeline permit approval. Institutional investors like BlackRock and Himalaya Capital have taken positions, signaling growing mainstream interest despite ongoing legal and political risks.
Sable Offshore's Big Bet: Can It Justify A 28% Rise?
Sable Offshore (NYSE: SOC) has regained attention. The independent oil and gas operator from California, which manages offshore platforms and pipelines associated with its Santa Ynez Unit, witnessed its stock jump 28.4% on July 17, significantly surpassing the overall market performance.
Sable Offshore: Underappreciated And Undervalued
Sable Offshore offers significant upside as production restarts, with a large valuation discount to both NAV and peers, despite contingent resources status. High insider and smart money ownership aligns management with shareholders, boosting confidence in long-term value realization. Risks remain around resource classification, regulatory environment, and execution, but upcoming reserve upgrades could unlock substantial value.
Sable Offshore Has One Last Regulatory Hurdle Before Operating (Rating Upgrade)
Sable Offshore Corp. is nearing regulatory approval for its Pacific offshore production project, prompting an upgrade to a Buy rating with a $45.28/share price target. The firm has faced regulatory hurdles from the California Coastal Commission but is expected to overcome them with a supportive federal administration. The SYU reservoir holds substantial resources, and once operational, SOC is projected to achieve long-term EBITDA margins of 40-44%, driving strong cash flow.
Sable Offshore Offers Convexity For 2025
Sable Offshore Corp. (SOC) is a high-risk investment with potential upside if the Santa Ynez pipeline reopens, expected in Q1 2025. Waivers from the California Office of the State Fire Marshal are a significant milestone, with hydrotesting scheduled for January 2025. If reopened, Santa Ynez could produce over 50,000 barrels per day, but high capex and operational risks remain.
Crude Oil Moves Higher; Sable Offshore Shares Slide
U.S. stocks traded mostly lower toward the end of trading, with the Nasdaq Composite falling around 0.5% on Friday.
SABLE OFFSHORE (SOC) Is a Great Choice for 'Trend' Investors, Here's Why
SABLE OFFSHORE (SOC) could be a solid choice for shorter-term investors looking to capitalize on the recent price trend in fundamentally sound stocks. It is one of the many stocks that passed through our shorter-term trading strategy-based screen.
SABLE OFFSHORE (SOC) is on the Move, Here's Why the Trend Could be Sustainable
SABLE OFFSHORE (SOC) made it through our "Recent Price Strength" screen and could be a great choice for investors looking to make a profit from stocks that are currently on the move.
