Sound Advice: Stick with the Mid-Caps

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dan_s
Posts: 34648
Joined: Fri Apr 23, 2010 8:22 am

Sound Advice: Stick with the Mid-Caps

Post by dan_s »

"Big Oil" stocks -- like Exxon Mobil (XOM) and Royal Dutch Shell (RDS.A) -- are getting clobbered by the little guys. That is, small oil and gas explorers with exposure to high-margin shale operations from Texas to North Dakota. The investment takeaway? If you need me to spell it out, we're in trouble. But just in case: Go "long" shale gas investments with high-margin operations, such as EOG Resources (EOG), Pioneer Natural Resources (PXD), and Continental Resources (CLR).

Source: Introducing The New 'Scariest Jobs Chart Ever'
http://seekingalpha.com/article/1623222 ... urce=yahoo

What's amazed me the last two year is that the majors, with lots of cash, are not taking over the mid-caps. Most of the companies in our Sweet 16 Growth Portfolio look like Screaming Takeover Targets to me. - Dan
Dan Steffens
Energy Prospectus Group
bellwj
Posts: 59
Joined: Sat May 21, 2011 1:36 pm

Re: Sound Advice: Stick with the Mid-Caps

Post by bellwj »

Agree with the thesis, but clearly 'big oil' has a different agenda
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