Sweet 16 Update

[dan_s]

I just updated the Sweet 16 spreadsheet on the website. Just log on and click on the Sweet 16 Tab.

Tab 1 is a summary of my EPS and CFPS forecasts, Tab 2 shows my Fair Value Estimate compared to First Call's Price Target for each company as of 9-28-2013. Individual forecast models for each company can be found by clicking on their logos.

It was a very good week for the Sweet 16. They were all up except for RRC.

On today's live chat I said that I think Denbury Resources (DNR) and Energy XXI (EXXI) have the most upside. Both companies are trading at more than 60% below my Fair Value Estimate. DNR had very high trading volume this week after a highly respected analyst upgraded it with a price target of $28/share. GTE, OAS, SM, UNT and WLL appear to have more than 30% upside. SM really looks good to me.

CXO, XEC, GPOR and KOG are within 10% of my Fair Value Estimates, but I am expecting strong Q3 results from all of them.

Year-to-date, Bonanza Creek Energy (BCEI) is leading the pack. It is up 76% YTD.

Carrizo Oil & Gas (CRZO) deserves to be in the Sweet 16, but I cannot justify taking any of the current members out. I raised my Fair Value Estimate for CRZO to $48/share.