Sweet 16 Update - April 6

[dan_s]

For the week ending April 3 the Sweet 16 lost 19.16% and it is now down 19.22% YTD.
The S&P 500 Index lost 6.56% during the week and is now down 11.67%.

Ouch!

The First Call price targets for six of the Sweet 16 actually increased (AR, CTRA, EQT, MTDR, RRC, VRN). MTDR is the surprise since its revenues are primarily from the sale of oil. AR, CTRA, EQT and RRC are "Gassers" and VRN is merging with WhiteCap.

The updated Sweet 16 summary spreadsheet has been posted to the EPG website. Tabs 2 and 3 also show information about the stocks in our Small-Cap Growth Portfolio and our High Yield Income Portfolio.

In these "Uncertain Times" it is important to know the production mix of each company, which is shown on Tabs 2 and 3. It is also important to know the hedges that each company has in place. You can find their hedges on the bottom of each company's forecast model, which can be viewed and downloaded from our website.

I will not be adjusting my commodity price deck for at least two weeks. I think the oil & gas price declines on Thursday & Friday were FEAR based; the global oil market did not suddenly get oversupplied. If you live in Texas, you know that we burned up a lot of natural gas for space heating last night and we will be burning more for few more days.

I will be finishing up profile reviews on several small-caps this coming week.

All of the Sweet 16 are going to report solid Q1 results.