PE
PE
You still have Parsley as a fave, but you also project a modest upside of a little over 10%. Why the hoopla over a stock with such a small upside. I recognize that as oil goes up so will your projection, but the same could be said for any stock. I can't speak for anyone else, but if I were considering an investment in an energy stock right now, I would like to put my money in one with at least a projected 25% upside.
Re: PE
Parsley is trading at a much lower multiple than FANG. It has HUGE upside, especially if oil prices go where I think they will.
I am just not quite ready to value it at the higher multiple since the company is so young.
You are correct that all of the fine companies in the Sweet 16 will go a lot higher if oil & gas prices rebound.
Of course, what you invest in is 100% your responsibility AND the market does not always agree with my valuations. I have been doing this since 2001 and it seems that EVENTUALLY the fundamentals do win out.
I am just not quite ready to value it at the higher multiple since the company is so young.
You are correct that all of the fine companies in the Sweet 16 will go a lot higher if oil & gas prices rebound.
Of course, what you invest in is 100% your responsibility AND the market does not always agree with my valuations. I have been doing this since 2001 and it seems that EVENTUALLY the fundamentals do win out.
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group