If the bulls are right and the global economy roars into 2011, oil will scream past $100, setting up a super cycle for oil and gas stocks. In my estimation, oil is a must own here, especially going into the summer months.
There is no denying the massive upswing in drilling, domestically and offshore. With the fundamentals so robust, the market is wrong for valuing the majors and independent producers so cheaply, most trading between 8-15x 2011 eps.
You want ideas? Well, we all want some fucking ideas. Instead of living your life like a leech, why don’t you do a little research and contribute to society, instead of bottom feeding?
On a persona level, I like Weatherford International Ltd. [[WFT]] , Southwestern Energy Company [[SWN]] , Flotek Industries, Inc. [[FTK]] , Ultra Petroleum Corp. [[UPL]] , GMX Resources Inc. [[GMXR]] , and a few others to be named later.
As for Green Mountain Coffee Roasters Inc. [[GMCR]]
I do not like the fact that they have quality control issues. Last quarter, approximately 50-75k Keurigs were returned and that cost the company .09 per share. Going forward, the company will be spending a lot of money on better manufacturing, all to do with the substandard quality being produced in China. Although I like the story, longer term, the stock is to be avoided like the plague at 40x earnings. Should it dip into the $60’s, I will start to accumulate.
Top picks: Goldman Sachs Group, Inc. [[GS]] , Johnson Controls, Inc. [[JCI]] , Jarden Corporation [[JAH]] , Flotek Industries, Inc. [[FTK]]
NOTE: Steve Jobs just murdered Adobe Systems Incorporated [[ADBE]] in an open letter on apple.com. ADBE is a sell, as long as Apple hates them.
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For the record, I completely disagree with DENNINGER, regarding CDO’s. AGAIN, Goldman sells to large banks and institutions, not Mom and Pops. Furthermore, if someone wants BBB exposure, it should not matter if a short seller concocted the CDO or not. It is what it is.
If I want low grade exposure, I know exactly what to buy, as did all of Goldman’s customers.
I would side with DENNINGER, only regarding direct sales of CDO’s, CLO’s and CMO’s to Joe Public aka people not in the know or without sophistication
This is a HUGE difference.