Like the offshore drillers five years ago, the integrated steel companies are very good values, and I think and believe are gong to provide shareholders a very good return on investment.
Look at X (US Steel), NS (National Steel), WS (Wierton Steel - it is at 3 3/16 today), BS (Bethlehem Steel), AKS (AK Steel), OS (Oregon Steel), IAD (Inland Steel), STLD (Steel Dynamics), BIR (Birmingham Steel). I think anyone or all of these can give you a nice return, and are a lot less speculative than NE (ex-NDCO).
Again, NE is OK, it is just that it is a mightly risky cyclical, that has seen a 10 fold increase in value in the past 4 years. Cyclicals are just that, so does a NE (NDCO) bull think that it is going to happen again and that it is undervalued?
I think that the primary play with NE (NDCO) are the value of the rigs, not the "earnings". Hey, when operators pull the plug on exploration, watch out shareholders. You are going to be big losers. And Jim Day can't really do anything about it.
I think a better investment lomg term, in the oil service industry are in the integrated service and supply companies like SLB, SII, BHI, and WAI. This is value add.
NE is mostly just offshore iron, with some roughneck drilling crews. They don't explore for oil, they put holes in the ground for the oil and gas operators. In NE's case, to cut a hole in the ground, they mobilize offshore rigs, and try to keep their rig crews motivated, and safe. That's about it.
So when exploration demand drops in the Gulf of Mexico, shareholders of NE, beware!!!!!! And the history of the Gulf of Mexico is one of mean cycles.
The pattern for the past few weeks indicates a sharp sell off on Mondays. Somebody keeps loosing sleep over their holdings in this stock, then on Monday pulls the trigger. Usually by Thurday's close of business it peaks.
Thanks, I will. You may want to check out Plasma Therm. I bought around 4 and sold at 11 last year. It's back aound 8 forcasting a 35% growth for this year. It should hit 14 by the end of the year.
Noble sure had a good run today. Buy this stock on Mondays and sell on thursdays.
If you are looking for good buys ckeck out CAGI(penny stock with great story-check out company), UGLY, LGTY. Lgty just took a bath from 13 to 8. I own some at 13 and alot at 8 1/2. This will be a 25 dollar stock with in 12 months. Check out UGLY. Fidelity owns over 1,000,000 shares as does Merrill Lynch. This is a good turnaround story. Own stock at 8 1/2. It is not around 10.
I was intrigued to see your name here and to see you bought Noble today. I've been watching it for quite awhile and wanted
to buy it back when it was down around 21+, but the cash wasn't available and I ended up catching EMC at 27-. I put a sell
order in for EMC at 38, I know you've been toying with selling EMC also. Did you use your EMC money for this or are you planning
to hang onto EMC? What other stocks do you own or are considering? I have a fairly long list of want-to-haves, but I'm a small
time investor, just dabbling with some of my planned retirement money. Do you think using my EMC procedes to purchase Noble would