|
PureBytes Links
Trading Reference Links
|
Jack Hutchison wrote:
> ----------
> From: Dick Michalak <michalakr@xxxxxxxxx>
> To: RealTraders Discussion Group <realtraders@xxxxxxxxxxxxxx>
> Subject: STKS - Energy Reserve Heading North?
> Date: Tuesday, February 24, 1998 11:51 AM
>
> RealTraders Group:
>
> I've been following Energy Reserve, ERES, for a while, after a friend's
> broker suggested it.
>
> Recent 10-Q's at their site http://www.cx-en.com/energy.htm indicate
> company has $7M assets, $6M equity, $1M liability. Cash on hand is $1M and
> $3M more expected from a settlement soon. Accumulated deficit is $13M. For
> the most recent quarter, revenue is up to $2M from $1.8M last quarter, and
> earnings up to $0.299M from $0.212M which is $0.01 per share. New
> management and a new temperature strip product seem headed for success.
> Probable $200M in unrealized oil assets!
>
> My question - why is this stock priced so low ($0.65, 20M shares out)!??
>
> With little experience in evaluating penny stocks, I'd like anyone's honest
> comments on the RISK in investing in this company. Am I missing something?
> What could go wrong?
>
> -- Dick
>
> Dick,
>
> Did you ask what could go wrong? Answer: EVERTHING!
>
> Why would you want to invest a dime in this dog when there are so many fine
> companies out there?
>
> If you keep trying to make a killing you are surely going to lose your
> butt.
>
> Yankee Trader
If penny stocks interest you may I suggest a look at:
http://www.goodbytes.com/pennygold/index.html
A bit hyped, but I have found it to be a very sober approach to penny stock
investing.
I'm not in any way affiliated with them, just a happy user.
Richard Garvis, CFA
Montreal
|