Connacher Oil & Gas Ltd CLLZF

RE: Where does the pullback stop?

[d_rr_whalen]

sector multiples are 20+/-, CLL was 30+, so you tell me (earnings= 0.16 X 20 = 3.2) (0.16x 30=4.8) CLL went as high as 5.5 before pulling back (5.5 / 0.16=34.38 multiple)  Look at other Oil companies with in the sector, either they are under valued or CLL is over valued, hint: look at the sector as a whole and take an average P/E ratio of all major players (oil sands) and compare, also keep in mind future earnings of CLL (what do analyists figure future earnings will be)  and where the sector as a whole is heading - what is the out look for oil over the short/long term. This should give you a good idea of what prices to look for if you plan on taking a little of your position off the table.