Alvopetro Energy Ltd V.ALV

From Trickle Research

[Ladrian]

To reiterate the conclusion of that update, its perplexing to us that Alvopetro has not trade closer to our targets give that a) the rest of the microcap market has risen considerably over the past few months, b) the Company reported its first full (and sustainable) profitable quarter in 3Q the level of which clearly suggests higher valuations and c) higher energy prices mean higher (contracted) pricing for Alvopetro’s gas, the additional margin of which

 drops almost entirely to the bottom line. To summarize, in our view, the stock (at that time) was clearly undervalued at roughly $.62, and on a relative basis (compared to many other microcap names) was perhaps profoundly undervalued.