Southern Pacific Resource Corp STPJF

RE: RE: RBC on STP Update

[BayStreetRaider]

It doesn't matter whether you like analysts or not, the bottom line is the big institutional investors read them and they ultimately dictate the short-term price of the security. They are usuful not for the price targets or recommendations placed on them but for the in-depth analysis of the play. The brokerage analysts simply have better access to management and operations than most of us.

I have access to brokerage reports in my employment capacity and have read most of them since the STP release. I can tell you that most Canadian analysts made negative comments on STP after the release, with BMO lowering their target price. As you saw, STP shares was taking a hit during the day until approximately  the time when the Raymond James research piece came out - late in the afternoon. I was very impressed with their opnion as I think it was more thought out and they generally said that the good outweighs the bad with STP - the coming months should see a big bounce in production numbers if all goes well.

IMHO - blue skies ahead boys. Long and strong over here.