RE:RE:RE:RE:RE:Come on Wcp. Let's have a surgeWell said ! I am still here too !
1970Craig wrote:
I think your smart ! Some people have made enough money over the last year , there selling because it's enough profit to meaningfully change there lives , and while they still believe in energy , they either don't want to risk what they made ,and are satisfied with there gains , and are sitting on cash , waiting for traditional blue chips to become incredibly attractive with what many are predicting will be a major pullback , due to inflationary interest rate hikes .
I am of this camp on some level
barneyj44 wrote:
I'm with you 1970Craig, my market timing isn't the best either but this sector has made me gun shy . I've sold all my Crew, Birchcliff and Arc and have kept my Wcp and Cpg. Probably a big mistake as there still undervalued and have room to run but have seen this movie before ...
Sure, that is a good camp. Ride the oil, sell out for the blue chips, enjoy the passive income. Great plan. That was my plan. But it got interrupted along the way. I pay very close attention to the macro situation in the world. There's so much noise in the system and so many headlines. The question it all boils down to is whether you believe that oil is in the 100s because of the combined events going on in the world or whether you believe that oil is in the 100s because of the basic supply demand equation and the challenges associated with addressing the supply side of the equation. I've made a ton of money and I'm not going to risk. If the equation starts to change I'm out on oil in general. But, it seems to me that we're going to have an extended run at these prices which, inflation considered, really aren't that high. But profitability wise, these prices are insane. You look at the math around the industry and pretty much every one of the mid caps can be paying a dividend that will lead stock prices to double in a year because the market will bid up the price to normalize the yield. And there's likely to be no end in sight to the dividends. Look at CJ. The dividend is safe at 55 wti. Oil stocks aren't exactly aristocrats but this is setting up to see the industry kicking out income at levels higher than the aristocrats and potentially for years.[/quote]