Saturn Oil & Gas Inc T.SOIL

Good Potential

[retiredcf]

Punched out of this stock a couple of months ago but going to give it a second chance given how cheap it is (FV is $3.37) and that the sector is beginning to turn around. GLTA

Have there been any insider transactions for Saturn Oil & Gas? How do you like their upside potential assuming $75.00 oil?

There were some very minor insider purchases in June, but not much else. But over the past six months there has been some decent net buying. The stock is one of the cheapest in the sector, with a good balance sheet, good growth and solid cash flow. If the sector moves, it should too. We would consider upside potential good here. (5iResearch)

[Rainyday]

Right now the debt/equity ratio is high but they plan steady dedication of 60% of their cashflow to debt repayment. In a year the debt/equity ratio will be much better and if the enterprise value is still at today's level all the debt reduction will be reflected in the equity value. Your FV of $3.37 should be very achievable over the next few months.