Savvy Trades and Investments

[SSKILLZ1]

REI

Picked up some REI today on the selloff for a starter position. Here is what I like.

1) Debt is manageable.

2) Looks like they could earn .70 with oil around here fully taxed, and that is a big difference between them and some others there earnings are taxed and it is this cheap.

3) Looks like costs are coming down and differential is coming in. Both of these are huge positives in my opinion.

Conclusion: I think the reaction to REI is absurd and I get the sector doesn't deserve a high pe But even a PE of 3 gets us a 40% move from here, so to me this is my favorite energy stock at the moment and I think it is a bargain in my opinion. All is just my opinion, and I could always be wrong though.