InvestorsHub Logo
Followers 8
Posts 640
Boards Moderated 0
Alias Born 01/27/2011

Re: stockwrestler2 post# 264

Thursday, 08/15/2013 8:29:09 PM

Thursday, August 15, 2013 8:29:09 PM

Post# of 299
Chinook Energy Inc. (CKE)

Bargain price identified for an oil/gas stock this summer in the Globe's business section.
With the price of oil high and possibly going higher this fall,
Chinook Energy would be one I'd like to be holding:

The Globe and Mail attempts to identify deep value stocks in Canada that also have reasonably strong balance sheets in its Friday, Aug. 9, edition. The Globe's Ian McGugan writes in the Number Cruncher column that these stocks are trading at what appear to be bargain prices and also have enough liquid assets to meet their immediate needs. Mr. McGugan says that might make them attractive to investors who do not mind the risk involved in bottom fishing. Mr. McGugan only considered stocks with a market capitalization greater than $100-million. His picks had to have a share-price-to-tangible-book-value ratio no greater than one. Tangible book value excludes goodwill and other intangible assets. His picks needed to have consensus earnings-per-share estimate revisions over the past 90 days that were positive or unchanged. This ensures that analysts are not predicting an immediate decline in profits. Mr. McGugan's stock picks should be approached with interests, but also with caution. He says companies that are trading below their tangible book values are often cheap for good reasons. Value stocks with strong balance sheets are Teranga Gold, Chinook Energy, New Millennium Iron, Guyana Goldfields and UEX.

Join the InvestorsHub Community

Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.