As an active investor one of my core requirements is that I understand the stock, and can make a reasonably informed assessment of likely outcomes. I have decided that with SAE I am not in that position.
This market has presented a number of other grossly undervalued opportunities. I have chosen to move on to businesses I understand better, where I feel less risk of being dissapointed.
I don't follow FP - although they seem to cover many of the oilers I follow, they also often seem to trip up on one of the key points of a story.
If they have serious exploration success, or get Paris flowing I might take another look - atm I like the chances of IPM making serious money in California (as well as Turkey) much better. SAE is one of the EBITDAX champions - I like NPAT, free cash flow and divi's. In oil it is the TDAX that kills.
Imho SAE is best left to the more sophisticated oil investor.
EL
SAE Price at posting:
0.0¢ Sentiment: Sell Disclosure: Held
