My Best Stock Idea
The largest position in my portfolio posted strong results this past week while I was on vacation. I went through the results while sipping Sangria in the heat and updated my model. The stock moved upwards like I expected as the results came in quiet strong. The company still trades at a large discount to fair value (probably because of their OTC listing, lack of earning calls, no investor presentation and mostly unheard of company). I continue to remain excited about the future earnings this company will generate as investors begin to realize the operating leverage a small oil and gas outfit can spit off in an inflationary environment. In addition, I think the company may try to put itself up for sale again, giving investors in the stock a short term catalyst on price realization.
Let’s dig in….
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