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S.A. Advisory E-Mail
Update
May 10, 2000
NEW BUY RECOMMENDATION FROM WWW.SAADVISORY.COM-MAY 10,00
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We have not been paid by any of the listed investments within this message. We have purchased
shares in the listed investments and may trade at our own discretion.
NEW RECOMMENDATION:
THIS IS A GREAT NATURAL GAS PLAY! PETD $4.58
nasdaq-PETD
16 million shares outstanding
book value--around $5.00
cash--around $2.00
debt--very small
phone --304-842-3597 petd@petd.com e-mail
stock range--97-----$2.875---$11.44
98----$2.94---$6.625
REV AND EARNING:
99 98 97
REV $96.80 MILL $40.40 $34.40
EARNINGS/SH .48 .41 .67
PETD--REGIONAL INDEPENDENT ENERGY COMPANY ENGAGED PRIMARILY IN THE DEVLOPMENT,
PRODUCTION AND MARKETING OF NATURAL GAS
FIRST QUARTER MARCH 00 MARCH 99
REV $34 MILL $27.6 MILL
EARNINGS/SH .20 .16
PRODUCTION AREAS: APPALACHIAN BASIN, ROCKY MOUNTAINS, MICHIGAN, MONTANA
ON APRIL 27,00 COMPANY ACQUIRED WORKING INTEREST IN 168 PRODUCING WELLS
IN THE D-J BASIN OF COLORADO AND ACQUIRED 42 NET DEVELOPMENT DRILLING
LOCATIONS----TOTAL WELLS-----2000
MANAGEMENT PROJECTS THAT FOR 00 THAT OIL AND GAS PRODUCTION WILL TOTAL
ABOUT 5.7 BcFe
FIRST QUARTER:
REV UP 25% RESULTING FROM OIL AND GAS REV--HIGHER PRICES
GAS VOLUME WERE UP 67%
PRICE OF GAS UP 32.4%
THE RECENT ACQUISITION IS IMMEDIATELY ACCRECTIVE TO EARNINGS AND CASH FLOW
/SHARE
CONFERENCE CALL ON MAY 10,00 1 PM --SEE PRESS RELEASE FOR INFO.
THIS IS AN EXTREMELY CHEAP STOCK!! TRADING AT BOOK,40% OF THE SHARE
PRICE IS CASH, +25% REV AND EARNINGS GROWTH, GROWTH VIA ACQUSITION AND
DEVELOPMENT AND WITHIN THE "HOT" AREA OF NATURAL GAS---THIS FOSSEL FUEL
IS STARTING TO SCREAM TO LEVELS THAT SHOULD NOT BE SEEN DURING LATE SPRING
AND EARLY SUMMER. WE ARE HEADED TOWARD $3.50 TO $4.00 /gas measure. IT
APPEARS THAT A SHORTAGE IS DEVELOPING!! RECENT ACQUISITION WAS NOT INCLUDED
WITHIN THE 1ST QUARTER NUMBERS ( 168 WELLS) IF WE ASSUME THAT
THE COMPANY CONTINUES TO GROW BY 25% AND EARNING MIRROR THE FIRST
QUARTER, THAT IS, .20----DEC 00 EST OF .80-$1.00 IS NOT OUT OF THE QUESTION--IF
GAS REMAINS AT CURRENT OR HIGH PRICES... IF WE ASSIGN A pe OF 20x -A
RESULTING SHARE PRICE OF $16.00 TO $20.00 CAN AND COULD RESULT DURING THE
NEXT 12 MONTHS!! WE THINK THAT THE RISK REWARD RATIO IS EXCELLENT AND SEE
LITTLE DOWNSIDE--THIS IS A CORE HOLDINGS FOR A DIVERSE PORTFOLIO LOOKING
FOR AN ENERGY PLAY AND AN INFLATION HEDGE!!! WHEN THE HERD FINDS THIS
STOCK IT SHOULD APPRECIATE RAPIDLY!!! SEE THE LATEST NEWS ON NATURAL
GAS!!!!!!! YOU WILL AGREE .
WE WILL MONITOR PETD IN OUR PORTFOLIO FOR % GAIN PERFORMANCE-
CURRENT PRICE--$4.58
WE CURRENTLY OWN 6K SHARES OF PETD PURCHASED IN THE OPEN MARKET.
BROKER CONTACT: GREG NELSON--800-269-9460 OR MIKE CHESLER-800-890-1629
2. CBLK---READ THE RECENT NEWS--THIS STOCK LOOOKS LIKE IT WANTS TO MOVE
HIGHER..RECENTLY CBLK MOVED FROM $1.00 TO $8.00 THEN BACK TO $2.00 AND
YESTERDAY TRADED OVER $4.00---NOW BACK TO $3.00---B2B, CABLE AND TV MODEMS
AND WIRELESS..MAJOR PLAYER INVOLVED--WE ANTICIPATE MORE NEWS SOON! ONLY
2 MILLION SHARES OUTSTANDING--FIRST QUARTER WILL BE RELEASED WITHIN 10 DAYS-
(I THINK!) IF YOU PLAY CBLK YOU MUST BUY IT BEFORE THE HERD--A THIN STOCK!!!
WE CURRENTLY OWN AROUND 7K SHARES.. BROKER: MIKE CHESLER 800-890-1629
WE HAVE NOT BEEN PAID BY ANY LISTED INVESTMENT WITHIN THIS E-MAIL!!!
PS!! IF YOU TOOK OUR IDEA OF PURCHASING (COMS) FROM OUR LAST E-MAIL--YOU
SHOULD BE VERY HAPPY----(-WCOM)---GREAT CORE HOLDINGS AT CURRENT LEVELS
PER & TEX--VERY ATTRACTIVE
SAFC--GREAT YIELD AND VERY ATTRACTIVE
YOURS TRULY WILLIAM VELMER
PHONE SERVICE INFORMANTION:: 1-801-272-47671 $650/YEAR OR $1300/YEAR
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