I hesitate to add new plays when the potential is great that prices will fall over the next couple weeks. However, we should use that as an entry point for new positions.
I was going to add AMSC - American Semiconductor, as a wind play until I read
Current Watch List
COP - ConocoPhillips
I raised the trigger again to $90 since that appears to be where it wants to find support.
ConocoPhillips is an international, integrated energy company. It has six operating segments. Exploration and Production segment explores for, produces and markets crude oil, natural gas and natural gas liquids. Midstream segment gathers, processes and markets natural gas, and fractionates and markets natural gas liquids, primarily in the United States and Trinidad. Refining and Marketing segment purchases, refines, markets and transports crude oil and petroleum products. LUKOIL Investment segment consists of its equity investment in the ordinary shares of OAO LUKOIL. The Chemicals segment manufactures and markets petrochemicals and plastics on a worldwide basis. Emerging Businesses segment includes the development of new technologies and businesses outside the Companys normal scope of operations. In October 2007, American Electric Power Company, Inc. sold its 50% interest in the Sweeny Cogeneration plant in Texas to ConocoPhillips.
Breakdown trigger: $90 *** New trigger ***
BUY 2010 $100 LEAP Call YRO-AT
SD - Sandridge Energy
I wanted to buy a breakout here but the LEAPS are too expensive and SD is too extended.
CEO Tom Ward, co-founder of Chesapeake with Aubry McClendon bought 230,000 of his own shares at $50 over the last week. This kind of confidence gave Sandridge a $5 bounce to a new high. SD announced the prior week that Williams had acquired certain assets for $285 million giving Sandridge additional cash for growth. This company appears to be in high growth mode and I want to own it on a pullback.
SandRidge Energy, Inc. (SandRidge) is an independent natural gas and oil company with its principal focus on exploration, development and production activities. The Company also owns and operates drilling rigs and a related oil field services company operating under the name Lariat Services, Inc.; gas gathering, marketing and processing facilities, and, through its wholly owned subsidiary PetroSource Energy Company, carbon dioxide (CO2) treating and transportation facilities and tertiary oil recovery operations. The Company is focused on exploration and exploitation of its significant holdings in West Texas that it refers to as the West Texas Overthrust (WTO), a natural gas prone geological region that includes the Pinon Field, and its South Sabino and Big Canyon prospects. SandRidge operates in four segments: exploration and production, drilling and oil field services, midstream gas services and other.
Breakdown trigger: $56 *** New trigger ***
FLR - Fluor
Nice dip to $175 but still $10 over our trigger. I hesitate to raise the entry until we see what the market is going to do.
Fluor Corporation is one of the world's largest, publicly owned engineering, procurement, construction, and maintenance services companies. Over the past century, Fluor, through its operating subsidiaries, has become a trusted global business leader by providing exceptional services and technical knowledge across every phase of a project. Clients rely on Fluor to deliver world-class solutions that optimize their assets, improve their competitive position, and increase their long-term business success.
Consistently rated as one of the world's safest contractors, Fluor's primary objective is to develop, execute, and maintain capital projects on schedule, within budget, and with operational excellence. The individual and collective expertise of our global workforce of more than 46,000 provides cost-effective, intelligent solutions in a timely manner. In addition to project offices, Fluor maintains a network of offices in more than 25 countries across 6 continents. Our outstanding dependability, expertise, and safety distinguish Fluor as the preeminent leader in the global building services marketplace.
Breakdown trigger: $165
FTK - Flotek
FTK has been beaten senseless after missing earnings. The stock was $55 back in Q4 and then had a run of bad luck. It appears to have found a bottom at $17.
Flotek Industries, Inc. is a global supplier of drilling and production related products and services to the energy and mining industries. The Company's core focus is oilfield specialty chemicals and logistics, downhole drilling tools and downhole production tools. Flotek offers its products primarily through its sales organizations, as well as through independent distributors and agents. The customers for its products and services include oil and natural gas companies, independent oil and natural gas companies, pressure pumping service companies and state-owned national oil companies. Five customers accounted for approximately 34% of its consolidated revenue during the year ended December 31, 2007. The Company's reportable segments are Chemical and Logistics, Drilling Products and Artificial Lift. All three segments market products domestically and internationally.
Breakout trigger: $21.00 *** New trigger ***
Buy 2010 $25 LEAP Call YVB-AE
Breakdown trigger: $17.00
Buy 2010 $20 LEAP Call YVB-AD
ENER - Energy Conversion Devices
ENER appears ready to break over resistance at $67 but a weak market could give us an opportunity for a lower entry.
Energy Conversion Devices, Inc. manufactures and sells thin-film solar laminates that convert sunlight to energy using proprietary technology. Distributed globally under the UNI-SOLAR brand, the company's products are ideally suited for cost-effective solutions for roofing applications because they are lightweight, durable, flexible, can be integrated directly with building materials, and generate more energy in real-world conditions. ECD also pioneers other alternative technologies, including a new type of nonvolatile digital memory technology that is significantly faster and less expensive, ideal for use in a variety of applications, including cell phones, digital cameras and personal computers.
Breakout trigger: $68.50
Buy 2010 $80 LEAP Call KYU-AP
Breakdown trigger: $60.00
Buy 2010 $70 LEAP Call KYU-AN
SGR - Shaw Group
Just awarded the contract to build two nuclear plants in South Carolina. Reading the news for SGR shows a strong pace of contract wins.
The Shaw Group Inc. (Shaw) is a diverse engineering, technology, construction, fabrication, environmental and industrial services company. Shaw provides its services to a diverse customer base that includes multinational oil companies and industrial corporations, regulated utilities, independent and merchant power producers, government agencies and other equipment manufacturers. The Company delivers its services from more than 150 locations, including 22 international locations. On January 31, 2007, Shaw acquired all of the stock of Mid-States Pipe Fabrication, Inc. (MSPF). On June 29, 2007, the Company acquired all of the stock of EzeFlow (NJ) Inc., a manufacturer of pipe fittings for the power and process industries. The Company has six business segments: Fossil & Nuclear; Energy and Chemicals (E&C); Environmental and Infrastructure (E&I); Maintenance; Fabrication and Manufacturing (F&M), and Investment in Westinghouse.
Breakout trigger: $66
Buy 2010 $75 LEAP Call YCW-AO
Breakdown trigger: $60
Buy 2010 $70 LEAP Call YCW-AN
TRN - Trinity Industries
I know what you are thinking. Why a rail car manufacturer when there are 40,000 cars in storage at present? Because Trinity is rapidly remaking itself into a wind tower company. Last quarter the CEO said his wind business increased 42% and the backlog went from $200 million to $1.6 billion. They have many manufacturing lines and segments and when one is slack it can pick up for the other. I think the wind tower business is going to continue to explode.
Trinity Industries, Inc. (Trinity) is a multi-industry company that owns a range businesses, which provide products and services to the industrial, energy, transportation and construction sectors. Trinity has five business groups: Rail Group, Railcar Leasing and Management Services Group, Construction Products Group, Inland Barge Group and the Energy Equipment Group. The Company manufactures and sells railcars and railcar parts, inland barges, concrete and aggregates, highway products, beams and girders used in highway construction, tank containers, a range of steel parts, and structural wind towers. In addition, it leases railcars to its customers through a captive leasing business, Trinity Industries Leasing Company. In April 2007, its subsidiary, Transit Mix Concrete & Materials Company, acquired a combined group of East Texas asphalt, ready mix concrete and aggregates businesses operating under the name Armor Materials.
Breakout trigger: $41
Buy 2010 $50 LEAP Call YJS-AJ
Breakdown trigger: $35
Buy 2010 $40 LEAP Call YJS-AH