An Email Sent to Zacks----Dear Zacks,
In regards to Clayton Williams Energy (CWEI), and earnings estimates for fiscal '96 and '97, there is one brokerage firm whose estimates aren't even in the ballpark and I would urge Zacks to give serious consideration to deleting that estimate from the consensus; it creates a definite distortion and is an insult to everyone concerned.
Morgan Freeman has an estimate of $1.15 for fiscal year '96. Paine Webber estimates $1.78 for '96, Hanifen's has $1.66 for '96, and Rodman, Renshaw has $1.60 for '96. To allow an estimate of $1.15 to exist is a travesty against good earnings reporting, something which Zacks is allegedly noted for. CWEI will earn 0.70 in the fourth quarter alone on top of the 0.96 already earned, plus an additional 0.16 for a second quarter writedown.
Morgan Freeman has an estimate of $0.80 for fiscal year '97. Paine Webber estimates $1.25 for '97, Hanifen's has $1.27 for '97, and Rodman, Renshaw has $1.13 for '97. Again to allow this obvious disparity to exist is an insult to Clayton Williams Energy, to Zacks, to the stockholders, and is also a reflection on Morgan Freeman.
Zacks should be in a position to either:
1) Require Morgan Freeman to provide a legitimate earnings estimate, or
2) Drop the Morgan Freeman estimate from Zack's consensus.
Sincerely,
Buzz Mills |
