Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Strictly: Drilling and oil-field services -- Ignore unavailable to you. Want to Upgrade?

To: Razorbak who wrote (53832)	11/1/1999 5:00:00 PM
From: IndioBlues	Respond to of 95453

Recent insider sales at LD ... don't make sense to me. Unless they've managed to hedge themselves out of any winter upside in the NG markets over the next couple of quarters. Any ideas? marketguide.com

To: Razorbak who wrote (53832)	11/1/1999 8:20:00 PM
From: Gameboy	Read Replies (1) \| Respond to of 95453

Razor, tis a fast and ever changing world we live in. Parker's 3rd quarter earnings more accurately reflect 1st and 2nd quarter crude prices than they do current conditions. Your analysis failed to account for the fact that crude prices have been rising rapidly; third quarter crude averaged $21.71/barrel and so far fourth quarter (October) crude has averaged $22.74. The lag time for rig rates, drilling rates, etc., probably lags crude rates by 6 months and longer. Higher crude 3rd quarter and still higher crude 4th quarter means some immediate money in the pocket for Parker, but the big payoff is still on its way. Parker, and many others in this sector, have probably troughed this third quarter. The benefit of higher crude prices will show up in future quarters. The momentum is just beginning to build. With $50 million in available credit and $50 million in cash, Parker is well positioned to seize the opportunities at hand.