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 : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: jim_p who wrote (13750)	10/9/2002 1:09:37 AM
From: upanddown	Respond to of 206326

Jim, now cut that out, you're making me greedy. I figured just take a quick dollar or so on EP and then step away from all this volatility but now I'm beginning to think a little patience may be in order here. The valuation is really ridiculous and my yield is 18%. I'm also beginning to think that an adverse FERC decision might have a limited downside effect on EP since some of the uncertainty will be removed. This whole FERC thing is strange. Supposed to be five members but only four currently. Not sure if the fifth is in nomination. Two Clinton appointees and two Bush, including the chairman. The term of one of the Clinton appointees was up in June of this year. Not sure where that stands but seems unlikely to be re-nominated by Bush. ferc.fed.us Possibility that it might be split 2-2. if 3 votes are required to affirm the ALJ and set penalties, then one would have to be a Bush appointee. Another question is whether a 2-2 vote means no action. John

To: jim_p who wrote (13750)	10/9/2002 2:07:10 AM
From: energyplay	Read Replies (2) \| Respond to of 206326

Low current valuation of EP - is it possible that the current low price is not an over reaction to FERC and California, but a liquidity / risk -aversion problem ? Look at the over reaction in Ultilities to the AYE credit problem. To you get the feeling that NO ONE (or no fund manager) wants to take ANY downside risk - why ? maybe because there is no upside ? If the risk aversion view is correct, two things will happen - 1) We will see MORE SCREAMING BARGINS like EP. 2) EP will SLOWLY and hesitantly return to something closer to true value- maybe by January or May If the risk aversion view is wrong, EP should move up most of the way back i one -two months, and it is unlikely we will see bargins like EP again this year.