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

To: ItsAllCyclical who wrote (29972)	2/17/2004 6:11:03 PM
From: jim_p	Read Replies (1) \| Respond to of 206094

Never hurts to have cash!! I plan to use this sell off to re-establish my full position for a long term hold. I was sitting at 7.40 all day and moved it up to 7.60 to soon. My guess is we retest $7.35 a few times and move back up in the 8's. The buyers today are long term holders waiting for the sector to recover in ????? Que may be right about it being longer than I would hope, but RRI is in one of the best markets to be buying power to resell to their Houston retail market. RRI is also in one of the best markets for selling power wholesale in the NE. The very fact that RRI can forecast any profit at all in this sector at the bottom of the cycle to me is very amazing. $.25 EPS for 2004 has very little meaning as far as what PE it should be selling for. Based on the weather in the first half of the 1st Q, my guess they will beat guidance in Q1. The question is what will the PE be in ??? when the sector is back in balance, and what PE will it be selling for in ???? when we are at peak earnings??? The buyers over the last few weeks who acquired over 5% in RRI won't let RRI fall back into the 5's or 6's. I'll be buying if we see 7.35 again tomorrow. If it were easy everyone would be doing it. Jim