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.

Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Grommit who wrote (23177)	1/20/2006 6:04:35 PM
From: Broken_Clock	Respond to of 78628

grommit You have hit upon the riskiest part of alj to be sure. it is a stand alone refinery. However, I believe the near zero(and soon to be zero!) debt more than compensates for that risk. VLO has about 15% of it's market cap in debt. That was a bigger concern when revenues were way down a couple years ago, IMO. They made a very astute move in expanding through debt/acquisition and have been rewarded immensely...along w/shareholders. I am hopeful alj will follow along the same path. -g-

To: Grommit who wrote (23177)	1/23/2006 11:40:27 AM
From: Paul Senior	Read Replies (1) \| Respond to of 78628

Grommit, thanks for the oil analysis/update. I have have shares in most of the stocks you've listed. At this point, I've just run out of courage to add more VLO shares, even though it might be better and safer than ALJ. For right now though, fwiw, I'm adding a few more COP and OXY.

To: Grommit who wrote (23177)	1/11/2008 4:37:07 PM
From: Paul Senior	Read Replies (1) \| Respond to of 78628

Grommit, with refiners, we are back to where we were two years ago for at least a couple. (VLO, ALJ) I have run up with ALJ and back down. Have added now a little to my few ALJ shares. Still holding mucho VLO. finance.yahoo.com If - IF - the profit margins hold for ALJ, it is a very inexpensive stock, given that roe has been consistently over 30%, stock is 2.3x stated bv, and p/e is under 7. Of course, even if it is an inexpensive stock, that's not saying much in this market.