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 : Oil Sands and Related Stocks -- Ignore unavailable to you. Want to Upgrade?

To: james flannigan who wrote (11078)	7/6/2006 12:33:22 PM
From: Elliot F	Respond to of 25575

<<<Exxon trades at ten times earnings, SU trades at better than 30 times earnings.We can argue that SU is growing much faster than Exxon.But at 30 times seems a little rich in my value world.That does not mean that I think SU is going much lower and in fact will more than likely hit your target. SU is a great investment at the right price. James>>> James, You are correct about SU having a higher PE than XOM. However, forward PE, which I believe is a more accurate comparison of future strength, does not make SU look overvalued (17.7 vs 10.4), especially when crude oil is rising and SU's production will be increasing long-term. BTW, my current strategy for SU is to wait for for the next earnings report and then sell calls under the market to protect against any drop that will most likely occur. Thanks for your input though ...I may want to sell my calls a bit lower now. --ef