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

To: E_K_S who wrote (45282)	11/3/2011 3:42:42 PM
From: Paul Senior	1 Recommendation Read Replies (2) \| Respond to of 78476

GMXR. Stock is undervalued based on assets (Bakken&Niobrara land, and proved gas reserves in TX). Company is overly indebted--- the land and gas production don't seem to be generating enough cash flow ---so the issue seems to be, can they monetize their assets before they run out of time/money? Their recent presentation describes what they are planning to do to extricate themselves from this situation. I've added a few shares to my very losing position this morning. A bet that management would have the financial savvy to make use of the company's assets in a way that increases cash flow before the debt burden overwhelms the company. Of course, -g-, it was management that got themselves in this situation, so one could wonder about their perspicacity and ability to be successful.