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

To: Spekulatius who wrote (46799)	2/29/2012 10:25:25 AM
From: E_K_S	Respond to of 78507

Hi Clownbuck - No doubt XCO is speculative and carries a lot of debt. I suspect they will be selling some assets to bring that number down. Those wells drilled are sunk costs and any future E&P company will have to spend similar monies to get to those resources. My position is small. My premise is one of owning the commodity (ie NG) because I feel it is selling at a historical low price. I could be buying the wrong company in XCO to achieve this and may be better w/ an ETF like UNG. Thank's for the heads up on XCO as I have not viewed their recent presentation. XCO & UNG have tracked pretty closely over the last two years. EKS