To: Ray Emery who wrote (2442 ) 1/27/1998 9:03:00 PM From: Gabriela Neri Read Replies (1) | Respond to
No. I just think we are in a quiet period until we get results. Since this is a news driven stock, no news means trading range . I havent changed my opinion on HEC. There is a lot priced into the stock already but there is much that isnt. The stock will have legs when the news justifies it. After all, its an exploration play, not a commodity price play. The stock has a definite personality and has been consistent in its personality since I bought my original position at 2.5 The stock will, on occasion, punish those who forget what the stock is-----an EXPLORATION PLAY=RESERVE ADDITIONS. Cash flow is fucking meaningless. Cash on the balance sheet is highly relevant in order to fund exploration. The stock is in the process of punishing those who do not understand what it is all about--------our friend Don is being punished currently, and if you read his commentary, its obvious that his expectations and understanding of the stock is just incorrect. In fact, its entirely incorrect, and that is why I say he has no clue. Because he focuses on the issues that are unimportant to the concept of the play. This is a concept stock at this time and the company needs to put some meat on the bones, which they are in the process of doing-------IE-finding and proving up reserves. It takes time and its a tough stock to trade on margin. It is really not a great trading stock unless your discipline and timing are perfect. It is more of a stock to buy on dips and just hold it for a 12-24 month period. That is really the play. It takes time to explore all the acrege they have and prove up reserves. This stock has little in proven reserves outside the US, yet they will prove up a lot in the coming year. This is the attititude you must have to make money with thisstock. It is no longer a 2 dollar stock with no expectations. It is a 6 dollar stock with all sorts of reports out there saying it will be a 12-15 dollar stock. Well, it will be , but not before they are close to punching the hole in a big one, which they have not done yet. But, they will, with time. all those research reports are written by firms who want underwriting business. They will get it in due time but patience is the name of the game with HEC. With patience, HEC can provide inordinate percentage returns but it will be hard to time it.
