Sunday, June 22, 2014

"Time to jump into the fray and buy ourselves a speculative oil company that is in the Williston Basin targeting the Bakken Shale and Three Forks formations in North Dakota and Montana, symbol TPLM"

Dow Jones Industrial Average 16,947.08  (UP) Week ending 06-21-2014

If you are going to have to be paying $4.00 Per Gallon for gas and throw in an additional 12 cents a gallon in tax coming compliments of your USA government, you better have something going on to offset it in your budget plan.

Triangle Petroleum Corporation (NYSE Symbol, TPLM, $12.16) is a growth-oriented oil and gas exploration and development company with approximately 94,000 net acres in the Williston Basin targeting the Bakken Shale and Three Forks formations. 

When you buy this one, you are really getting three oil companies in one. TUSA is their exploration and production operations through their wholly-owned subsidiary, Triangle USA Petroleum Corporation. The next two are RockPile Energy Services, LLC, or RockPile, and Caliber Midstream Partners LP, or Caliber. RockPile is a wholly-owned oilfield services subsidiary and provides pressure pumping services.

TPLM, according to the NASDAQ website, has an incredible PEG ratio of 0.02. Triangle Petroleum has just exploded with new Revenue on its last three quarterly reports. The PE on the stock is 10.65. 

Earnings for 2015 are projected at .65 cents per share and for 2016,  .89 cents per share. The IBD earnings rating is 76. Earnings were up 71% last quarter year over year.

The one year 12 month trailing, (TTM), total return share appreciation on the stock is 70.07% and for 3 years is 100.35%.  So, this one has had a bit of a run already. 

There are 86 Million shares outstanding and, believe it or not, the largest shareholder is TIAA-CREF , the teachers' retirement pension fund. 

I consider this a good speculative pick right now because it has moved up from $7 dollars to $12 a share. So, buy in on a cost averaging basis a little at a time. I purchased 100 shares at $11.50, so I have made $66.00 to offset my cost in the rise in gasoline. That was a one week return!

This one is all about the Rapid Revenue growth. The price will jump around, (high beta), so only commit money in small increments so you can average in. 

Since you don't have time to run off to North Dakota to do your own wildcat oil drilling, you will best be served by buying in to some stock shares in the Triangle Petroleum Company.

Once again, this is a SPECULATIVE pick.

Have a great Sunday.


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