DTB BP should make $3.60-$3.75 this year and around $3.75-$4 in 2005.
depends on what oil and natural gas will be in 05, if you believe they will be close to these levels would look at the higher end, if they fall below $32.50 and 5 natural gas then lower.
it is a decent international intergrated oil/gas company. hard to find a region of the world they are not in, would expect a 10%+ return counting the dividend if prices are in this range.
BP wants to and is expanding in power generation (natural gas plants) and solar power. both of these should grow and be a growing part of the earnings. still for now most of the money will come from oil/gas.
BP is one of the better international oil/energy companies, of coarse a few in this group have been poorly managed.
note : own Exxon
there are some cdn. companies believe they trade in the US you may want to look at or track.
Tailsman (TLM) $27.07 cdn. $20.02US
a well run company, oil/gas, may be one of the first to invest in Libya. Do not like the west making peace with Libya however this is about investing not politics. Tailsman has growing production. note have a $75 put in MR. GIC the stock did a 3-1 split. have small holdings and many puts out at $25 hopefully to expire within the next 3 months.
CNQ $36.76 cnd. $27.18US
this stock is also growing production and trades at just over 3X free cashflow....... always seems cheap.... written puts on this
ECA Encana $53.93 cdn. $40.35
sold most of my position, still own some. made an acquisition in the US of a natuaral gas producer... price seemed expensive. still does not seem to want to break through$60. however own a small position. mainly because it is well run and will grow production.
natural gas prices in North America should stay strong....hoping to buy back some of my position on weakness....watch goes to $80 in the next six months...LOL
CNR (CNI)
will post later but Union Pacific came in with negative news, this hurt many railway stocks, CNR had news late May on how
they want to increase revenue by 33% in five years.
by the way unlike Union Pacific which had a lot of excuses CNR will have slightly higher revenue this year compared to last.
also they want to lower their already low operating ratio to 65 in five years to 69 currently
they also want to raise share profit 8-12% annually over the next five years.
as a shareholder hope they can meet these goals, they hae in the past which is why it has been a long term holding.
only railway I own, besides a small holding 300 shares in CP railway ( good potential with managment closer to Union Pacific than CNR (CNI) ..... also have puts written on it...
thanks
selkirk
