Rob Wilson
Long/short equity, long-term horizon

So What's The Deal With Saratoga Resources?

"I sit here and I sort am of suffering some cognitive dissonance. We see natural gas - spot natural gas prices at 52-week highs. We see Louisiana Light Sweet, Brent sitting at fairly healthy levels, yet your share price is hitting a new 52-week low." This was an observation from Richard Safranek of Wafra Investment Advisory Group, Inc. during Saratoga Resources, Inc.'s (NYSEMKT:SARA) 4Q13 earnings call. Before providing more background about SARA's stock price decline by about 75% since 12/28/11, here is an overview of how the company makes money.

SARA is an independent oil and natural gas exploration and production (E&P) company listed on the NYSE with a market capitalization of about $51MM and an enterprise...

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
IDEA GENERATORXExclusive access to 10 PRO ideas every day
INVESTING IDEAS LIBRARYXExclusive access to PRO library of more than 15,000 ideas
SECTOR EXPERT NETWORKXExclusive access to all sector experts for direct consultation
PERFORMANCE TRACKINGXTrack performance of all PRO stock ideas
PROFESSIONAL TOOLSXProfessional Idea Filters to zero-in based on industry, market cap and more
"In just the first month of using PRO, I used it to generate two ideas which were actionable for me. As a result of these two positions, I have earned more than 20 times the annual subscription costs for PRO."Michael Yagemann, Greenbridge Capital
"I am pleasantly surprised with the scope of small and mid-cap coverage PRO offers. You can't find that any where else."Patrick Rice, Mainstay Capital Management
You may cancel at any time for any reason, and receive a prompt refund for membership on months paid and not used (max. 6 months). Details