DodoInvesting's  Instablog

Send Message
Dodo Investing is written by a pair of finance veterans who want to simplify investing for the common man. All of our recommendations come with four things: 1. A buy price 2. Short term sell price (<1month) 3. Medium term sell price (1-6 months) 4. Long term sell price (>1 year)
  • Ride The Natural Gas Rally, Buy EXCO 0 comments
    Aug 14, 2012 1:46 AM | about stocks: XCO

    This is Dodo Investing's very first recommendation article and hopefully the beginning of many more! To give you a quick overview all of our articles will focus on providing a entry price and three different exit pricing based on your expected holding period.

    Today's focus is on EXCO Resources Inc (NYSE:XCO). EXCO is an independent oil and natural gas company with interests in multiple projects across Texas, North Louisiana, Appalachia, and the Permian basin. With over 1.3 trillion cubic feet of gas equivalent reserves, this company's performance is certainly tied to the price of natural gas.

    Like many others we believe natural gas prices are going to continue the move upwards as reserves are filled at a slower rate and rigs continue to go offline. Christopher Wallace details these trends very well in his artilce.

    For these reasons we believe EXCO should be purchased if it dips below $7.20. Once purchased based on your time horizon it should be sold in the short term(<1mth) at $9.00, medium term(1-12mths) at $11.00, and the long term(>12mths) at $13.

    Disclosure: I have no positions in any stocks mentioned, but may initiate a long position in XCO over the next 72 hours.

    Stocks: XCO
Back To DodoInvesting's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers
Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.