lucky lenny

High Gold Prices: It's the Oil, Stupid

Michael,

Ever think of supply and demand? I don't think price of oil has anything to do with price of gold. Good luck somehow blaming the Repubs. When u liberals just elected someone who is Jimmy Carter-stupid.

Energy Stocks Are Too Cheap to Ignore - Barron's

Eli, I've researched Exxon (XOM) & have to agree with your article - Exxon's valuation is compelling to say the least:

- going thru Exxon-Mobil’s 2007 Annual Report:

• From ’03 to ’07 - # of shs o/s diluted went down from 6.7 bill to 5.6 bill; net inc per diluted share rose from $3.23 to $7.28

• Exxon makes money regardless of the price of oil. For instance, they sell lots of plastics & resins, if the price of oil falls, Exxon’s cost of goods sold goes down & their profit margins in these areas go up.

• In summary, given Exxon’s tremendous earnings & reduced share count, it seems to many that the stock price can easily exceed $100 share. Especially since Exxon is buying back about 1.4 million shares of stock every day. XOM closed at $78.33.