Zacks.com Announces that Jack Adamo Highlights the Following Stocks: Devon Energy, Chesapeake Energy Corp. and Fording Canadian Coal Trust.CHICAGO -- Jack Adamo, editor of the Insiders PLUS newsletter, says his energy holdings may buck the market's shaky trend. Read about Devon Energy Devon Energy Corporation (NYSE: DVN), headquartered in downtown Oklahoma City, Oklahoma, USA, is one of the world’s leading independent oil and gas exploration and production companies. (NYSE NYSE See: New York Stock Exchange :DVN DVN Digital Video Network (Internet2) DVN Digital Value Network DVN Diploma in Veterinary Nursing DVN Device Number ), Chesapeake Energy Chesapeake Energy (NYSE: CHK) is a producer of natural gas in the United States and according to their 3Q 2007 report, is the largest independent producer, third overall (including majors) and the most active driller of new wells in the US. Corp. (NYSE:CHK CHK Check CHK CHKDSK (File Name Extension) CHK Chuuk, Caroline Islands, Micronesia (airport code) CHK Check File ) and Fording Canadian Coal Trust (NYSE:FDG FDG Fluorodeoxyglucose FDG Fundação de Desenvolvimento Gerencial FDG Franchise Development Group FDG Function Dependence Graph FDG Fraud Detection Group FDG Functional Dependency Gate FDG Front des Gaulois FDG Falling Down Giggling ). Click here for the full story exclusively on Zacks.com: http://at.zacks.com/?id=84. Highlights from the July 17 Featured Expert column by Jack Adamo include: Updates The two stocks likely to deliver the biggest upside earnings surprises are Devon Energy (NYSE:DVN) and Adamo's alternate pick, Chesapeake Energy Corp. (NYSE:CHK). Devon ended its overly-conservative hedge program before the second quarter started; so, it will be getting noticeably higher average prices for its oil and gas than last year. Chesapeake, on the other hand, hedged 80% of its 2006 natural gas output at more than $9 per mcf. Spot prices have been around $6 all year. Analysts on the Street seem to have completely ignored this great move on Chesapeake's part. It will be one of the top performers in the industry in the second and third quarters. Fording Canadian Coal Trust (NYSE:FDG) continues to slide. There has been no news on the company. Adamo's guess is that the price erosion is due to assumptions about lower dividends later in the year, and a probable economic slowdown in 2007. Since Fording's coking coal is used in steel making, it is sensitive to economic cycles. Both of the market's assumptions are well-founded, but irrelevant, in Adamo's view. The temporarily-reduced payouts will still exceed anything that does not involve serious long-term risk. Moreover, even a full-blown recession lasts only two or three quarters. After that, demand for steel from China, India and South America South America, fourth largest continent (1991 est. pop. 299,150,000), c.6,880,000 sq mi (17,819,000 sq km), the southern of the two continents of the Western Hemisphere. will rebound and resume its secular uptrend uptrend A series of price increases in a security or in the general market. Some investors believe a security tends to take on a certain inertia; as a result, these investors search for stock in an uptrend, thinking that it will probably continue to move in . To trade in and out of this stock to try to catch the highs and lows of the dividend is ridiculous. Personally, Adamo has been buying it on almost every pullback Pullback A falling back of a price from its peak. This type of price movement might be seen as a brief reversal of the prevailing upward trend, signaling a slight pause in upward momentum. , and will probably do the same this week. Read Jack Adamo's commentary regarding his energy holdings and the market's shaky trend. Also, discover more stocks by clicking: http://at.zacks.com/?id=85. About Zacks Featured Experts Successful investing requires professional advice from knowledgeable experts who can help investors achieve their financial goals in good markets and improve their portfolios, especially in bad ones. That is why Zacks Investment Research Zacks Investment Research A firm that compiles earnings estimates and brokerage firm investment recommendations for thousands of publicly traded firms. has assembled the best investment experts in the business to offer their powerful advisory newsletters on all the major investment topics: Stocks, Mutual Funds, Bonds, Options, Futures etc. Additional recommendations from Zacks.com Featured Experts are highlighted in the free investment newsletter, Profit from the Pros. Each issue highlights several Featured Experts in this free e-mail See Internet e-mail service. newsletter. Register for a free subscription to "Profit from the Pros" at: http://at.zacks.com/?id=86. About Zacks Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leonard Zacks. As a PhD in mathematics Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at http://at.zacks.com/?id=87. Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates. Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security. |
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