Escalera Resources Company (NASDAQ:ESCR)

CAPS Rating: 3 out of 5

An independent energy company, engaged in the exploration, development, production and sale of natural gas and crude oil, in the Rocky Mountain Basins of the western United States.


Player Avatar TMFUltraLong (99.95) Submitted: 2/4/2011 2:49:12 AM : Underperform Start Price: $9.50 ESCR Score: +10.64

Valuation call based on a call for sanity. I've been watching some of the calls here saying the reserves alone may justify the company's current price, but its history of losses and lowering expectations speaks for itself. If DBLE had a more modest rise I probably wouldn't even be considering this for a short, but 100% in a month on an almost straight spike higher is just begging for a correction.TMFUltraLong

Report this Post 6 Replies
Member Avatar Teacherman1 (28.84) Submitted: 2/4/2011 12:53:42 PM
Recs: 0

I agree Ultra Long. I like this company and plan to own some of their stock at some point, but it has gotten way ahead of itself at this point.

I will watch and buy in when it falls "back to earth", hopefully the fall will be temporary. :)

If I had bought it when it was first being "touted", and I mean that in a nice way, I would sell it for sure and use my proceeds to buy twice as much the next time it gets back to "realistic".

Member Avatar mongoose1969 (< 20) Submitted: 2/4/2011 4:51:55 PM
Recs: 0

So help this rookie understand. How do you determine what a stock should be valued at? How do you know what is realistic?

Member Avatar Teacherman1 (28.84) Submitted: 2/5/2011 8:09:49 PM
Recs: 0

I don't want to use UltraLong's CAPS picks as a chat room, so if you will put something in the pitch section of your CAPS, I am sure you will get comments.

Perhaps UltaLong will reply to you here.

Member Avatar mongoose1969 (< 20) Submitted: 2/7/2011 10:28:28 AM
Recs: 0

Oops. sorry. Still trying to learn the etiquette.

Member Avatar mongoose1969 (< 20) Submitted: 2/7/2011 6:32:41 PM
Recs: 0

Thanks for the heads up on this one. I set a stop loss at $10 so I walked away with my 17% profit in 3 days and will re-invest when it becomes more realistic in price.

Member Avatar lovehead41 (35.22) Submitted: 2/9/2011 1:38:43 PM
Recs: 0

While recent price spike was obviously fueled by market frenzy alone, and recent drop more than justified, it would seem to me that this is still a good value as losses over the last year are largely linked to low oil prices during that time. Now that prices are on the way up i expect DBLE to move back into profitablility as most domestic inland production will break even at $70-90 dollars, generally speaking. This company has a long history of making money and looks to my inexperienced eyes to be in decent to good financial condition. I bought at $4.84 in the real world and will probally hold on until oil hits $100-115 range.

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