Rosetta Resources, Inc. (NASDAQ:ROSE)
An independent oil and natural gas company engaged in the acquisition, exploration, development and production of primarily natural gas properties in the United States.
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Long term, seems like a "no-brainer" to buy this stock.
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Natty-gas is on fire (LOL). Stock has been suffering, but come summer/early fall, this one is gonna explode (Ok...I'll stop).
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good company caught up in calpines mess - oil gas will drive this one
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More of a long-term pick rather than trader's choice.
It's pretty far from 52W average and PEG ratio shows a strong stock undervalue.
Recent changes in senior management make us expect rise in RoE/RoA.
Debt doesn't seem to be a strong point, but from specific analysis of ROSE as oil company, 0.4B tons of oil and ~25B cubic meters of natural gas, with 90% of them proven, is a huge number for unit billion cap.
Recs
Recently this stock has been beaten up by CalPine announcing that they are suing Rose. However, I don't think it will come to much and this company's earnings look good going forward.
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Stock is severely undervalued as Jim Cramer recently said on Mad Money. The valuation numbers are ridiculously low and the company is only trading at a current P/E of 12.
Last Quarter, they posted 31% revenue growth and 41% earnings growth. EPS growth should be around 20%. Using valutaion, the price target for the end of the year should be $29.
Recs
Weak positioning in the sector. Watch for shares to dip below $17 over the next 3-6 months toward yearly lows.
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