Range Resources Corp. (NYSE:RRC)

extremely low cost NG producer ..peers are going to go out of business trying to compete..

tmf babo....think this is timed right.

Range is very well positioned in the Marcellus, and is quite skilled at directing capital toward opportunity, seemingly anyway...

Acquisition target.

Rising power of natural gas particularly the Marcellus
Shale

As per recent fool article The Secret to Commodities Investing

Natural gas developer needed for a cleaner energy environment.

http://www.fool.com/investing/general/2010/12/30/the-best-stocks-for-2011.aspx?source=isesitlnk0000001&mrr=0.13

someday soon - natural gas

Here's the buy rec:
http://www.fool.com/investing/general/2011/02/22/rising-star-buy-range-resources.aspx

Toby Shute rec

Natural gas will rebound one day.

Range Resources is using the new 'fracking' technology to find Natural gas in the Marcellus Shale, Barnett Shale, and Nora/Haysi (Virginia). RRC holds 3.2 million gross (2.5 million net) acres under long term - low cost leases across its various properties. With the predictions of peak oil, and the events in the Middle East, natural gas could be America's energy of the future.

Sound balance sheet. Grade: B. USA exploration must increase, given geo-political pressures, and adding Brazil as a key player.

Looks attractive

oil = higher prices

Alright, couple of reasons I'm marking this as outperform, none of them related to the specific company at hand. Typically, about twice a year, I'll go to the finviz heatmap:

http://finviz.com/map.ashx?t=sec&st=ytd

From there I'll check the trending 6 months, 1 year, and YTD to find lagging sectors.

Once I find the lagging sectors, I'll do a quick analysis of the macro variables at hand and determine whether the secto is warranted to be under performing the market or whether I think the market has undervalued these sectors. In this case, I think O&G exploration and development as well as utilities are undervalued.

If you notice, pharmas are also undervalued, but I think the new healthcare law makes their underperformance relevant at this time - if they continue to be undervalued at the time of my next review, I may pick up some in the sector.

I digress, the reason I think O&G and utilities are a good buy at this time:

1. Winter is fast approaching
2. Energy prices are still comparatively low and will go up
3. The economy is rebounding
4. The oil spill worries are becoming something of the past for the majority of Americans (Personally, I hate that recency plays a factor in this at all)
5. Likely republican majority in one chamber will make it difficult to pass major energy reform, thus old energy wins and new energy loses. (Much to our malevolence)

After I determine which sectors to buy, I'll review each individual stock in CAPS. Anything less than 3 stars gets filtered out. 4 and 5 star picks are most preferable, as these quintiles usually gains points in a year's time.

I expect to remove 90% of these stocks by March/April. Typically, this nets me a few hundred caps points (read: profit), and roughly 75% accuracy. Some will be bombs or laggards. Those that barely lag will be kept on my portfolio in hopes that I may eke out a slight gain at a later date. The bombs will be dropped.

I want to emphasize, this is not a judgment call on this specific stock. I didn't even check the financials. Do your DD if you buy in RL. In fact if you like the sector and want to buy in RL, I recommend you buy a sector ETF - one of my personal faves is FCG.

reloading

not excited about Marcellus, gas price premium baked in and think it's overbought.