Tesoro Corp (TSO)

Oil refiners should increase in value during summer

inventories will be adjusted to the demand and maybe too much if oil continues to drop rapidly spiking useage and purchases. UP UP & AWAY!

Fidelity screen.

Crack spreads are squeezed now. If and when oil prices drop, the spread will normalize and profits will increase sending the stock price higher. Very speculative because of the uncertainty over if and when oil prices will decrease. Outperform.

still a shortage of refineries...has financial leverage to purchase additional capacity....just bought Shell refineries...

Refiners margins have got to improve.

excellent performance, low multiple relative to peers

Good earnings and growth rate.

Crack spread not so good now, but look for the fortunes to change with increased gasoline demand this coming summer.

Tesoro has an extremely small P/E due to worried about the oil market. However, even if Tesoro has a rough 2009 and even a 2010 year, at this "bargain bin" price of under $11 / share, long term growth potential is huge. I'm guessing 200% growth or more in five years.

The stock has been battered down badly as the 52 week high is 66. I know some people may feel this stock as a value trap but as crude oil/natural gas prices decline it should allow for TSO's bottom line to greatly benefit. The speculators/global demand irrationally increased crude to $150/barrel and with the price leveling off at $110/barrel TSO should benefit.

w00t

TSO's assets are all very valuable refineries and C stores. Most are located in the west, and sepcially CA. Replacemnet value is roughly ten times its current stock price indicates. There is no chance of TSO running into financial problems. Unless people start riding horses to work, this is tremendous value. Buy Buy Buy.

Access to crude oil reserves in NW US and Canada

Tesoro (TSO) has an incredibly low forward P/E of about 8, and despite a lower earnings estimate for next year, should continue to do well due to the lack of refineries in the US. As long as oil prices are somewhat stable and gas prices rise, this stock shouldn't have a problem hitting $70+ by next year at this time. If you put a normal P/E of about 15 on this stock, the price would easily be over $80!!

I'm in this company for the intermediate term and will continue to accumulate shares at this level ($56) both for real and in the Bimcy30. -JC

crack spreads on rise, passthru beginning on higher priced crude per bbl costs, shove the chips into the middle of the table. expecting bullish drawdowns of inventories, let em' run...no sign yet of demand destruction.

Someday the refiners will recover bigtime.

Refinery enough said!

Oil is high.