Unit Corp (NYSE:UNT)

fools news letter sell recommendation

Graham number valuation. http://wiki.fool.com/The_Graham_Number
Formula: Fair Value = Sqrt(22.5 * EPS * BV)
I expanded on it a little by also using EPS normalized and Tangible BV to give me a Range of relative value.
The Graham number valuation range for UNT
is $60.49 to $63.18
I think this company is probably way undervalued.
Outperform.

maintained 55% increase in liquids yr to yr
will produce in the range of 36,000 barrels to 37,000 barrels of oil will be up 9% to 12%
first Q this yr up 2% over 4th Q last yr
2011 up 8% last yr drilled 16 wells

Natural Gas Play

Making good money despite low natural gas prices.

I see the earnings estimates growing, the price of this stock is constantly better than the S&P over the long term, and I think the company is in a good industry.

Intersection between sentiment parser and sector growth potential.

UNT is for some reason a cyclical stock. You just have to time correctly. That said, it is a great company, and I've made a fair bit of money buying it in the 40s and selling it near the 60s. Eventually there will be a breakout, and it's going to stay up there and set a new floor.

Long term energy pick.

Beautiful chart at the moment - plus a natural gas play.

Excellent, undervalued company.

Unit corp is 3 parts. The energy segment will go up as oil prices rise this summer. The contract drilling segment I work for and will be around even when there is slow downs. Unit is a solid company.

The natural resources and energy sectors have taken a beating in the last few months, but they are key stocks to help us out of this recession.

Well-run company. Their costs are low and their growth is superb.

Recession

The market has beaten this company down, making it a good buy. Its fundamentals are good and oil is always in demand.

After looking over the SA pick list, I feel best about this one.

OIL, OIL, OIL........and it is undervalued.

Great company along with a great PE. Target at around $40.