Here’s another fun investment advisory teaser stock that’s been making the rounds of my email box — I first saw it several months ago, and the promise has not yet come to fruition (surprise!), but it’s still an interesting idea and an interesting company.
The promise is lurid, as usual — comparing this company’s potential to the returns of PetroKazakhstan’s 14,000% return.
But the novel approach is that they’re tying this company to the potential for arctic oil. As global warming opens up access to the arctic, more exploration and production of oil can be done there.
Like all good investment newsletter spam, it throws some impressive (and true, if not fully explained) numbers around:
“25% of the world’s oil is under the Arctic Sea”
“43% more oil than Saudi Arabia”
“Enough oil to supply the US for 135 years”
And the promise for quick returns on this top-secret company: “I do believe folks who get in now could triple their money by March.”
And, “the stock I’m now recommending has reached a ‘trigger point’ that could send it skyrocketing in the next few days.”
(FYI, this was first circulated in the fall, I guess … the company’s shares have actually gone down since then — doesn’t necessarily mean it’s a bad idea in the long term)
And to add some juice to the argument (and give us another clue):
“Fidelity Management, the nation’s largest mutual fund company, is accumulating shares of this stock at a rapid pace … 70 million shares”
There are also lots of quotes from reputable magazines and newspapers authenticating the fact that the Arctic is the “next frontier” for oil, and talking about how other big companies you’ve heard of, like Statoil and Gazprom, are exploring in this area, too.
And the final clues:
This company is a “little-known Canadian wildcatter”
They have interests in over 40 arctic licenses.
They’re the leading independent in the UK and Norwegian North Sea oil.
So … have you figured out who the company is?
All you have to do to find out is sign up for GRESSOR’s special situations subscription service and they’ll tell you all about this opportunity — in their words, “If you have even a few dollars available for immediate investment, I urge you to grab a piece of the tiny Canadian wildcatter I’ve been telling you about. It’s a near-certain triple by March.”
OR, just read the next paragraph:
ta da! It’s our friend, Talisman Energy (TLM) — a Canadian independent, to be sure, possibly a wildcatter depending on how you classify that. They’re not that small, bigger than $15 billion in market cap, but they do have the arctic licenses (and some Libyan exposure, which is another “edge” they’ve got according to some email spam solicitations).
Whether or not they’ll actually make any money from this, I have no idea — drilling in the arctic is a lot different than drilling in Saudi Arabia … or even in the deepwater portions of the Gulf of Mexico. The stock isn’t expensive, so while it probably trades more with the price of oil than on any promise of arctic discoveries, at least the downside is probably somewhat limited. Shares have been in a trading range of about $16-18 for close to a year.
So if you like the fact that they came up with this idea, or if their other mysterious technical indicators appeal to you, by all means look GRESSOR up and consider their subscription service. (Remembering, of course, that their “near certain triple by March” has had, depending on the price they were talking about last year, a maximum of about 10% upside by March 9 as I write this)
But if you just want to know the name of the company that they say will unlock the frozen treasure of the arctic, go to your friend the Stock Gumshoe, and enjoy doing your own due diligence on Talisman Energy.
Personal Capital is an advertiser with Stock Gumshoe, but Travis also uses it every day for his personal accounts and finds it invaluable. Here's what he said: "They offer a great (and genuinely FREE) 'second opinion' for your financial plan, but what I love most is their automated financial dashboard -- it will look at all your assets and debts, tally up your asset allocation, project where you'll be at retirement, and suggest ways to manage risk or improve returns. It's free, I think their free tools are great, and I think it's worth checking out -- you can do so here.