John Stephenson
El Paso Corp
EP-N
DON'T BUY
Oct 16, 2003
Trying to become a pipeline Company. Have had a lot of credit problems. Plagued with problems. Will survive, but short-term visibility is not very good. Have to get their balance sheet in order.
Have gotten into trouble. Company is focusing on paying down debt. Good pipeline and exploration. $12 target in next 6 months. $14 target in next 12 months.
Have shed some assets and have gotten past the problems that plagued the sector. A quality name. Volatile. Doesn't think you can get too badly hurt at this price.
A great story. Still has tons of debt. Will probably make it. Has still not filed its 10K from 2003. Wait for a month to see if their numbers are clean.