TOP PICK

This is a very large company, 71% natural gas. The NAV is $4.73 and book value at the end of 2017 was $6.01, so this stock is trading very cheaply. His one-year target is $7 and his 3-5 year target is $20. (Analysts’ price target is 1.88$)

COMMENT

Cash. He thinks many of these stocks have gotten ahead of themselves. We are not quite yet at the start of the growth cycle for energy. If there is a pullback on energy, he expects to see the energy index at 150 or less and from that level he expects to see explosive growth.