3SOF

Clap on this pick...looks good.  basonista...I was pondering buying some options on SWN about a week ago, but decided to wait for a down day...up $20 since then    ...this stock is incredible.   

Quote from: runforthedoor on October 04, 2005, 10:28:35 AM

Clap on this pick...looks good.  basonista...I was pondering buying some options on SWN about a week ago, but decided to wait for a down day...up $20 since then    ...this stock is incredible.   

I was hoping for a little dip also but it's been a rocket.  It is a great natural gas play though so even at these prices and the predicted problems with ng this winter it is probably still a buy.  Too pricey for me though.

It's rocking guys!! Great volume the last two days, has put the fire in it.
Nice moves from this break out of the Symmetrical Triangle on strong volume.
The Denver company is growing nicely,with good reserves of oil and natural gas.
Margins are strong and getting stronger. Revenues were up 60%.
The firm is profitable with little debt.
The stock has come out of a three month Symmetrical Triangle and a seven month Cup on very strong volume.
Support @ $2.83...2.63...2.43
MACD is bullish.

Technicals
Record Price High
Close Above the 13-day EMA
Record Price Break Out
Gap Up
Percentage Gainer

Last Price Quote is:
36.06%above 13-day EMA
45.89%above 50-day EMA

Fundamentals
Key Data:
Market Cap (M): $41.05 
P/E Ratio: 20.50 

This also very nicely blasted through it's previous high set in early March.

Quote from: basonista on October 04, 2005, 06:57:58 PM
This also very nicely blasted through it's previous high set in early March.

Basonista, yes that is very nice to blast through the previous that was set back
in March.  Let's Rock and Roll !!   
APPLAUD your work on the chart and for pointing this important fact out.

The volume has died out of late. 
I have poste a 6 month/1 year/2year/3year charts.
Still look good to me.
May be this volume thing will kick back in.

Technicals
13-day EMA Cross Below 50-day EMA

Last Price Quote is:
-3.36%below 13-day EMA
-3.52%below 50-day EMA

Lets see it get back to the upside.
Symmetrical Triangle

BRIEF: For the nine months ended 31 December 2005, Basic Earth Science Systems, Inc's revenues rose 45% to $4.9M. Net income rose 60% to $2M. Revenues reflect increased volume & prices for oil and higher prices for natural gas. Net income also reflects decrease in accretion of asset retirement obligation and higher interest & other income. Basic Earth Science Systems is into acquisition, development, operation and production of crude oil. http://www.bassettfurniture.com


Technicals
Last Price Quote is:
5.72%above 13-day EMA
4.04%above 50-day EMA
RS Rating: N/A 

Fundamentals
Key Data:
Market Cap (M): $38.60 
P/E Ratio: 15.16 
PEG Ratio: N/A 
Next Earnings: N/A
Last Analyst Rating: N/A

BSIC, Back to the Basics,
Down To Earth Growth.

Basic Earth Science Systems (otcbb: BSIC) is an independent oil and gas exploration company engaged in the upstream segment of the industry, which comprises the exploration, acquisition, development, operation, production and sale of crude oil and natural gas. Activities are focused in the North Dakota and Montana portions of the Williston basin, the Denver-Julesburg basin of Colorado, the southern portions of Texas, and onshore portions of the Gulf Coast.

The BULLS Say...
   STORYLINE: Small U.S. Oil Player Balancing Risk-Reward. Unrelenting conflict in the Middle East and growing energy demands have made cheap oil a thing of the past. As the world scrambles for new sources, BSIC is finding oil in the U.S. This tiny independent seems to cover (albeit in tiny ways) both ends of the risk-reward spectrum. BSIC has an established base of working interest in 77 domestic oil wells and 9 gas wells that have produced significant double-digit revenue and net income growth. The company has virtually no debt and is diversifying into natural gas. Simultaneously, BSIC has a self-described "swing for the fences" opportunity in their 2% interest in the Christmas Meadows Prospect, which commences drilling in Aug-06 (this month). In the middle sits projects from 2H-06 where production has yet to be added to an updated reserve estimate.
VALUATIONS: Compounding Growth, Valuations on Hold. In just 2 years, BSIC has doubled revenues and quadrupled net income. Two weeks ago, BSIC reported 36% Y/Y gains in FY-06 revenue, EPS gains of 54.5% Y/Y and a yearly oil volume increase of 9%. Despite big growth numbers, the stock has been reluctant to move and now trades at a low, 12.7 P/E versus the 28.4 peer average. For reference, Christmas Meadows partner, Double Eagle (DBLE) is currently trading at 41x earnings. The market seems to be discounting BSIC until its reserve estimates are updated and recent flow rates from new wells are more firm.
CATALYSTS: Lagging Reserve Estimates, Gas and Wildcatting. Due to the timing of BSIC's drilling program, reserve estimates only increased 1% from FY-05 to FY-06. Approx 75% of FY-06 capex spending went to projects in the last half of the year. The production of these wells, for the most part, has not been added to reserve estimates. BSIC is also looking to increase its exposure to natural gas projects for a more balanced product base. BSIC is also participating in a "high risk-high reward" wildcat project in Utah with its new 2% interest in the Christmas Meadows Prospect operated by Double Eagle Petroleum (DBLE). Management describes this 41,000-acre development as a "swing for the fences" opportunity. Drilling begins this month (August 2006).
METRICS: Production Growth, New Estimates and Christmas Meadows. 1) BSIC's Q1-07 results are expected in mid-August. Investors should hope for continued double-digit growth; 2) Over the next 2 quarters, look for more firm flow rates from new wells created in the last half of FY-06. Production contributions from these projects should increase reserve estimates that are lagging capital expenditures; 3) For 22 years, major oil companies have been unable to resolve federal permitting issues surrounding the Christmas Meadows prospect. Those issues are resolved and the first well, Table Top Unit #1, is expected to commence drilling in Aug-06. BSIC's 2% interest could have a considerable impact a company as small as BSIC. 

The BEARS Say...
   NEAR-TERM RISKS: Limited Resources Create Risky Model. BSIC's limited resources cause them to focus on smaller and/or marginal properties. This model has a high degree of risk and the company has had its share of disappointing results. In many cases, their wells begin with high flow rates only to decline significantly. When this happens, great expense may be required to reach commercially viable production.
LONG-TERM RISKS: Competition, Pricing and Capital. As a small player, BSIC faces significant competition and development risk. Continued high oil prices are necessary BSIC to succeed. Proposed windfall taxes, increasing price differentials, decreasing oil prices and this tiny company's access to capital keep the future uncertain.