Three stocks EGY SLW NXG

**zdplus** Mon Jul 10, 2006 5:56 pm

Three stocks EGY SLW NXG
EGY (an oil stock)
SLW (an silver stock)
NXG (a gold stock)

Are they under-valued?

thx.

**blast_investor** Mon Jul 10, 2006 7:17 pm

Hi zdplus,

No, I don't like this oil stock EGY.

EGY is pretty expensive oil stock, trading at significant premium against larger oil stocks. Its reserve has short life, its enterprise value per barrel is expensive.

**blast_investor** Mon Jul 10, 2006 7:20 pm

SLW is expensive stock.

NXG valuation is reasonable. But it is gold stocks. I don't have any sense where gold would go from here. NXG stock earning will depend on gold price going forward.

**blast_investor** Tue Jul 11, 2006 12:45 am

Just add extra comment on EGY:

Here is insider buy/sale of EGY:

http://finance.yahoo.com/q/it?s=EGY

We can see EGY insiders are selling shares like crazy.

Many oil and gas companies' insiders are buying. But EGY insiders are selling.

This is no surprise. Selling expensive stocks is smart for insiders!