Is WLL a good buy at this price level?

**wubin_99** Mon Jul 02, 2007 10:30 am

Is WLL a good buy at this price level?
It seems cheap compared to those big oil companies: XOM, COP

**blast_investor** Tue Jul 03, 2007 2:13 pm

Hi wubin_99,

In my opinion, most oil stocks including XOM, COP, or WLL are cheap relative to S&P500 index average stocks.

On the other hand, WLL used to be my favorite oil stocks in this sector, it no longer is.

WLL under-performed its peers over past couple of years for several years and it is likely to continue to under-perform in my opinion (the reason was explained in my newsletter BIRTP past issues in detail). I believe COP is better pick than WLL at current stock price due to valuation and quality of management.

XOM has higher valuation, but better management performance and better position. XOM and WLL are similar in terms of attractiveness at this price. On the longer time frame, I believe XOM is slightly better investment choice than WLL.