WLL thesis Click here to go to the original topic          Value Investing Forum Forum Index -> Value Stock Picks blast_investor Thu Mar 16, 2006 10:47 pm     WLL thesis  Quote: Hi Henry, I have been looking at WLL. They have made many acquisitions. Yet acquisitions usually fail to add value because of the high prices paid. Furthermore, WLL's ROIC is terrible. Therefore, I am wondering why you think WLL is a good investment when it has a trailing P/E of 10.45 and a forward P/E of 12.54. There seem to be several other oil companies that are much cheaper and much better (in terms of ROIC). Thank you very much. - Jason Hi Jason, Oil stocks typically trade on NAV (Net Asset Value), which is really the asset value of oil reserve. The quarterly reported "PE" is not really indication of true owner's earning either, you would have to adjust and normalize that to obtain normalized "PE" based on true owner's earning. Our free archive of BlastInvest stock newsletter had many research reports on WLL at: http://www.blastinvest.com/value-investing-newsletter/ You can search or browse our past related articles on WLL.          Value Investing Forum Forum Index -> Value Stock Picks Page 1 of 1 Search Engine Indexer BlastInvest @2005 p h p B B © 2001, 2002 p h p B B Group