We are buying CLNE here in the $12-12.50 range as T. Boone Pickens embarks on a self-funded $60M campaign entitled "The Pickens Plan" touting the merits of natural gas and wind power as a solution to America's addiction to foreign oil. CLNE which produces natural gas fueling stations across the country continues to be one of Boone's largest holdings as he owns ~30% of the company. The stock trades at ~2.5 x next year estimated $215M in sales, and about 40 x next years estimated .30 in EPS. The float is only 24% owned by institutions at this point, and we expect any interest by funds in taking new positions or adding to positions should have significant effects on the stock as the float sits at a mere 21M shares. We are initiating a position here, and putting this one in our long term portfolio alongside APWR, QTWW, and ROYL.
In addition definitely take a few minutes to watch Boone's blackboard presentation...you gotta hand it to the guy, he's pretty much the only man out there taking real action against our mounting energy problems.
Wednesday, July 9, 2008
Subscribe to:
Post Comments (Atom)
2 comments:
Nice - there was a good interview with Boone on the CNBC website yesterday where he was talking about the Pickens plan. This guy knows what he's talking about, sounds like an interesting pick, I'm going to check it out. Thanks.
NOS,
I heard an interview with Pickens on June 7th. I thought he was going to make a 12 billion dollar investment and control the grid from production to the end user. At least that's what he was saying to them.
Looks like he's just a power glutton who wants to reap more profits and charge you a premium rate for the privilege of using renewable energy.
A giant "prime the pump" scheme to keep energy as expensive as practical to maximize profits. Just knowing they're getting ready to do this will keep individuals and communities from resourcing renewable energy locally and coming off the national (and oil companies) grid.
This scheme will probably work.
Post a Comment