RoyPope
12 posts
msg #122704
- Ignore RoyPope
modified |
1/31/2015 12:49:06 AM
I took a long position in DNR about a week ago. As with NOG (which I discussed in my previous post), DNR has both the fundamental and technical indications of a good investment. And, like NOG, DNR is simply being held back by the issues we're all dealing with right now regarding oil and OPEC.
First to the fundamentals...
A good investment has a P/B of less than 1, a P/E of less than 15 when compared to the market as a whole, a PEG of less than 1, and low Debt to Equity. Here's how DNR looks...
With PPS at 6.90 and Book Price per Share at 15.35, the P/B = 0.45.
P/E = 6.76
Debt/Eq = 0.67
Additionally, DNR pays a dividend of 0.06 per share per quarter. Not too shabby, if I do say so myself.
On the Technical side of things, it appears that DNR has established Trend Line Support at 6.30 and fluctuations in the MACD(12,26,9) suggest the high probability of an MACD bullish crossover on Monday in spite of the possibility of a bearish market.
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