APC--Dip buy or last chance to flush?

Discussion in 'Trading' started by AAAintheBeltway, Jun 6, 2003.

  1. The natgas sector has been redhot. There are credible fears of a severe supply shortage during the peak summer a/c demand period. While injections were up this week, total inventories are below last year by agood margin.

    The stocks have reflected this situation for the most pasrt, with one notable exception. APC has been crushed the last three days, falling some 12% despite news of a new gas find yesaterday. It caught a spate of downgrades this morning on the back of advising that it would have production shortfalls. Funny how it declined severely for two days BEFORE this news came public.

    Is this the ultimate dip buying opportunity? Or is this stock a loser that cannot capitalize on the best opportunity in years in its market? Would you go with other e&p names that have held in there, like APA, BR and CHK?