A Real Energy Buy Versus A Hyped Up Hopeful
For months now, the price of oil consistently is trading over $100 a barrel
and prices only look to get more expensive as time marches on and supplies dwindle.
With this dirty energy supply sustaining a high price, consumers will be looking for cheaper, cleaner energy alternatives. As a result, many investors are seeking to capitalize by investing in companies providing alternative energy sources…
Surprisingly, many of these industries are dirt cheap. Just look at natural gas its trading at a ten-year low. In its wake, many natural gas producers are seeing their stocks trading at absurdly low valuations.
And natural gas isnt the only industry
Solar energy companies have seen their stock prices plummet over the past year as well… many trading 70% or more below their 52-week highs.
With alternative energy stocks so suppressed right now, a number of analysts are seeing these companies as a buy right now.
Right on cue, the pump and dump crowd is setting up to take advantage of the play on alternative energy sources.
It seems the latest pump and dump is being run on SEFE (SEFE)
The shameless penny stock touting service, Penny Stock Wizard, has dedicated a large chunk of their website giving you a free report hyping up SEFE. They’re even calling this stock, the next Apple
Ill dig into this free report more in Fridays Pump And Dump Alert.
The bottom line here SEFE is still just a developmental stage company with no revenue and mounting losses. But apparently theyve been granted four US patents to suck static electricity out of the air and turn it into usable energy.
Now before you get excited, there are a number of obstacles a company like this has to overcome before bringing a product to market, or more importantly turning a profit!
Yet the stock is trading at an absurd $1.24 right now, and they dont even sell anything yet!
So whys the stock up?
The pumping of course! Penny Stock Wizard cashed in for a whopping $2,274,560 to pump shares of SEFE. It goes without saying, you shouldnt trust a word of what they’re spewing theyve been paid over $2 million for it!
Again, theyve gone so far as to rip off a real free report (Ill talk about that Friday ) and substituted SEFEs ticker symbol to make it look legit.
The biggest joke the pumper is giving SEFE an absurd $6.06 price target
They have this Stock Digest website putting out a different report, giving SEFE that ridiculous price target. And thats after they compare SEFE to Microsoft (MSFT), and Amazon (AMZN).
This report is the funniest thing Ive read in a long time
But to the average investor, they may believe what they’re reading is the truth. Well, its really not even close. Make sure to catch this Fridays write up on SEFE for more details.
Now, if you want a real alternative energy stock, take a look at Gastar Exploration (GST).
I wrote a recommendation for this inexpensive natural gas company back in January. The stock is trading below book value right now which means you can buy the stock for less than the company is worth if sold off in pieces.
And a heads up comparison isnt even close
With GST, you get revenues, earnings, and product. With SEFE, you get a pipe dream. The scary part GST is trading for $2.86 at the same time SEFE is jacked up at $1.24 and they couldnt be further apart in real value!
Once again, alternative energy companies this cheap look like screaming deals. Just be cautious about what youre buying, and always, always, always do your homework!
Until next time,
Brian Walker
Category: Energy Stocks, Natural Gas Stocks, Pump & Dump Alerts, Solar Stocks
