Topic: How To Invest

Hi Pat: What is your opinion of Alexander Energy? Thank you.

Article Excerpt

Alexander Energy, $0.71, symbol ALX on Toronto (Shares outstanding: 253.7 million; Market cap: $180.1 million; www.alexanderenergy.ca), is a junior oil and gas producer. The company brought in new management in late 2013. The new managers then bought shares from the company that made them the majority shareholders. It now plans to change its name to Spartan Energy. Until recently, the company’s main oil and gas property was at Alexander, Alberta. However, it recently paid $32.5 million for a property in southeastern Saskatchewan that produces 370 barrels of oil a day. Alexander raised $51.5 million in a share issue to pay for the acquisition. In the three months ended September 30, 2013, the company’s cash flow rose to $0.04 a share from $0.03 a year earlier on higher production (805 barrels a day compared to 712) and oil and gas prices. Alexander Energy is okay to hold, but only for highly aggressive investors. …