• Twitter
Generic selectors
Exact matches only
Search in title
Search in content
Search in posts
Search in pages
  • Roger S. Conrad

High Grading Energy At A Time of Stress: Some Questions

By Elliott H. Gue on Mar. 23, 2020

Q. From your comments you clearly expect to see more pressure on energy stocks. Why shouldn’t we just sell everything now and wait for a bottom?

A: Fair question. There are basically three reasons. First, market history teaches us that when energy does hit a final bottom, spotting it will be much more a matter of luck than insight or skill. And in any case, it won’t really matter much since anyone who’s invested within say 10 percent or so of the bottom will realize almost all of the upside from the recovery, provided they’re in the right stocks.

It’s also true that the hardest time to invest emotionally is likely to be at the bottom, which means almost no one is going to make that move to buy there. The best way to avoid that kind of paralysis is to scale into positions in best in class companies gradually when prices are low, i.e. close to the bottom as we’re doing now in Energy and Income Advisor.

Energy & Income Advisor

Your complete guide to energy investing, from growth stocks to high-yielders.

In October 2012, renowned energy expert Elliott Gue launched the Energy & Income Advisor, a twice-monthly investment advisory that's dedicated to unearthing the most profitable opportunities in the sector, from growth stocks to high-yielding utilities, royalty trusts and master limited partnerships.

Subscribe today to receive a sample issue of EIA
  • Live Chat with

    Elliott and Roger on Oct. 29, 2020

  • Portfolios & Ratings

    • Model Portfolios

      Balanced portfolios of energy stocks for aggressive and conservative investors.

    • Producers and Drillers

      Our take on more than 50 energy-related equities, from upstream to downstream and everything in between.

    • MLPs and Midstream

      Our assessment of every energy-related master limited partnership.

    • International Coverage

      Roger Conrad’s coverage of more than 70 dividend-paying energy names.

    Experts

    • Elliott H. Gue

      Founder and Chief Analyst: Capitalist Times and Energy & Income Advisor

    • Roger S. Conrad

      Founder and Chief Analyst: Capitalist Times and Energy & Income Advisor