Tuesday, April 21, 2009

Louis Navellier and WEL

December 8th 2008

Boots & Coots International Well Control (WEL) comes to the rescue of oil companies faced with oil and gas well blowouts and fires. Besides being in the “hell-fighting” business, Boots & Coots contains oil and hazardous material spills, restores affected sites, and provides snubbing and non-critical services such as troubleshooting and contingency planning. Boots & Coots post-Gulf War contracts in Iraq, as well as the disposal of non-core operations, helped the company mitigate some of its earlier financial difficulties. Boots & Coots’ founders, including Boots Hansen and Coots Mathews, learned their trade working for industry pioneer Red Adair. One of our other Quantum stocks, Oil States International (OIS), owns 15% of the company’s outstanding stock.
While many oil companies have been struggling with lower prices for crude, Boots & Coots is in much better shape. CEO Jerry Winchester recently said, “We believe that our international operations give us a strategic advantage and provide a buffer relative to the potential negative impact caused by a downturn.” The stock sold off with other oil-relates stocks last week and is a great near-term buy.

Price $1.00
Buy Below $1.09

December 15th
Buy Below $1.23

December 22nd
Buy Below $1.10

December 29th
Buy Below $1.14

January 5th 2009
Buy Below $1.35

January 12th
Boots & Coots International Well Control (WEL) said on Wednesday that it has renewed its Safeguard contract with the Oil and Natural Gas Corporation of India (ONGC) for an another five years. This contract is for training, inspection and blowout control for ONGC's 28 offshore rigs and 94 land rigs. The contract also allows Boots & Coots to work on special projects for ONGC, both in and outside India. The shares have been pretty stable over the past few days. WEL is an excellent buy.
Buy Below $1.27

January 19th
Boots & Coots International (WEL) has renewed one of its Safeguard contract in Africa, which is valued at $58 million and includes $23 million in new Safeguard services. Boots & Coots is a great buy.
Buy Below $1.13

January 26th
Buy Below $1.16

February 2nd
Buy Below $1.14

February 9th
Buy Below $1.30

February 17th
Boots & Coots International Well Control Inc. (WEL) announced on Thursday that it has purchased John Wright Company for approximately $10 million. Based in Houston, John Wright provides a suite of relief well-drilling and risk management services to the oil and gas industry worldwide. Boots & Coots will integrate the company’s proprietary technology into its Safeguard program, which is currently its fastest-growing segment. The stock continues to trade at less than 4.5 times trailing earnings and remains a great buy.
Buy Below $1.38

February 23rd
Buy Below $1.16

March 2nd
Buy Below $1.14

March 9th
Buy Below $1.27

March 16th
Buy Below $1.21

March 23rd
Buy Below $1.34

March 30th
In order to prepare our Buy List for the upcoming earnings season, we will be selling three stocks this week. Boots & Coots International Well Control Inc. (WEL) has been a real winner for us since we first bought this stock back in December. We will be locking in a 32% profit in this stock.
Close Price: $1.31

Questions for Louis
Buying at $1.00 and selling at $1.31 makes a 31% gain (and not 32%). Is this right?
What about those Buy Below $1.34, $1.35 and $1.38?
What about the 19% missed profit (now WEL is around $1.50)?

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