We believe that sustained cash flow growth and high returns on investment capital are the primary drivers of energy stock prices over time. Focusing on companies with economic resources or proprietary market positions offers the greatest probability of success
A process that emphasizes a company's ability to accelerate earning's growth and return on capital
A focus on fundamental improvements vs. consensus expectations
A proprietary risk system built on energy specific factors
1
Identification
Improving Fundamentals
- Company Interviews
- Analysis of Resource/Market Position
- Direction of Growth
Results
200-250 Stocks
2
Relative Valuation
Upside/Downside
- Earnings Expectationss
- Geographic Factors
- Sector Valuations
- Development Cycle
Results
75-100 Stocks
3
Portfolio Construction
Optimize
- Individual Stock Exposure
- Factor Exposure
- Aggregate Beta
Results
40-50 Stock Portfolio
Jerome A. Castellini
- President, Chief Investment Officer, Portfolio Manager, Principal
Timothy M. Clark
- Vice President, Research Analyst
Troy Logan, CFA
- Vice President, Research Analyst
Joseph M. Hagan, CFA, CPA
- Research Analyst
