Q: I came across an article on this small energy company. Can I have your opinion on it. Thanks
5i Research Answer:
SEI has seen a massive jump recently up nearly 3.5x year-to-date nearly 7x over the last year. The stock spiked last week after providing an update on its exploration campaign in Namibia's Orange Basin. The company stated that one of its exploration cites "had potential in excess of 10 billion barrels of original oil in place making it one of the largest discoveries globally." SEI is still pre-revenue and burning through cash so it is highly a speculative play. The news is of course very intriguing but due to the nature of the company, things will be very volatile from this point on. It is scheduled to report very soon and thus should be able to provide some more info.