I intend to keep doing as always.
Which is,,,,Owning gas instead of Burning it.
Why is everybody so freaked out about gasoline prices?
Everybody in the world is fully aware that warfare raises petroleum prices.
Fuel is no less a "war material" than bullets.
Valero,Giant,Tesoro are some of the large Gasoline Refiners in USA.
Over the last 5 Years,,,,
What amounts to>>> $10 a Week Investment for ONE YEAR<< in those companies
Has returned enough gain to
A)Offset 100% of the Gasoline Burned for "avg driver"
B)Enough excess cash to pay the cost of NEXT year's gasoline consumption
C)And still have every cent of the investment sitting in the account as stock
Got That??
6 Years of "Cost Free Gasoline" AND all the money invested to do that still in-pocket.
In terms of Out-Of-Pocket Cash for both The Investment,,,and the Gasoline,,,,
ZERO $$
***I used a $10/week example,,,and based "Avg Driver" on
20,000 Miles per Year at 20 Miles per Gallon.
Which is 1,000 Gallons of Gas per year
...............................
Valero,Giant stock price is UP TWICE as Much as Gasoline's Price.
Which means for every dollar Invested...
You get THAT Dollar Back,,PLUS $1 Dollar PROFIT to buy Gas
Tesoro,,,4 Times the rise of Gas.
Your Dollar Back,,Plus 3 Dollars to buy gas
Same $10/Week Investment in Tesoro would not only have Paid for ALL of the 5 Years Gas,,
It woulda paid ALL the Car Insurance,,
Or Car Note,,
Or,,all the Maintenance,,Tires,Batterys,Oil Changes,License Fees,Etc.
$10/Week...$500/Year Investment=
Virtually "COST FREE" Driving....
Gas,Car,Insurance,maintenance,etc
If people would spend their time EDUCATING theirself instead of Griping and Blaming and Demonizing "Big Oil Companies"....
They'd be burning all the "Free" Gasoline they could burn.
Oh,yeah,,,,another thing.
They could teach their Kids,their Family,their Friends how to do exact same thing.
>>>>>>>>>>>>>>>>>>>>>>>>>>>
If there's ANYONE left in the 21st Century Information Age who Does NOT know all that,,,or who Does Not Beleive it....
Stock Charts are EASY,EASY to Read.
It's Just a Graph.
They Show Date and stock price level.
Most ALL Energy Companies are PUBLIC TRADED.
Meaning,,They are Owned by You,Me,,Minimum Wage Laborers,,Etc.
KIDS can buy them(and they DO!)
Here's TESORO:
http://finance.yahoo.com/q/bc?s=TSO&t=5y
Here's their Historical Price in Late '02.
http://finance.yahoo.com/q/hp?s=TSO&a=03&b=6&c=1983&d=11&e=22&f=2002&g=d
In the Low $1's~ $2
Today it's $124
Simple Math.
Buy at $2
Stock Rises to $124.
Thats 64 TIMES,,right?
A Single $500 Investment at $2 per share= 250 Shares
250 Shares Now at $124 = $31,250.00
$500 turned into $31,000
Remember our "Avg Driver" example?
20,ooo Miles/Year at 20MPG?
1000 Gallons of Gas Burned per Year
For 5 Years,,,,5000 Gallons
Lets say Gas WAS $3/Gallon in '02,,
Or that it has Averaged $3/Gallon since '02
We woulda spent $3/Gal times 5,000 Gallons= $15,000
on Gasoline during last 5 Years.
$15,000 Gas Expense
Versus the $500 Investment.
Which is NOW worth $31,000
Which is Better?
Spending $15,000 BURNING Gasoline for last 5 Years,,,
and having Nothing to show for it but
100,000 Miles on the Odometer??
Or Investing $500 OWNING Gasoline,,,
Having ALL the $15,000 that was BURNED,,,PAID FOR....
AND,,,
$16 ,000 CASH left Over??
5 Years of "FREE GAS"
And enough CASH for Another 5 Yrs of Free Gas.
For $500?
A $500 that you still get to KEEP,,still YOURS,,just like money in a savings account.
...............................
Imagine if that was done on Margin.
Where the Broker lends you Dollar for Dollar,,at extreme low cost.
The CATCH is,,ya gotta have $2000 Minimum.
Let's see how THAT woulda worked.
$2000 Cash Invested,,
Margined at 2:1,,
would have bought $4,000 worth of $2 Shares= 2,000 Shares
2,000 Shares that COST $2000,,,a $2000 Investment....
Now at $124 each,,,
would be 2000 times $124= $248,000
So,,,in terms of GASOLINE....
At the Current $3/Gallon,,,,
and assuming 1,000 Gals/YEAR Consumption.
$248,000 buys over 82,500 Gallons of Gas.
$2000 Investment made enough $$$$ in last 5 Years,,,,
To buy 82 YEARS worth of Gasoline at $3/gal
Most of us ain't gonna drive another 82 Years.
That is a LIFETIME of "Free Gasoline" for US,,,and the majority of our Kid's lifetime.
Not too bad a deal for $2000
...............................................
Myself,,,I am not too interested in Gasoline
LNG,,Liqified Natural Gas is "next big deal"
As good as Tesoro Gasoline Refinery did,,
LNG Did Better
http://finance.yahoo.com/q/bc?t=5y&s=TSO&l=on&z=m&q=l&c=lng
Recall that TESORO went from $2 to $124?
a 62X gain?
Cheniere Energy is an LNG company.
During same Time period Their Stock went from
40Cents to 40 Dollar
A 100X Gain.
$500 woulda bought 1250 Shares at $0.40
1250 Shares at $40= $50,000
Or,,$2000 Margined= $4000
$4000 buys 10,000 shares at $0.40
10,000 shrs at $40= $400,000
$2000 cash Investment= $400,000 5 yrs later
That buys quite a bit of Gas....even at $3/gal.
About 133,000 Gallons.
At 1,000 Gals/per Year Consumption,,,
That's 133 YEARS worth of "Free Gasoline"
,,for a $2000 investment held 5 yrs.
How CHEAP does gasoline have to get before folks quit wasting their Time,Lives,and Money griping about it?
Far as Preparing....
War was allllllllllll over the News and headlines 5 yrs ago.
How much MORE advance notice to prepare do we need?
A BIT late to the picnic Now.
Never hurts to :
*Keep Tires Properly Inflated
*Keep Air Filter Clean
*Get a Tune-Up
*Drive Moderately
*Blah,Blah,Blah
(Have they made all THAT old Gas-Saving BS a Nursery Rhyme Yet?,,,,everyone seems to know the chant,,they must have learned it somewhere)
None of that will yield a LIFETIME of "Free Gasoline"..
I dont care HOW MUCH air ya put in your tires.
But at least it dont require a $500 investment to sing the "Whatcha Gonna Do ' boutHigh Gas Price" Blues.
And Human Nature is Marvelous,,
GRIPING ,Accusing,Blaming,etc DOES make most folks Feel Better.
.............................
The most incredible aspect of it all,,to me....
is that most Americans absolutely REFUSE to OWN the Energy companies.
They refuse to participate in the rising prices and capitalize upon the opportunity.
They Refuse to teach their kids about it.
They Dont even want "Something for Nothing".
They'd rather gripe,complain,,financially suffer,,,and go around repeating the fairy tales and myths about How BAD & Wrong Genuine,American Style Opportunity for Properity is.
I'm not bashing anybody for making that choice.
This is Still a Free Country and folks ARE entitled to their choices.
But it does get OLD seeing so many whining about Gas Prices and passing along the MYTHS,,
and so FEW explaining the TRUTH about the matter.
2007-05-22 14:05:21
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answer #10
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answered by TXm42 7
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