March 31, 2005

SpeculatingStocks.com Stock Pick: Grey Wolf, Inc. (GW)

Stock Price: $6.33 (short-term strong buy)

Grey Wolf, Inc. is a provider of contract oil and gas land drilling services in natural gas producing regions in the United States with a total drilling rig fleet of 127. The company also provides onshore turnkey services.

Grey Wolf is a natural gas and oil play for the coming weeks. They conduct drilling operations throughout the US market including the regions of Ark-La-Tex, Gulf Coast, Mississippi/Alabama, South Texas, Rocky Mountain and West Texas. If drilling eventually occurs in Alaska, we believe Grey Wolf will be a part, this would be a major catalyst for growth.

GW is near its 52-week high of $6.85, which it hit over a week ago when oil was near its highest point. Grey Wolf was down only three cents yesterday when oil was down heavily. We believe it still has legs and deserves to run higher as oil and natural gas are at their elevated level.

We expect earnings will be great for Grey Wolf during the first quarter as the company improves its drilling business margins.

SpeculatingStocks.com Long-term Target Price: We expect GW to hit $8.00 within the next 2-3 months leading up to Q1 earnings.